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11 hours ago
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PG&E (PCG) Stock Short-Circuits in 2025 as Regulatory Risk Sparks Investor Jitters
PG&E Corp (NYSE:PCG) is one of the most oversold S&P 500 stocks so far in 2025. After a relatively better performance in 2024, PG&E stock has been a laggard in 2025 with declines of over 33%, and is now trading near the bottom of its 52-week range. A major part of this correction occurred in June, when the shares nosedived by around 20%. Investors became increasingly cautious after several reform proposals were advanced, including regulatory changes as part of the California utility regulation overhaul bill. Investors were already digesting the company's May announcement of its plan to keep rates flat for the next few years. While management stated that utility bills won't rise in 2025 and will fall in 2026, consumers appeared to remain sceptical, as the company has already raised rates multiple times in 2024. A utility employee connecting wires at a power station in order to distribute electricity to customers. Driven by regulatory uncertainty, analyst opinions on the shares remained mixed. In mid-May, Morgan Stanley analyst David Arcaro had cut his price target on PG&E Corp (NYSE:PCG) to $18 from $18.5. While utilities continue to see good demand from both data centers and large load customers, the analyst maintained his Underperform rating. More recently, in mid-June, Bank of America Securities analyst Ross Fowler maintained a Buy rating with a price target of $24. PG&E Corp (NYSE:PCG) provides electric and natural gas distribution services, as well as electric generation and natural gas transmission and storage services, through its subsidiaries. PG&E serves retail customers for both electric and natural gas in northern and central California. While we acknowledge the potential of PCG as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you're looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock. READ NEXT: Harvard University Stock Portfolio: Top 10 Stock Picks and . Disclosure: None. This article is originally published at Insider Monkey. 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
Yahoo
11 hours ago
- Business
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UBS Stays Bullish on Edison (EIX) with $68 Target Despite Regulatory Uncertainty
Edison International (NYSE:EIX) is one of the most oversold S&P 500 stocks so far in 2025. On July 8, UBS analyst Gregg Orrill reiterated his Buy rating on Edison International, keeping the price target steady at $68. His near-term caution stems from the delayed outcome of the California general rate case (GRC), which he sees as the key reason behind the weaker earnings expectations for Q2 2025. Orrill projects Q2 EPS at $0.86, well below the Street consensus of $1.47. However, he has not changed his full-year EPS estimate of $6.00, suggesting that the earnings impact from the rate case will be recognized retroactively from the start of the year once a decision is finalized. An electric power substation, with a skyline in the distance. In his view, the lack of clarity on the rate case timing has created some near-term noise, but doesn't affect the broader earnings trajectory for 2025. He expects a proposed decision to be made in the third quarter, with a final ruling likely to be issued before the end of the year. Edison International (NYSE:EIX), through its subsidiaries, generates and distributes electric power, as well as provides energy services and technologies, including renewable energy. While we acknowledge the potential of EIX as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you're looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock. READ NEXT: Harvard University Stock Portfolio: Top 10 Stock Picks and . Disclosure: None. This article is originally published at Insider Monkey.
Yahoo
11 hours ago
- Business
- Yahoo
Goldman Calls Deckers (DECK) a Sell Due to Unfavorable Risk Reward Profile
Deckers Outdoor Corp. (NYSE:DECK) tops the list of the most oversold S&P 500 stocks so far in 2025, with its share price having declined by 50%. This sharp decline in the share price has prompted some analysts to be cautious. On July 1, Goldman Sachs analyst Brooke Roach initiated coverage of Deckers Outdoor with a Sell rating and a $90 price target. While acknowledging the strength of Deckers' brand portfolio, Roach takes a more cautious stance in the near term, citing a less favourable risk/reward profile compared to other names in the apparel and accessories space. A customer browsing a retail store, finding the perfect footwear for their casual outfits. The analyst points to increasing competition, especially in the running category, and early signs that brand momentum may be starting to normalize after years of strong growth. Although Deckers has executed well and gained market share through its portfolio of sportswear and footwear products, Roach believes the broader environment is becoming more challenging. In her view, even continued strong execution may not be enough to offset rising competition and evolving consumer preferences. These factors, she argues, create a more subdued outlook for the industry in the short term. On the other side, UBS analyst Jay Sole had reiterated a Buy rating on Deckers in early June, maintaining his $169 price target. Please read our update on this UBS report, which was published as part of our list of the 11 best debt-free stocks to invest in right now. Deckers Outdoors Corp. (NYSE:DECK) designs, markets, and distributes innovative footwear, apparel, and accessories developed for both everyday casual lifestyle use and high-performance activities. While we acknowledge the potential of DECK as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you're looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock. READ NEXT: Harvard University Stock Portfolio: Top 10 Stock Picks and . Disclosure: None. This article is originally published at Insider Monkey. Error al recuperar los datos Inicia sesión para acceder a tu cartera de valores Error al recuperar los datos Error al recuperar los datos Error al recuperar los datos Error al recuperar los datos
Yahoo
11 hours ago
- Business
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Analysts Trim Price Targets but See Long-Term Value in UnitedHealth (UNH)
UnitedHealth Group Inc. (NYSE:UNH) is one of the most oversold S&P 500 stocks so far in 2025. While the stock was down only marginally in 2024, it has declined substantially in 2025, placing it among the top three oversold stocks. The downturn primarily began with a weak quarterly result and a revision of guidance in April 2025, and was further exacerbated by the CEO's stepping down and the suspension of guidance in May. As the company approaches its Q2 2025 earnings results, guidance, and management's growth plan have come under renewed scrutiny. On July 9, Barclays analyst Andrew Mok revised his price target on the company, lowering it from $350 to $337 ahead of the company's Q2 earnings release scheduled for July 29. Despite the adjustment, he maintained a Buy rating on the stock. An older Medicare-eligible consumer smiling happily while receiving healthcare services at a clinic. The lower target reflects a reduction in Mok's earnings per share forecast for 2026. While he hasn't changed his positive view on the company's long-term potential, the revision suggests a more cautious stance on its earnings outlook over the next couple of years. In a similar move, Wolfe Research analyst Justin Lake had also lowered his price target for the shares to $330 from $363, while reiterating his Buy rating on July 10. Lake now pencils in a lower EPS due to headwinds in Medicaid and health insurance exchanges, as well as higher expenses to bring the company on track. UnitedHealth Group Inc. (NYSE:UNH) is a healthcare company that provides health insurance and healthcare solutions in the U.S. and globally under the UnitedHealthcare and Optum brands. While we acknowledge the potential of UNH as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you're looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock. READ NEXT: Harvard University Stock Portfolio: Top 10 Stock Picks and . Disclosure: None. This article is originally published at Insider Monkey. 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
Yahoo
11 hours ago
- Business
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RBC Maintains Neutral View on Conagra (CAG) as Q4 Miss Highlights Growth Pressures
Conagra Brands Inc. (NYSE:CAG) is one of the most oversold S&P 500 stocks so far in 2025. The stock has declined around 30%–32% both YTD and over the past year, largely reflecting broader consumer weakness and persistent inflation, which continue to cloud the outlook for packaged food companies. Investor sentiment took a further hit following the company's Q4 FY 2025 results (fiscal year ended May), released on July 10. The numbers confirmed ongoing softness: net sales dropped 4.3% year-over-year, with organic sales falling 3.5%. While lower volumes were the primary driver of this decline, unfavorable price/mix also played a part. A busy supermarket with shelves full of packaged foods. Margins came under pressure, too. Adjusted operating margin contracted by 100 basis points to 13.8%, contributing to an 8% year-over-year decline in earnings per share, which came in at $0.56. Reacting to the results, RBC Capital's Nik Modi lowered Conagra's price target from $25 to $22, maintaining a Sector Perform rating. In his note to clients, Modi acknowledged the firm's Q4 miss and called attention to a cautious FY 2026 outlook, shaped by ongoing cost inflation and the impact of tariffs. Interestingly, Conagra appears to be leaning into the downturn by continuing to invest in its brands, improving supply chain flexibility, and supporting volume recovery, despite the near-term strain this puts on margins and sentiment. According to Modi, these investments are critical for rebuilding momentum, even if they come at a short-term cost. The market may remain cautious in the near term, but it may stabilize and recover depending on how effectively Conagra navigates these headwinds and how soon its investments begin to yield results. Conagra Brands Inc. (NYSE:CAG) is one of North America's leading branded food companies with a portfolio that includes brands such as Birds Eye, Duncan Hines, Healthy Choice, Marie Callender's, Reddi-wip, and Slim Jim. While we acknowledge the potential of CAG as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you're looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock. READ NEXT: Harvard University Stock Portfolio: Top 10 Stock Picks and . Disclosure: None. This article is originally published at Insider Monkey. Sign in to access your portfolio
