D-Wave Quantum falls nearly 3% as earnings miss overshadows revenue beat
Investing.com - KeyBanc Capital Markets has raised its price target on Ameren Corp . (NYSE:AEE) to $104.00 from $103.00 while maintaining an Overweight rating on the utility company’s stock. According to InvestingPro data, analyst targets for the $26 billion utility range from $89.32 to $115, with the stock currently trading near $96.
The research firm cited Ameren’s high-quality utility operations that are benefiting from positive load growth trends in Missouri and Illinois, which support the company’s forecasted sales growth compound annual growth rate (CAGR) of 5.5% between 2025-2029.
KeyBanc views Ameren as presenting an attractive growth story based on infrastructure and artificial intelligence demand in its territories, which requires capital investments that fuel a 9.2% rate base CAGR and helps the company deliver earnings within its long-term EPS targets.
The firm also noted that concerns about Illinois regulatory issues, which were a focus for much of 2024, have largely dissipated.
KeyBanc expects Ameren to trade at a premium to its peers due to these positive factors driving the company’s growth outlook.
In other recent news, Ameren Corporation announced a public offering of $520 million in common stock, utilizing a forward sale agreement structure with major financial institutions like Goldman Sachs and J.P. Morgan as joint managers. The proceeds from this offering are expected to support general corporate purposes, including debt repayment. Additionally, Ameren’s board declared quarterly dividends for both its common and preferred stock, reflecting its commitment to shareholder returns. These developments come amidst Jefferies’ adjustment of Ameren’s stock price target to $115 from $118, while maintaining a Buy rating, citing Ameren’s robust growth profile and regulatory environment as key factors. Jefferies also noted that Ameren’s $26 billion capital program is financially sound, supported by a strong balance sheet and manageable equity needs. The firm highlighted an 8% earnings per share compound annual growth rate, driven by Ameren Missouri’s return on equity improvements and future customer load increases. Ameren’s strategic initiatives and infrastructure investments continue to be focal points for analysts and investors alike.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.