Analysts Hint at Positive Earnings for Eversource Energy as Q4 Approaches
Springfield, Massachusetts-based Eversource Energy (ES) stands out as a public utility holding company focused on energy delivery. With a market cap of $21.3 billion, the company is committed to offering reliable and sustainable energy solutions while actively investing in clean energy initiatives to support environmental responsibility and community growth. Eversource is scheduled to announce its Q4 earnings on Tuesday, Feb. 11.
Projected Earnings Growth Amidst Market Dynamics
As the earnings announcement approaches, analysts anticipate Eversource Energy to report a profit of $0.99 per share. This marks a 4.2% increase from the $0.95 per share reported in the same quarter last year. The company has successfully met or exceeded Wall Street’s adjusted earnings-per-share (EPS) expectations in three of the last four quarters, with one quarter falling short. In the previous quarter, Eversource delivered an adjusted profit of $1.13 per share, which was 8.7% higher than consensus estimates, driven by impressive revenue growth and effective cost management strategies.
Future Outlook for Fiscal 2024
Looking ahead to fiscal 2024, analysts predict that Eversource Energy will report an adjusted EPS of $4.56, reflecting a 5.1% rise from $4.34 in fiscal 2023.
Stock Performance vs. Industry
Over the past 52 weeks, Eversource Energy’s shares have increased by 3.3%. This growth lags behind the S&P 500 Index’s impressive gain of 24.6% and the Utilities Select Sector SPDR Fund’s (XLU) 25.7% increase during the same timeframe.
Q3 Results and Investment Strategies
Following its Q3 earnings release on Nov. 4, Eversource Energy saw a share price decline of 2.1%. During that quarter, revenue grew by 9.7% year-over-year, reaching $3.06 billion, slightly edging out the expected $3.05 billion. Furthermore, the company revised its projected capital investments upward from $23.1 billion to $23.7 billion for the years 2024-2028, following the Massachusetts Electric Sector Modernization Plan (ESMP) approval.
Analysts’ Ratings and Future Price Expectations
The consensus view on Eversource Energy stock is moderately bullish, earning an overall “Moderate Buy” rating. Among 20 analysts covering the stock, nine recommend a “Strong Buy,” nine suggest a “Hold,” one advises a “Moderate Sell,” and another issues a “Strong Sell” rating. The average price target of $70.56 represents a potential upside of 21.4% from current price levels.
On the date of publication, Rashmi Kumari 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. For more information, please view the Barchart Disclosure Policy here. More news from Barchart
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