Mizuho raises Ameren stock price target to $108 on strong outlook

Published 04/08/2025, 16:56
Mizuho raises Ameren stock price target to $108 on strong outlook

Investing.com - Mizuho (NYSE:MFG) raised its price target on Ameren Corp . (NYSE:AEE) to $108.00 from $105.00 on Monday, while maintaining an Outperform rating on the utility company’s stock. The stock, currently trading near its 52-week high of $104.1, has delivered an impressive 16.24% return year-to-date, according to InvestingPro data.

The price target increase follows Ameren management’s reaffirmation of its 2025 earnings per share guidance of $4.85-$5.05, with expectations now trending toward the upper half of that range. The company also reiterated its 6%-8% EPS compound annual growth rate for 2025-2029, anticipating results toward the high end in the mid-to-late years of the plan. InvestingPro data shows that 4 analysts have recently revised their earnings estimates upward, while the company maintains a strong track record of raising dividends for 11 consecutive years.

Ameren’s outlook is supported by robust sales growth assumptions and a 9.2% rate base compound annual growth rate. The company continues to experience strong demand from data center customers and is actively engaged in discussions to expand existing construction agreements.

On the regulatory front, Ameren received balanced Staff testimony in its Illinois electric and gas proceedings, with final decisions expected by year-end. The utility could see additional transmission opportunities from MISO’s $6.5 billion of competitive transmission projects and its Future Scenario Redesign study.

Mizuho’s price target adjustment reflects current valuation multiples for the utility company, which operates across several attractive states for business development.

In other recent news, Ameren Corp reported financial results for the second quarter of 2025 that exceeded expectations. The company announced earnings per share of $1.01, surpassing the projected $0.99. Additionally, Ameren Corp reported a revenue of $2.22 billion, which significantly exceeded the anticipated $1.8 billion. These developments highlight the company’s strong performance in the recent quarter. No recent mergers or acquisitions were reported for Ameren Corp. Analyst ratings for the company have not been updated recently. These recent developments provide investors with key insights into Ameren Corp’s financial health and operational success.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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