Utility stocks have been rising for the past few months. They’re offering flattish to negative movement based on analysts’ target prices for the next year. Recently, some brokerages increased utilities’ target prices. Renewed geopolitical tensions and the Fed’s intentions to pause interest rate hikes for the rest of the year could be some of the important drivers behind utilities’ improved target prices.
American Electric Power (AEP) offers a potential downside of more than 2% for the next 12 months. Barclays raised AEP’s target price from $84.0 to $91.0 on March 20.
Exelon (EXC), one of the top gainers among utilities last year, has a median target price of $49.9 for the next 12 months. UBS raised Exelon’s target price from $53.0 to $56.0 last week.
FirstEnergy (FE) offers a potential upside of 3.4% for the next 12 months. The stock has rallied almost 25% over the past 12 months. UBS raised its target price from $45.0 to $47.0 last week. Barclays upgraded FirstEnergy from equal weight to overweight and increased its target price from $40.0 to $46.0.
UBS raised Sempra Energy’s (SRE) target price from $129.0 to $141.0 on March 21. J.P. Morgan also increased the target price from $121.0 to $130.0 last week.
Xcel Energy (XEL) stock offers a potential downside of more than 4% for the next year. UBS raised the target price from $55.0 to $59.0 last week.
To learn about top utilities’ target prices and analysts’ views, read Brokerages Raised Top Utilities’ Price Targets.