Breaking Down CenterPoint Energy: 7 Analysts Share Their Views

Ratings for CenterPoint Energy CNP were provided by 7 analysts in the past three months, showcasing a mix of bullish and bearish perspectives.

The table below provides a concise overview of recent ratings by analysts, offering insights into the changing sentiments over the past 30 days and drawing comparisons with the preceding months for a holistic perspective.

Analysts have recently evaluated CenterPoint Energy and provided 12-month price targets. The average target is $36.0, accompanied by a high estimate of $42.00 and a low estimate of $30.00. This upward trend is evident, with the current average reflecting a 10.19% increase from the previous average price target of $32.67.

Understanding Analyst Ratings: A Comprehensive Breakdown

The perception of CenterPoint Energy by financial experts is analyzed through recent analyst actions. The following summary presents key analysts, their recent evaluations, and adjustments to ratings and price targets.

| Analyst | Analyst Firm | Action Taken | Rating |Current Price Target| Prior Price Target | |---------------------|--------------------|---------------|---------------|--------------------|--------------------| |Nicholas Campanella |Barclays |Raises |Equal-Weight | $37.00|$30.00 | |Julien Dumoulin-Smith|Jefferies |Announces |Buy | $42.00|- | |David Arcaro |Morgan Stanley |Raises |Equal-Weight | $34.00|$32.00 | |James Thalacker |BMO Capital |Raises |Market Perform | $36.00|$35.00 | |Jeremy Tonet |JP Morgan |Raises |Neutral | $36.00|$34.00 | |Durgesh Chopra |Evercore ISI Group |Raises |Outperform | $37.00|$36.00 | |Nicholas Campanella |Barclays |Raises |Underweight | $30.00|$29.00 |

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: Delving into assessments, analysts assign qualitative values, from 'Outperform' to 'Underperform'. These ratings communicate expectations for the relative performance of CenterPoint Energy compared to the broader market.
• Price Targets: Analysts provide insights into price targets, offering estimates for the future value of CenterPoint Energy's stock. This comparison reveals trends in analysts' expectations over time.

Navigating through these analyst evaluations alongside other financial indicators can contribute to a holistic understanding of CenterPoint Energy's market standing. Stay informed and make data-driven 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.

CenterPoint Energy: Financial Performance Dissected

Market Capitalization: Boasting an elevated market capitalization, the company surpasses industry averages. This signals substantial size and strong market recognition.

Positive Revenue Trend: Examining CenterPoint Energy's financials over 3M reveals a positive narrative. The company achieved a noteworthy revenue growth rate of 3.67% as of 31 December, 2024, showcasing a substantial increase in top-line earnings. In comparison to its industry peers, the company trails behind with a growth rate lower than the average among peers in the Utilities sector.

Net Margin: CenterPoint Energy's net margin lags behind industry averages, suggesting challenges in maintaining strong profitability. With a net margin of 10.96%, the company may face hurdles in effective cost management.

Return on Equity (ROE): CenterPoint Energy's financial strength is reflected in its exceptional ROE, which exceeds industry averages. With a remarkable ROE of 2.34%, the company showcases efficient use of equity capital and strong financial health.

Return on Assets (ROA): CenterPoint Energy's ROA is below industry averages, indicating potential challenges in efficiently utilizing assets. With an ROA of 0.57%, the company may face hurdles in achieving optimal financial returns.

Debt Management: With a below-average debt-to-equity ratio of 1.97, CenterPoint Energy adopts a prudent financial strategy, indicating a balanced approach to debt management.

The Core of Analyst Ratings: What Every Investor Should Know

Analysts are specialists within banking and financial systems that typically report for specific stocks or within defined sectors. These people research company financial statements, sit in conference calls and meetings, and speak with relevant insiders to determine what are known as analyst ratings for stocks. Typically, analysts will rate each stock once a quarter.

Analysts may supplement their ratings with predictions for metrics like growth estimates, earnings, and revenue, offering investors a more comprehensive outlook. However, investors should be mindful that analysts, like any human, can have subjective perspectives influencing their forecasts.

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This article was generated by Benzinga's automated content engine and reviewed by an editor.