Evercore ISI Cuts Duke Energy Target to $139, Downgrades Rating After 15% Rally
Evercore ISI downgraded Duke Energy to In Line from Outperform and cut its price target to $139 from $143 after a 15% share rally since December. The firm still cites premium-service territories, a sizable load growth pipeline and heavy infrastructure investments with efficient-recovery mechanisms supporting long-term growth.
1. Evercore ISI Downgrades Rating
On March 5 Evercore ISI moved Duke Energy’s rating to In Line from Outperform and lowered its price target to $139 from $143, noting the stock’s roughly 15% gain since early December.
2. Infrastructure Investment and Load Growth
The firm pointed to Duke’s premium-service state territories, its sizable pipeline of electricity load growth and ongoing investments in electric infrastructure that qualify for efficient-recovery mechanisms as key growth drivers.
3. EPS Guidance and Yield
Company management is guiding for annual EPS growth of 5%–7% and an expanding regulated rate base, while the stock’s roughly 3.4% dividend yield and premium valuation multiple underwrite its income profile.