FirstEnergy Unveils $36B Capex Plan, Morgan Stanley Boosts Target to $53
On February 20 Morgan Stanley kept an Overweight rating on FirstEnergy and lifted its price target to $53 from $50. FirstEnergy unveiled a $36 billion 2026-2030 capex plan (including $19 billion for transmission), delivered 2025 EPS of $1.77 and reiterated 2026 guidance of $2.62-$2.82.
1. Morgan Stanley Rating Update
On February 20 Morgan Stanley maintained its Overweight rating on FirstEnergy and raised the price target to $53 from $50, citing that utility stocks trailed the S&P 500 in January and emphasizing balanced discussions around data center pipeline economics and political factors.
2. Five-Year Capex Plan
FirstEnergy outlined a $36 billion capital expenditure program for 2026-2030, allocating more than $19 billion to transmission projects designed to modernize the grid, enhance reliability and support long-term growth across its regulated distribution and transmission segments.
3. 2025 Results and 2026 Guidance
The company reported 2025 net income of $1.02 billion ($1.77 per share), up from $978 million ($1.70 per share) the prior year, and reaffirmed its 2026 EPS forecast of $2.62 to $2.82 alongside announcing $6 billion in planned investments for 2026.