Wells Fargo Lowers Public Service Enterprise Group Stock Price Expectations

Wells Fargo & Company has updated its outlook for Public Service Enterprise Group, reducing the target price for its stock from $100.00 to $95.00. This adjustment was highlighted in a research report released to clients on Wednesday. Despite the downgrade in target price, the brokerage still maintains an "overweight" rating for the utilities provider's shares. The new price target suggests a potential increase of about 14.05% from the current trading price of the stock.

In addition to Wells Fargo's assessment, several other equity research experts have also shared their insights. For example, Guggenheim reiterated a "buy" rating for Public Service Enterprise Group's shares in a report dated December 11th. Scotiabank increased its price target from $73.00 to $86.00 and issued a "sector perform" rating on December 12th. UBS Group also raised its target price from $94.00 to $98.00 while giving the stock a "neutral" rating in a report on October 30th. Conversely, Barclays downgraded its assessment from "overweight" to "equal weight" and lowered its target price from $88.00 to $84.00 in a report published on January 27th.

Overall, five analysts recommend holding the stock, seven suggest buying, and one has given a strong buy rating. According to data from MarketBeat, Public Service Enterprise Group currently has an average rating of "Moderate Buy" with a consensus price target of $88.42.

Public Service Enterprise Group Stock Performance

Shares of Public Service Enterprise Group were trading at $83.30 on Wednesday, experiencing a decline of 1.3%. The stock has fluctuated over the past year, reaching a low of $59.29 and a high of $95.22. The company's fifty-day simple moving average is $84.91, while the two-hundred-day moving average stands at $86.05. The company reports a current ratio of 0.68, a quick ratio of 0.48, and a debt-to-equity ratio of 1.18. With a market capitalization of $41.50 billion, the stock has a price-to-earnings (P/E) ratio of 20.34 and a P/E to growth (P/E/G) ratio of 2.78.

Recent Earnings Results

Public Service Enterprise Group released its earnings results on February 25th. The utility provider reported earnings per share (EPS) of $0.84 for the quarter, surpassing the consensus estimate of $0.83. The company achieved a return on equity of 10.70% and a net margin of 19.48%. Revenue for the quarter was $2.47 billion, exceeding the expected $2.03 billion. However, this figure reflects a 5.4% decrease in revenue from the same period last year. On average, analysts predict that Public Service Enterprise Group will report earnings of $3.67 per share for the current fiscal year.

Insider Trading Activity

In other developments, CEO Ralph A. Larossa recently sold 1,378 shares of Public Service Enterprise Group on February 3rd, at an average price of $83.10 per share, resulting in a transaction valued at approximately $114,511.80. Following the sale, the CEO continues to own 126,791 shares, which is worth about $10.54 million. This transaction constitutes a 1.08% reduction in the CEO's holdings. The details of this transaction were filed with the Securities and Exchange Commission and can be accessed through public records. Corporate insiders hold about 0.57% of the company's stock.

Institutional Investments

There have been several movements among institutional investors concerning Public Service Enterprise Group shares. Vanguard Group Inc. increased its stake in the company by 0.8% during the last quarter, bringing its holdings to over 60.77 million shares, valued at approximately $5.13 billion. Geode Capital Management LLC also raised its holdings by 3.1%, now owning about 12.2 million shares worth approximately $1.03 billion. Invesco Ltd. increased its stake by 10.2%, currently holding over 6.5 million shares valued at about $551 million. Northern Trust Corp increased its holdings by 6.1%, now owning roughly 5.8 million shares valued at around $490 million. FMR LLC raised its stake by 19.4% in the third quarter, currently owning over 5.4 million shares worth approximately $481.8 million. In total, institutional investors hold about 73.34% of Public Service Enterprise Group’s stock.

About Public Service Enterprise Group

Public Service Enterprise Group Incorporated operates in the electric and gas utility sectors in the United States through its subsidiaries. The company functions through its PSE&G and PSEG Power segments. The PSE&G segment offers electricity transmission, natural gas distribution, and appliance repair services to residential, commercial, and industrial customers. Furthermore, it invests in solar energy projects as well as energy efficiency initiatives.

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