5 Oct

Analysts’ Top 5 Favorite S&P 500 Utilities Stocks

WRITTEN BY Vincent Kruger FEATURED IN Wall Street Ratings

Analysts’ favorites

US utility stocks were weak recently due to proposed tax reforms and the increased possibility of another interest rate hike this year. In this series, we’ll look at analysts’ favorite utility stocks from the S&P 500 Utilities Index (XLU) based on “buy” ratings. Let’s see which of these analysts’ favorite utility stocks might please investors going forward.

Analysts’ Top 5 Favorite S&P 500 Utilities Stocks

Implied gain

The chart above shows five utility stocks with the most “buy” ratings. The largest merchant power producer, NRG Energy (NRG), has the most “buy” ratings as of October 5, 2017. Nearly 90.0% of analysts tracking NRG have rated the stock a “buy.” Compared to its peers, NRG Energy also has the highest implied gain of 17.0% based on analysts’ mean price target.

NextEra Energy (NEE), the renewables giant and largest utility by market capitalization, is the second most favorite utility with 88.0% “buy” ratings. It has a potential upside of 5.0% going forward.

The five utilities mentioned above operate in different states and differ significantly in size. NRG Energy, the smallest component of the S&P 500 Utilities Index, has a market capitalization of $8.2 billion, while the largest, NextEra Energy (NEE), has a market capitalization of ~$69.0 billion.

New York–based Consolidated Edison (ED) seems to be analysts’ least favorite utility stock. It has no “buy” ratings and an implied loss of 5.0% going forward.

In the next part, let’s look at NRG Energy.

Latest articles

23 Apr

Why Fiat Chrysler Stock Tanked 5% on Tuesday

WRITTEN BY John Parker

In April so far, Italian-American auto giant Fiat Chrysler Automobiles (FCAU) has outperformed the broader market by a wide margin after underperforming in the first quarter.

Royal Dutch Shell (RDS.A) is slated to release its Q1 2019 results on May 2. Before we review the Q1 2019 estimates, let’s recap Shell’s Q4 2018 performance compared to forecasts.

United Parcel Service (UPS) is scheduled to report its first-quarter earnings results on April 25.

Cleveland-Cliffs (CLF) is expected to report its first-quarter earnings results on April 25.

While the overall cannabis sector experienced weakness on April 23, some stocks managed to gain some positive momentum in the first half of the day.

After being listed on the NASDAQ (QQQ) on March 29, Lyft (LYFT) stock has traded on a negative note so far.