JPMorgan initiates coverage on Excelerate Energy stock with Neutral rating

Published 08/09/2025, 13:00
JPMorgan initiates coverage on Excelerate Energy stock with Neutral rating

Investing.com - JPMorgan has initiated coverage on Excelerate Energy Inc (NYSE:EE) with a Neutral rating and a price target of $30.00, according to a research note released Monday.

The price target represents JPMorgan’s expectations for Excelerate Energy’s valuation by December 2026. The company was previously covered by a different analyst at the firm who had assigned an Underweight rating with a December 2025 price target of $32.

JPMorgan highlighted Excelerate Energy’s recent Jamaica acquisition as a strategic expansion of its downstream operations through critical last-mile infrastructure, which also provides a platform for capital-efficient growth.

The firm noted that more than 90% of Excelerate Energy’s cash flows are protected by take-or-pay agreements, largely insulating operations from commodity market volatility and increasing long-term business stability.

While JPMorgan acknowledged Excelerate Energy’s ambitions for global LNG access and visible growth driven by global LNG adoption, the firm indicated it would await execution across the portfolio before developing stronger long-term investor confidence. The company has demonstrated solid performance with revenue growth of 9.86% over the last twelve months, and InvestingPro data indicates net income is expected to grow this year.

In other recent news, Excelerate Energy Inc. reported its second-quarter 2025 earnings, showing an earnings per share (EPS) of $0.34, which exceeded the forecast of $0.29 by 17.24%. Despite this positive earnings surprise, the company’s revenue did not meet expectations, registering $204.6 million compared to the anticipated $243.2 million, a shortfall of 15.87%. Additionally, Wells Fargo upgraded Excelerate Energy’s stock rating from Underweight to Equal Weight, raising the price target to $26.00 from $23.00. This upgrade was influenced by an expanded organic growth opportunity following Excelerate Energy’s acquisition in Jamaica. These developments are part of the company’s recent activities. Wells Fargo also noted the stock’s underperformance, with shares down 26% year-to-date, contrasting with broader market trends.

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