Analysts' ratings for CenterPoint Energy CNP over the last quarter vary from bullish to bearish, as provided by 10 analysts.
The table below summarizes their recent ratings, showcasing the evolving sentiments within the past 30 days and comparing them to the preceding months.
| Bullish | Somewhat Bullish | Indifferent | Somewhat Bearish | Bearish | |
|---|---|---|---|---|---|
| Total Ratings | 0 | 7 | 3 | 0 | 0 |
| Last 30D | 0 | 0 | 2 | 0 | 0 |
| 1M Ago | 0 | 3 | 1 | 0 | 0 |
| 2M Ago | 0 | 2 | 0 | 0 | 0 |
| 3M Ago | 0 | 2 | 0 | 0 | 0 |
The 12-month price targets assessed by analysts reveal further insights, featuring an average target of $30.7, a high estimate of $33.00, and a low estimate of $28.00. A decline of 2.23% from the prior average price target is evident in the current average.
Breaking Down Analyst Ratings: A Detailed Examination
A comprehensive examination of how financial experts perceive CenterPoint Energy is derived from recent analyst actions. The following is a detailed summary of key analysts, their recent evaluations, and adjustments to ratings and price targets.
| Analyst | Analyst Firm | Action Taken | Rating | Current Price Target | Prior Price Target |
|---|---|---|---|---|---|
| Jeremy Tonet | JP Morgan | Lowers | Neutral | $29.00 | $32.00 |
| James Thalacker | BMO Capital | Lowers | Market Perform | $28.00 | $31.00 |
| James Thalacker | BMO Capital | Lowers | Outperform | $31.00 | $32.00 |
| James Thalacker | BMO Capital | Lowers | Outperform | $32.00 | $33.00 |
| Sophie Karp | Keybanc | Lowers | Overweight | $31.00 | $33.00 |
| Stephen Byrd | Morgan Stanley | Lowers | Equal-Weight | $29.00 | $30.00 |
| James Thalacker | BMO Capital | Raises | Outperform | $33.00 | $32.00 |
| Stephen Byrd | Morgan Stanley | Lowers | Overweight | $30.00 | $31.00 |
| Stephen Byrd | Morgan Stanley | Raises | Overweight | $31.00 | $29.00 |
| Sophie Karp | Keybanc | Raises | Overweight | $33.00 | $31.00 |
Key Insights:
- Action Taken: Responding to changing market dynamics and company performance, analysts update their recommendations. Whether they 'Maintain', 'Raise', or 'Lower' their stance, it signifies their response to recent developments related to CenterPoint Energy. This offers insight into analysts' perspectives on the current state of the company.
- Rating: Unveiling insights, analysts deliver qualitative insights into stock performance, from 'Outperform' to 'Underperform'. These ratings convey expectations for the relative performance of CenterPoint Energy compared to the broader market.
- Price Targets: Delving into movements, analysts provide estimates for the future value of CenterPoint Energy's stock. This analysis reveals shifts in analysts' expectations over time.
Capture valuable insights into CenterPoint Energy's market standing by understanding these analyst evaluations alongside pertinent financial indicators. Stay informed and make strategic decisions with our Ratings Table.
Stay up to date on CenterPoint Energy analyst ratings.
About CenterPoint Energy
CenterPoint Energy owns a portfolio of businesses. Its regulated electric utilities provide transmission and distribution services to more than 2.5 million customers in the Houston area, southern Indiana, and west central Ohio. The company has natural gas distribution systems serving approximately 4 million customers.
Key Indicators: CenterPoint Energy's Financial Health
Market Capitalization Analysis: Below industry benchmarks, the company's market capitalization reflects a smaller scale relative to peers. This could be attributed to factors such as growth expectations or operational capacity.
Positive Revenue Trend: Examining CenterPoint Energy's financials over 3 months reveals a positive narrative. The company achieved a noteworthy revenue growth rate of 1.6% as of 30 June, 2024, showcasing a substantial increase in top-line earnings. When compared to others in the Utilities sector, the company excelled with a growth rate higher than the average among peers.
Net Margin: The company's net margin is below industry benchmarks, signaling potential difficulties in achieving strong profitability. With a net margin of 11.97%, the company may need to address challenges in effective cost control.
Return on Equity (ROE): The company's ROE is below industry benchmarks, signaling potential difficulties in efficiently using equity capital. With an ROE of 2.24%, the company may need to address challenges in generating satisfactory returns for shareholders.
Return on Assets (ROA): CenterPoint Energy's ROA is below industry averages, indicating potential challenges in efficiently utilizing assets. With an ROA of 0.56%, the company may face hurdles in achieving optimal financial returns.
Debt Management: With a below-average debt-to-equity ratio of 1.85, CenterPoint Energy adopts a prudent financial strategy, indicating a balanced approach to debt management.
The Significance of Analyst Ratings Explained
Benzinga tracks 150 analyst firms and reports on their stock expectations. Analysts typically arrive at their conclusions by predicting how much money a company will make in the future, usually the upcoming five years, and how risky or predictable that company's revenue streams are.
Analysts attend company conference calls and meetings, research company financial statements, and communicate with insiders to publish their ratings on stocks. Analysts typically rate each stock once per quarter or whenever the company has a major update.
In addition to their assessments, some analysts extend their insights by offering predictions for key metrics such as earnings, revenue, and growth estimates. This supplementary information provides further guidance for traders. It is crucial to recognize that, despite their specialization, analysts are human and can only provide forecasts based on their beliefs.
This article was generated by Benzinga's automated content engine and reviewed by an editor.
© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
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