XPLR Infrastructure stock price target raised to $16 from $13 at Jefferies

Investing.com - Jefferies raised its price target on XPLR Infrastructure (NYSE:XIFR) to $16.00 from $13.00 on Wednesday, while maintaining a Buy rating on the stock. The new target represents significant upside potential from the current price of $8.42, with InvestingPro analysis indicating the stock is currently undervalued.

The firm updated its forecast for Power Purchase Agreement (PPA) pricing following a detailed Levelized Cost of Energy (LCOE) study across various generation resources.

Jefferies expressed increased confidence that XIFR will be able to re-contract its existing assets at premium rates as current PPAs expire, noting that the rolloff of Investment Tax Credits ( ITC (NSE:ITC)) and Production Tax Credits (PTCs) over time will have an inflationary effect on asset resets.

The research firm indicated growing bullishness on all power assets, including incumbent renewables like those in the XPLR Infrastructure portfolio.

The $3 increase in the price target to $16 per share reflects a higher Net Present Value (NPV) assessment of the company’s assets.

In other recent news, XPLR Infrastructure has secured $426 million in project-level loans to support its renewable energy projects. The loans were obtained through its subsidiaries, Clark Portfolio Holdings and Lewis (JO:LEWJ) Portfolio Holdings, and are set to mature in June 2030. These financings align with the company’s 2025-2026 financing plan. On the financial front, XPLR Infrastructure reported a net loss of $98 million for the first quarter, primarily due to a non-cash goodwill impairment. However, the company saw a 2% year-over-year increase in adjusted EBITDA, reaching $471 million, supported by increased net generation. Mizuho (NYSE:MFG) Securities adjusted its price target for XPLR Infrastructure to $12 from $15, while maintaining a Neutral rating. During its 2025 Annual Meeting of Unitholders, XPLR Infrastructure’s director nominees were elected with a majority of votes, and Deloitte & Touche LLP was ratified as the independent auditor for 2025. The unitholders also approved the executive compensation proposal with 90.8% of votes in favor.

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