Financial Snapshot: Duke Energy’s Recent Performance and Future Outlook
Duke Energy Corporation (DUK), located in Charlotte, North Carolina, provides electricity and natural gas to 8.4 million customers. With a market cap of $88 billion, the company also invests in pipeline transmission, renewable natural gas projects, and storage infrastructure.
Market Performance: A Year in Review
Over the past year, DUK’s stock has not fared as well as the broader market. The company’s shares increased by 19.5%, while the S&P 500 Index ($SPX) rose nearly 22.6%. In contrast, in 2025, DUK stock climbed 5.7%, outpacing SPX’s 3.1% increase year-to-date (YTD).
Comparative Analysis with the Utilities Sector
When compared to the iShares U.S. Utilities ETF (IDU), DUK’s performance shows a similar trend. IDU recorded an impressive gain of about 30.6% over the last year. Nonetheless, DUK outperformed the ETF YTD, with DUK returning 5.7% against IDU’s 4.2% gains.
Challenges Ahead: Restoration Costs from Recent Hurricanes
DUK’s stock struggles can largely be linked to the restoration expenses following the tumultuous 2024 hurricane season, where storms Milton, Debby, and Helene caused 5.5 million outages.
Quarterly Results Raise Questions
On November 7, shares of DUK fell more than 2% after the company released its Q3 results. The adjusted earnings per share (EPS) came in at $1.62, which fell short of the Wall Street consensus of $1.73. Conversely, revenue hit $8.2 billion, surpassing the expected $8 billion. DUK anticipates year-end adjusted EPS to range between $5.85 and $6.10.
Analyst Expectations for Future Earnings
For the fiscal year ending December 2024, analysts project DUK’s EPS to grow by 6.3% to $5.91 on a diluted basis. The company has exhibited a mixed track record regarding earnings surprises, exceeding consensus estimates in only two of the last four quarters.
Among 21 analysts who follow DUK stock, the consensus rating is “Moderate Buy,” which includes 11 “Strong Buy” recommendations, one “Moderate Buy,” and nine “Holds.”
Analyst Insights and Future Target Prices
This configuration has remained stable over the past three months. On February 3, BMO Capital analyst James Thalacker maintained an “Outperform” rating for DUK and adjusted the price target to $124, indicating a potential upside of 8.9%. The average price target of $123.18 signifies an 8.2% premium over the current price, while the highest suggested target of $135 reflects an upside potential of 18.6%.
On the date of publication, Neha Panjwani did not hold (either directly or indirectly) positions in any of the securities mentioned in this article. The information presented here is for informational purposes only. Please refer to the Barchart Disclosure Policy for further details.
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