On January 21, Morgan Stanley raised its price target on Public Service Enterprise Group to $92 from $89 and reaffirmed an Overweight rating after refreshing its Regulated and Diversified Utilities and IPP coverage in North America. The firm cited underperformance by utilities versus the S&P 500 in December as a catalyst for revising its outlook. The string of analyst upgrades and higher price targets reflect growing confidence in PSEG’s utility fundamentals and valuation. Coupled with the LIPA contract extension, these developments are expected to support stable cash flows and could underpin upside potential for the stock. A day earlier, Wells Fargo upgraded PSEG to Overweight from Equal Weight and boosted its target to $92 from $88, noting converging fundamentals despite potential New Jersey–related headwinds and highlighting regulated generation opportunities. On January 7, Ladenburg Thalmann moved its rating to Buy and set a $87.50 target, contributing to a series of positive analyst revisions. On December 30, the New York State comptroller approved the extension of PSEG Long Island’s operations services agreement with the Long Island Power Authority, effective January 1, 2026 through December 31, 2030. PSEG Long Island has managed the electric grid for LIPA since 2014, ensuring continued regulated revenue streams.