CenterPoint Energy (NYSE:CNP) Hits New 1-Year High – Still a Buy?

CenterPoint Energy, Inc. (NYSE:CNP) shares hit a new 52-week high on Wednesday . The company traded as high as $43.27 and last traded at $43.1850, with a volume of 2884890 shares changing hands. The stock had previously closed at $42.80.

Analyst Upgrades and Downgrades

A number of equities analysts have recently commented on the stock. Wells Fargo & Company raised their target price on shares of CenterPoint Energy from $44.00 to $47.00 and gave the stock an “overweight” rating in a research report on Tuesday, January 20th. JPMorgan Chase & Co. lowered their target price on CenterPoint Energy from $43.00 to $41.00 and set a “neutral” rating for the company in a report on Thursday, December 11th. BMO Capital Markets upgraded CenterPoint Energy from a “market perform” rating to an “outperform” rating and set a $42.00 price objective for the company in a report on Tuesday, January 13th. Wall Street Zen raised shares of CenterPoint Energy from a “sell” rating to a “hold” rating in a research note on Monday. Finally, KeyCorp raised shares of CenterPoint Energy from a “sector weight” rating to an “overweight” rating and set a $41.00 target price on the stock in a research report on Friday, December 12th. Seven investment analysts have rated the stock with a Buy rating, six have issued a Hold rating and one has issued a Sell rating to the company’s stock. According to MarketBeat, CenterPoint Energy presently has a consensus rating of “Hold” and a consensus price target of $42.00.

CenterPoint Energy Price Performance

The firm has a market capitalization of $28.31 billion, a P/E ratio of 27.10, a P/E/G ratio of 2.55 and a beta of 0.59. The stock’s fifty day simple moving average is $39.62 and its 200 day simple moving average is $39.04. The company has a debt-to-equity ratio of 1.84, a current ratio of 0.91 and a quick ratio of 0.79.

CenterPoint Energy (NYSE:CNP) last issued its quarterly earnings data on Thursday, February 19th. The utilities provider reported $0.45 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $0.46 by ($0.01). CenterPoint Energy had a return on equity of 10.46% and a net margin of 11.24%.The firm had revenue of $2.51 billion during the quarter, compared to analysts’ expectations of $2.23 billion. During the same period in the previous year, the firm earned $0.40 EPS. CenterPoint Energy has set its FY 2026 guidance at 1.900- EPS. On average, equities research analysts predict that CenterPoint Energy, Inc. will post 1.75 EPS for the current year.

CenterPoint Energy Increases Dividend

The firm also recently disclosed a quarterly dividend, which will be paid on Thursday, March 12th. Stockholders of record on Thursday, February 19th will be issued a dividend of $0.23 per share. The ex-dividend date is Thursday, February 19th. This represents a $0.92 annualized dividend and a dividend yield of 2.1%. This is a boost from CenterPoint Energy’s previous quarterly dividend of $0.22. CenterPoint Energy’s dividend payout ratio (DPR) is currently 57.50%.

Institutional Inflows and Outflows

Institutional investors and hedge funds have recently added to or reduced their stakes in the business. New Age Alpha Advisors LLC acquired a new stake in CenterPoint Energy in the fourth quarter worth about $25,000. Root Financial Partners LLC acquired a new stake in CenterPoint Energy in the 3rd quarter worth approximately $25,000. Harel Insurance Investments & Financial Services Ltd. acquired a new stake in CenterPoint Energy in the 3rd quarter worth approximately $26,000. LRI Investments LLC increased its stake in CenterPoint Energy by 107.9% during the 3rd quarter. LRI Investments LLC now owns 684 shares of the utilities provider’s stock valued at $27,000 after purchasing an additional 355 shares in the last quarter. Finally, Rothschild Investment LLC raised its holdings in shares of CenterPoint Energy by 165.0% in the fourth quarter. Rothschild Investment LLC now owns 734 shares of the utilities provider’s stock worth $28,000 after buying an additional 457 shares during the last quarter. 91.77% of the stock is currently owned by hedge funds and other institutional investors.

About CenterPoint Energy

CenterPoint Energy, Inc (NYSE: CNP) is a Houston-based regulated utility company that provides electric and natural gas delivery services and related infrastructure operations. The company’s principal activities center on the transmission and distribution of electricity in the greater Houston metropolitan area and the distribution of natural gas to customers across several states in the Midwest and South. As a vertically integrated utility, CenterPoint focuses on the reliable delivery of energy through owned and operated networks of lines, pipelines and associated facilities.

CenterPoint’s core businesses include regulated electric transmission and distribution services, regulated natural gas distribution, and the operation and maintenance of energy infrastructure.