12:00 PM EDT, 03/26/2024 (MT Newswires) -- CFRA, an independent research provider, has provided MT Newswires with the following research alert. Analysts at CFRA have summarized their opinion as follows:
We raise our 12-month target $44 to $204, 26.7x our 2024 EPS estimate (unchanged at $7.63; we lower our 2025 estimate $0.40 to $7.99), a wide premium to regulated electric utilities within a favorable environment for nuclear-powered electricity generation, in our view. Shares are up ~60% YTD, supported by CEG's attractive guidance for EPS and dividend growth. While we think CEG's positioning is favorable should inflation continue to moderate toward 2%, we also note that CEG stands to see incrementally higher revenues if inflation accelerates given the nuclear production tax credit (PTC) floor within the Inflation Reduction Act. We see low risk for a reduction or repeal of the nuclear PTC in the near term, even under a second Trump administration or a Republican sweep of Congress in November. CEG stands to benefit from data center electricity demand growth from AI developments, in our view, particularly among large tech companies looking for low or zero carbon emissions solutions. Shares yield 0.7%.