Latest news with #XLU
Yahoo
6 days ago
- Business
- Yahoo
Are Wall Street Analysts Predicting Dominion Energy Stock Will Climb or Sink?
Dominion Energy, Inc. (D) is a Richmond, Virginia-based utility company that provides electricity and natural gas to millions of customers, primarily in the Mid-Atlantic and Southeastern regions. Valued at a market cap of $52.1 billion, the company operates through segments like Power Delivery, Gas Distribution, and Dominion Energy Virginia. This utility company has lagged behind the broader market over the past 52 weeks. Shares of D have gained 12.6% over this time frame, while the broader S&P 500 Index ($SPX) has rallied 21.1%. However, on a YTD basis, the stock is up 13.2%, outpacing SPX's 7.9% upstick. More News from Barchart Supermicro's Earnings Selloff Explained: Should You Buy SMCI Stock Now? Amazon's $36M Bet on Quantum Computing: What Investors Need to Know AMD Stock Slips After Q2 Earnings, But Here's Why It's a Buying Opportunity Our exclusive Barchart Brief newsletter is your FREE midday guide to what's moving stocks, sectors, and investor sentiment - delivered right when you need the info most. Subscribe today! Narrowing the focus, D has also underperformed the Utilities Select Sector SPDR Fund's (XLU) 17.5% uptick over the past 52 weeks and 17.5% rise on a YTD basis. On Aug. 1, Dominion Energy released its second-quarter earnings, and its shares surged 3.4%. Its non-GAAP earnings reached $0.75 per share, reflecting a 14.5% year-over-year increase, which matched expectations. Revenue climbed 9.3% to $3.81 billion, slightly below forecasts by about $40 million. The company maintained its full-year 2025 earnings guidance of $3.28 to $3.52 per share. For the current fiscal year, ending in December, analysts expect D's EPS to grow 22.4% year over year to $3.39. The company's earnings surprise history is robust. It topped the consensus estimates in each of the last four quarters. Among the 18 analysts covering the stock, the consensus rating is a 'Hold,' which is based on three 'Strong Buy,' 14 'Hold,' and one 'Strong Sell' rating. On July 15, JPMorgan Chase & Co. (JPM) analyst Jeremy Tonet reaffirmed an "Underweight" rating on Dominion Energy, citing a consistent strategic outlook. However, the firm raised its price target from $53 to $56. The mean price target of $61.38 represents a marginal premium from D's current price levels, and the Street-high price target of $69 suggests an upside potential of 13.2%. On the date of publication, Kritika Sarmah did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. This article was originally published on Sign in to access your portfolio
Yahoo
6 days ago
- Business
- Yahoo
Southern Company Stock Outlook: Is Wall Street Bullish or Bearish?
With a market cap of $105.6 billion, The Southern Company (SO) is a leading U.S. energy utility headquartered in Atlanta, Georgia. The company provides electricity and natural gas to over 9 million customers across the southeastern United States through its subsidiaries. Shares of the utility giant have underperformed the broader market over the past 52 weeks. Southern Company stock has climbed 9% over this time frame, while the broader S&P 500 Index ($SPX) has rallied 21.5%. However, shares of SO are up 14.7% on a YTD basis, outpacing the SPX's 7.1% rise. More News from Barchart This High-Yield Dividend Stock Is Staging a Comeback. Should You Buy Shares Now? Palantir's Free Cash Flow Margins and Forecasts Rise - Where This Leaves PLTR Stock Cathie Wood is Buying Figma Stock with Both Hands. Should You Buy This Hot IPO, Too? Markets move fast. Keep up by reading our FREE midday Barchart Brief newsletter for exclusive charts, analysis, and headlines. Looking closer, the power company has also trailed the Utilities Select Sector SPDR Fund's (XLU) 19.6% return over the past 52 weeks. On Jul. 31, SO released its Q2 earnings, and its shares dropped marginally. Its revenue rose 8% year-over-year to $7 billion, surpassing analyst expectations, driven by continued strength in electricity demand, particularly from data centers and industrial customers, reflecting the ongoing digital and economic expansion across the Southeastern U.S. Its adjusted EPS came in at $0.92, slightly below the consensus estimate of $0.93. For the fiscal year ending in December 2025, analysts expect SO's EPS to grow 5.7% year-over-year to $4.28. The company's earnings surprise history is mixed. It beat the consensus estimates in three of the last four quarters while missing on another occasion. Among the 20 analysts covering the stock, the consensus rating is a 'Moderate Buy.' That's based on eight 'Strong Buy' ratings, one 'Moderate Buy,' 10 'Holds,' and one 'Strong Sell.' The current consensus is more bullish than three months ago, when seven analysts gave the stock a 'Strong Buy.' On Aug. 1, Scotiabank analyst Andrew Weisel reaffirmed a 'Sector Outperform' rating and a $98 price target on Southern following its Q1 2025 earnings. Weisel highlighted the company's consistent EPS growth and low-risk profile, thanks to its operations in supportive regulatory environments, and noted that management's confident outlook helped offset concerns over soft demand in the quarter. SO's mean price target of $97.25 indicates a premium of 3% from the current market prices. The Street-high price target of $104 implies a potential upside of 10.2%. On the date of publication, Kritika Sarmah did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. This article was originally published on Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
CNBC
05-08-2025
- Business
- CNBC
Utilities are surging in 2025. Wall Street likes these dividend-paying stocks
Utilities are emerging as a hot play in 2025 as investors take notice of their role in powering the artificial intelligence movement – and many of the names also happen to pay attractive dividends. As the broader S & P 500 retreated on Tuesday, the Utilities Select Sector SPDR Fund (XLU) touched a fresh record. Utilities are the second-best performing sector in the S & P 500 in 2025, up more than 14% and outperforming tech's roughly 13% advance. The outperformance is greater still including utilities' 2.8% dividend yield. XLU 5D mountain The Utilities Select Sector SPDR Fund (XLU) in the past five days. "For the power sector we expect significant tailwinds in the second half of 2025," said Bank of America analyst Ross Fowler in a late June report, pointing to the likelihood of continued growth in electricity demand. "Despite significant positive returns so far this year, we continue to believe the power stocks have data center related catalysts across the second half." In addition, dividend-paying stocks are looking more favorable for investors who are on the prowl for income, anticipating the day when the yield on risk-free Treasurys declines. To that end, CNBC Pro used FactSet data to screen for names within the XLU ETF that have buy or overweight ratings from at least 51% of the analysts covering them, and a dividend yield of at least 1.5%. PPL Corp. turned up on CNBC's screen. Once known as Pennsylvania Power & Light, the utility's shares are up 10% in 2025, and the stock pays a current dividend yield of about 3%. The provider of power and natural gas in Pennsylvania, Kentucky, Rhode Island and Virginia reported adjusted earnings of 32 cents on revenue of $2.03 billion in the second quarter against consensus estimates of 39 cents a share and $1.81 billion in revenue. Nearly 59% of the analysts covering the PPL rate it buy, according to FactSet. Jefferies analyst Paul Zimbardo stuck with the stock, reiterating a "buy" rating and lifting his price target on Monday by $2, to $42, suggesting 16% upside from Monday's close. "PPL is one of our top utility ideas, offering under-appreciated regulated generation data center exposure with premium core utilities overall," he said. "PPL has visibility to 8% EPS growth with conservative assumptions while preserving an above-average balance sheet." The icing on the cake is a recently announced joint venture between PPL and Blackstone Infrastructure to build natural gas generation to power data centers. "It is clear that this is an early stage partnership, but there is real option value here," Zimbardo said. NiSource also turned up on the screen. More than seven out of 10 analysts covering the Indiana-based utility recommend it as a buy or overweight, according to FactSet. Shares are up 16% in 2025, and the stock pays a current dividend in 2.6%. Fowler of Bank of America reiterated a buy rating on NiSource in late June following meetings with top brass. "NI is fielding active interest from hyperscalers seeking sites in Northern Indiana, where fiber and transmission access are gating factors," the analyst wrote. "A large fiber network from Chicago through northwest Indiana enhances competitiveness." "Paired with a solid dividend and visible [free cash flow] growth, we view NI as a defensive name with embedded optionality from growth upside," Fowler said. Finally, Xcel Energy turned up on our screen. The Minneapolis-based stock has a following, with 65% of analysts rating it a buy or overweight, according to FactSet. Shares are up 9% in 2025, and the stock pays a current dividend yield of about 3.1%. Anthony Crowdell of Mizuho last week stuck with his "outperform" rating after Xcel posted second-quarter results that topped the Street's estimates. "The company now has visibility into $15B+ of additional [capital expenditures] not included in its current base plan," he said. "This includes generation capex from resource plans across its service areas, transmission and data center demand." With the increase in capital spending built into the rate base, "the company reaffirmed its long-term EPS growth rate of 6%-8% and continue to expect to be in the upper half of the range," Crowdell added. — CNBC's Michael Bloom contributed reporting.
Yahoo
04-08-2025
- Business
- Yahoo
Utilities ETF (XLU) Hits New 52-Week High
For investors seeking momentum, Utilities Select Sector SPDR ETF XLU is probably on the radar. The fund just hit a 52-week high and has moved up 21.5% from its 52-week low price of $71.02 per share. But are there more gains in store for this ETF? Let us take a quick look at the fund and the near-term outlook on it to get a better idea of where it might be headed. XLU in Focus The underlying Utilities Select Sector Index seeks to provide an effective representation of the Utilities sector of the S&P 500 Index. The product charges 8 bps in annual fees. Why the Move? The utility sector has been an area to watch lately, given investors' drive toward safety in defensive investments, given uncertain trade policies. Being a low-beta sector, utility is relatively protected from large swings (ups and downs) in the stock market and is thus considered a defensive investment or safe haven amid economic or political turmoil. More Gains Ahead? XLU may continue its strong performance in the near term, with a positive weighted alpha of 16.73 (as of which gives cues of a further the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Utilities Select Sector SPDR ETF (XLU): ETF Research Reports This article originally published on Zacks Investment Research ( Zacks Investment Research
Yahoo
12-07-2025
- Business
- Yahoo
Earnings Preview: What to Expect From WEC Energy's Report
WEC Energy Group, Inc. (WEC), headquartered in Milwaukee, Wisconsin, provides regulated natural gas and electricity, and renewable and nonregulated renewable energy services. Valued at $33.3 billion by market cap, the company's infrastructure spans 35,500 miles of overhead and 36,500 miles of underground distribution lines, with extensive gas mains, transmission lines, and storage capacity. The leading energy company is expected to announce its fiscal second-quarter earnings for 2025 before the market opens on Wednesday, Jul. 30. Ahead of the event, analysts expect WEC to report a profit of $0.70 per share on a diluted basis, up 4.5% from $0.67 per share in the year-ago quarter. The company beat the consensus estimates in three of the last four quarters while missing the forecast on another occasion. Smaller-Than-Expected Build in EIA Inventories Lifts Nat-Gas Prices Concerns About Waning Global Energy Demand Pressure Crude Prices Crude Prices Fall on Dollar Strength and Energy Demand Concerns Tired of missing midday reversals? The FREE Barchart Brief newsletter keeps you in the know. Sign up now! For the full year, analysts expect WEC to report EPS of $5.24, up 7.4% from $4.88 in fiscal 2024. Its EPS is expected to rise 6.7% year over year to $5.59 in fiscal 2026. WEC stock has outperformed the S&P 500 Index's ($SPX) 11.5% gains over the past 52 weeks, with shares up 35.2% during this period. Similarly, it outperformed the Utilities Select Sector SPDR Fund's (XLU)18.9% gains over the same time frame. WEC is outperforming by investing in infrastructure to meet increasing customer demand and focusing on clean energy. The company is seeing growth in demand from commercial and residential customers, with over 60% of electricity sold to commercial and industrial customers. WEC is expanding its renewable portfolio, recently acquiring a majority stake in the 250-MW Hardin Solar III project, and planning to invest $28 billion through 2029 for future growth and reliability. On May 6, WEC shares closed up by 1% after reporting its Q1 results. Its EPS of $2.27 surpassed Wall Street expectations of $2.19. The company's revenue stood at $3.1 billion, up 17.5% year over year. WEC expects full-year EPS to be $5.17 to $5.27. Analysts' consensus opinion on WEC stock is cautious, with a 'Hold' rating overall. Out of 16 analysts covering the stock, four advise a 'Strong Buy' rating, 11 give a 'Hold,' and one recommends a 'Strong Sell.' WEC's average analyst price target is $109.82, indicating a potential upside of 3.9% from the current levels. On the date of publication, Neha Panjwani did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. This article was originally published on Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
