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HOUSTON - CenterPoint Energy, Inc. (NYSE:CNP), currently trading near its 52-week high at $39.13 with a market capitalization of $25.54 billion, announced a $65 billion capital investment plan spanning from 2026 through 2035 to support growing electric demand across its service territories, particularly in Texas. According to InvestingPro data, the company has demonstrated strong market performance with a 36.73% return over the past year.
The utility company has identified more than $10 billion in additional investment opportunities beyond the core plan that could further enhance customer outcomes, according to a company press release. With a proven track record of 55 consecutive years of dividend payments and a current dividend yield of 2.27%, CenterPoint has demonstrated consistent shareholder returns.
CenterPoint raised its 2025 non-GAAP earnings per share guidance to $1.75-$1.77 from the previous $1.74-$1.76 range, representing 9% growth at the midpoint from 2024 results. The company also initiated 2026 non-GAAP guidance of $1.89-$1.91 per share, targeting 8% growth from the 2025 midpoint.
The Houston-based utility introduced increased long-term non-GAAP EPS annual growth targets at the mid-to-high end of 7%-9% from 2026 through 2028, and 7%-9% thereafter through 2035. InvestingPro analysis reveals that 2 analysts have recently revised their earnings estimates upward for the upcoming period, suggesting growing confidence in the company’s execution capabilities. For deeper insights into CenterPoint’s growth potential and comprehensive financial analysis, investors can access the detailed Pro Research Report available on InvestingPro.
CenterPoint forecasts electric peak load demand in its Houston Electric business to increase by nearly 50% to 31 gigawatts by 2031, and to double to approximately 42 gigawatts by the mid-2030s. The new capital plan represents an increase of nearly 40% compared to the investment plan introduced in 2021.
"Every investment we make at CenterPoint is in service of our approximately seven million-metered customers," said Jason Wells, President and CEO of CenterPoint.
The company stated that its customer-driven approach, combined with efficient financing and execution capabilities, should help keep customer rates in line with inflation despite the significant investments planned.
CenterPoint Energy is the only investor-owned electric and gas utility based in Texas, serving customers across Indiana, Minnesota, Ohio, and Texas with electric transmission, distribution, power generation, and natural gas distribution operations.
In other recent news, CenterPoint Energy announced the pricing of $900 million in convertible senior notes, due in 2028, with a 3.00% interest rate. The company has also launched cash tender offers to repurchase up to $500 million of its outstanding debt securities, aiming to reduce its indebtedness. Additionally, CenterPoint Energy Restoration Bond Co II, a subsidiary of CenterPoint Energy Houston Electric, issued $401.5 million in Series 2025-A Senior Secured System Restoration Bonds.
Wolfe Research has raised the price target for CenterPoint Energy to $43 from $42, maintaining an Outperform rating. The research firm cited the company’s projected rate base growth of approximately 11% through 2030, supported by customer expansion in key service territories. CenterPoint Energy is offering to buy back up to $300 million of its senior notes and up to $200 million of general mortgage bonds. The company has also granted initial purchasers an option to buy up to an additional $100 million in convertible notes. These developments reflect CenterPoint Energy’s strategic financial maneuvers and growth projections.
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