
Guggenheim expects growth to become more of an investment driver for the utility sector in 2025
Brokerage sees the sector outperforming broad markets as more nontraditional investors step in for exposure into trends such as power demand/datacenters, Trump’s energy revival, electrification and onshoring with domestic manufacturing
Historically, utility was not viewed by investors as a value sector or a growth sector, but this dynamic has changed, Guggenheim says
Brokerage upgrades American Electric Power AEP.O, DTE Energy DTE.N, Evergy EVRG.O, Exelon EXC.O, Idacorp IDA.N and Northwestern Energy NWE.O to "buy" from "neutral"
Downgrades CenterPoint Energy CNP.N, CMS Energy CMS.N, Edison International EIX.N and Southern Co SO.N to "neutral" from "buy"
Guggenheim changes PT on the following companies:
Company | New PT | Old PT | Upside/downside to stock's last close |
American Electric Power AEP.O | $101 | $86 | 3.6% |
CMS Energy CMS.N | $69 | $77 | 3.6% |
Consolidated Edison ED.N | $92 | $99 | 1.4% |
Edison International EIX.N | $60 | $91 | 3% |
Exelon EXC.O | $44 | $39 | 12.2% |
Idacorp IDA.N | $121 | $100 | 12.3% |
Evergy EVRG.O | $71 | $56 | 13% |
Southern Co SO.N | $93 | $97 | 12.7% |