CenterPoint Energy (NYSE:CNP) Releases Earnings Results, Misses Expectations By $0.01 EPS

CenterPoint Energy (NYSE:CNP) announced its earnings results on Thursday. The utilities provider reported $0.45 EPS for the quarter, missing the consensus estimate of $0.46 by ($0.01), FiscalAI reports. CenterPoint Energy had a net margin of 11.37% and a return on equity of 10.25%. The company had revenue of $2.51 billion for the quarter, compared to analysts’ expectations of $2.23 billion. During the same period in the prior year, the company earned $0.40 earnings per share. CenterPoint Energy updated its FY 2026 guidance to 1.900- EPS.

Here are the key takeaways from CenterPoint Energy’s conference call:

• CenterPoint now forecasts peak load will grow 50% (about 10 GW) by 2029 — with 2.5 GW under construction, 5 GW firmly committed and ~3 GW of ordinary growth — which management says will drive jobs, expand the tax base and help keep customer delivery charges essentially flat.
• The company added $500 million to its 10‑year capital plan to fund a third 765 kV import line, lifting the plan to more than $65 billion and noting over $10 billion of additional CapEx upside tied to further transmission and region growth.
• Financial performance: 2025 non‑GAAP EPS of $1.76 (9% y/y) and the company reaffirmed 2026 non‑GAAP EPS guidance of $1.89–$1.91 (≈8% growth at the midpoint) while maintaining a long‑term 7–9% annual EPS growth target through 2035.
• Balance‑sheet tailwinds — recent Treasury guidance on the Corporate AMT, a ~$1.2B securitization priced and expected ~$800M net proceeds from the Ohio sale — should push cash taxes near zero through 2035, improve FFO‑to‑debt by ~60–70 bps and enable roughly $1B of incremental customer‑driven CapEx without issuing equity.
• Near‑term headwinds included a $0.05 EPS drag in Q4 from higher interest expense tied to ~ $3.3B of incremental debt and a $0.02 adverse impact from accelerated O&M/resiliency work, which pressured quarterly results.

CenterPoint Energy Stock Up 1.3%

CNP stock traded up $0.56 during mid-day trading on Thursday, hitting $42.49. The stock had a trading volume of 3,189,181 shares, compared to its average volume of 5,401,455. CenterPoint Energy has a 1-year low of $33.24 and a 1-year high of $43.08. The company has a fifty day moving average of $39.22 and a 200 day moving average of $38.93. The company has a current ratio of 0.51, a quick ratio of 0.38 and a debt-to-equity ratio of 1.76. The stock has a market capitalization of $27.74 billion, a price-to-earnings ratio of 26.85, a PEG ratio of 2.52 and a beta of 0.59.

CenterPoint Energy Increases Dividend

The company also recently announced a quarterly dividend, which will be paid on Thursday, March 12th. Shareholders of record on Thursday, February 19th will be paid a $0.23 dividend. This represents a $0.92 dividend on an annualized basis and a yield of 2.2%. This is an increase from CenterPoint Energy’s previous quarterly dividend of $0.22. The ex-dividend date is Thursday, February 19th. CenterPoint Energy’s dividend payout ratio is presently 55.70%.

Institutional Trading of CenterPoint Energy

A number of institutional investors have recently added to or reduced their stakes in the business. Zacks Investment Management increased its stake in shares of CenterPoint Energy by 0.8% during the 3rd quarter. Zacks Investment Management now owns 31,142 shares of the utilities provider’s stock worth $1,208,000 after purchasing an additional 256 shares during the last quarter. Parallel Advisors LLC boosted its holdings in CenterPoint Energy by 6.7% in the third quarter. Parallel Advisors LLC now owns 5,315 shares of the utilities provider’s stock worth $206,000 after purchasing an additional 333 shares in the last quarter. Smartleaf Asset Management LLC increased its position in CenterPoint Energy by 9.8% during the fourth quarter. Smartleaf Asset Management LLC now owns 4,033 shares of the utilities provider’s stock worth $156,000 after buying an additional 359 shares during the last quarter. Brooklyn Investment Group increased its position in CenterPoint Energy by 7.6% during the third quarter. Brooklyn Investment Group now owns 5,245 shares of the utilities provider’s stock worth $203,000 after buying an additional 369 shares during the last quarter. Finally, Advisory Services Network LLC raised its holdings in CenterPoint Energy by 4.9% during the third quarter. Advisory Services Network LLC now owns 9,961 shares of the utilities provider’s stock valued at $386,000 after buying an additional 463 shares in the last quarter. 91.77% of the stock is currently owned by institutional investors and hedge funds.

Key Stories Impacting CenterPoint Energy

Here are the key news stories impacting CenterPoint Energy this week:

• Positive Sentiment: Management boosted its 10‑year capital expenditure plan to about $65.5 billion, signaling sustained utility investment that should grow regulated rate base and long‑term earnings power. CenterPoint profit rises, boosts 10-year capex plan to $65.5 bln
• Positive Sentiment: Quarterly revenue and net income rose year-over-year (Q4 net income $264M; non‑GAAP EPS $0.45) and revenue beat expectations, reflecting growth and regulatory recoveries that support near‑term cash flow. CenterPoint Energy reports strong Q4 and FY 2025 results; updates its progress on load forecast; reiterates 2026 full year guidance
• Neutral Sentiment: The company reiterated its 2026 full‑year guidance and updated its load forecast progress — supportive for visibility but not a material upward revision. CenterPoint Energy reports strong Q4 and FY 2025 results; updates its progress on load forecast; reiterates 2026 full year guidance
• Neutral Sentiment: Industry/valuation commentary highlights expanding grid transparency tools and valuation context as earnings and capex plans evolve — useful for longer‑term valuation work but not an immediate catalyst. A Look At CenterPoint Energy’s Valuation As Earnings Near And Grid Transparency Tools Expand
• Negative Sentiment: Q4 non‑GAAP EPS missed consensus by $0.01 ($0.45 vs. $0.46), and the company’s FY2026 EPS guidance (~$1.90) is roughly in line but slightly under some street estimates — a modest near‑term headwind for sentiment. CenterPoint Energy Q4 Earnings Lag Estimates, Revenues Rise Y/Y

Analyst Upgrades and Downgrades

Several research analysts have recently weighed in on CNP shares. Wells Fargo & Company lifted their target price on shares of CenterPoint Energy from $44.00 to $47.00 and gave the stock an “overweight” rating in a research report on Tuesday, January 20th. JPMorgan Chase & Co. reduced their target price on CenterPoint Energy from $43.00 to $41.00 and set a “neutral” rating for the company in a report on Thursday, December 11th. Scotiabank raised their target price on CenterPoint Energy from $42.00 to $45.00 and gave the stock a “sector outperform” rating in a research report on Friday, October 24th. KeyCorp raised CenterPoint Energy from a “sector weight” rating to an “overweight” rating and set a $41.00 price target on the stock in a research report on Friday, December 12th. Finally, Weiss Ratings reissued a “buy (b-)” rating on shares of CenterPoint Energy in a research note on Monday, December 29th. Seven equities research analysts have rated the stock with a Buy rating, five have issued a Hold rating and one has given a Sell rating to the stock. According to data from MarketBeat, CenterPoint Energy currently has an average rating of “Hold” and an average price target of $41.82.

About CenterPoint Energy

CenterPoint Energy, Inc (NYSE: CNP) is a Houston-based regulated utility company that provides electric and natural gas delivery services and related infrastructure operations. The company’s principal activities center on the transmission and distribution of electricity in the greater Houston metropolitan area and the distribution of natural gas to customers across several states in the Midwest and South. As a vertically integrated utility, CenterPoint focuses on the reliable delivery of energy through owned and operated networks of lines, pipelines and associated facilities.

CenterPoint’s core businesses include regulated electric transmission and distribution services, regulated natural gas distribution, and the operation and maintenance of energy infrastructure.