Top utilities’ price targets
In this part, we’ll look at analysts’ recommendations for top US utilities (XLU). Among a few large utilities in the sector, analysts seem to be optimistic about NextEra Energy (NEE) over the next year.
According to analysts’ estimates, NextEra Energy has a price target of $137.67. It implies estimated upside of nearly 4% in one year from its current market price of $132.80. Of the 18 analysts tracking NextEra Energy, five recommend it as a “strong buy,” 11 recommend it as a “buy,” and two recommend it as a “hold.” It should be noted that none of the analysts have a “sell” recommendation on NextEra Energy as of March 27, 2017.
Wall Street analysts’ consensus price target for Duke Energy (DUK) is $80.89. Its current market price is $82.99. It implies a fall of nearly 2.5% over the next year. The price target for Southern Company (SO) is $50.71. Its current market price is $50.42. It implies a rise of just 0.6% over the next year.
In comparison, analysts expect flat to negative movement in Dominion Resources (D) over the next year. According to analysts’ estimates, it has a price target of $77.41—compared to its current market price of $78.26.
Read These S&P 500 Utilities Offer Big Upsides after the Rate Hike to learn more.