Wall Street Zen has downgraded the shares of NiSource (NYSE: NI) from a hold rating to a sell rating, as indicated in a research report released on Saturday. This shift comes amid varying assessments from other financial analysts regarding NiSource’s stock performance and future outlook.
Several research firms have recently provided updated ratings and price targets for NiSource. On October 31, Jefferies Financial Group upgraded NiSource from a hold to a buy rating, raising their price target from $46.00 to $50.00. Similarly, BMO Capital Markets increased their price objective from $46.00 to $47.00 and rated the stock as outperform in their report on September 29.
In addition, Barclays raised its price target from $44.00 to $46.00, designating the company with an overweight rating on October 21, while Mizuho boosted its target from $44.00 to $50.00 with an outperform rating. Evercore ISI also increased its target price from $46.00 to $47.00, providing an in-line rating on October 30.
Currently, one analyst has given NiSource a strong buy rating, eight have issued buy ratings, and two have assigned hold ratings. According to MarketBeat.com, the stock holds an average rating of “moderate buy” with a consensus price target of $46.44.
NiSource Reports Earnings and Executive Activity
In its latest earnings report, NiSource revealed that for the quarter ending October 29, it reported earnings per share (EPS) of $0.19, falling short of the consensus estimate of $0.20 by $0.01. The company generated revenue of $1.27 billion for the quarter, surpassing analyst expectations of $983.25 million. The firm’s return on equity stood at 8.09%, with a net margin of 14.15%. In comparison, during the same quarter last year, NiSource had an EPS of $0.20.
Looking ahead, NiSource has provided guidance for fiscal years 2025 and 2026, projecting EPS of $1.870 to $1.890 for 2025 and $2.020 to $2.070 for 2026. Sell-side analysts anticipate that NiSource will achieve an EPS of $1.91 for the current fiscal year.
In other corporate news, Kimberly S. Cuccia, Executive Vice President, sold 8,000 shares of NiSource on November 25 at an average price of $43.13, totaling $345,040. Following this transaction, Cuccia’s holdings in the company decreased by 16.24%, leaving her with 41,247 shares valued at approximately $1,778,983.11. This transaction was disclosed in a filing with the U.S. Securities and Exchange Commission (SEC).
Investor Activity and Ownership Trends
Recent movements among institutional investors indicate a significant shift in ownership of NiSource shares. Orion Portfolio Solutions LLC increased its stake by 55,625.2% during the second quarter, acquiring an additional 16,836,630 shares, bringing their total to 16,866,898 shares valued at approximately $680.4 million.
Norges Bank also made notable moves by acquiring a new stake worth around $296.5 million. Other significant investors include Vanguard Group Inc., which raised its holdings by 5.3%, now owning 60,844,001 shares valued at approximately $2.4 billion, and Millennium Management LLC, which increased its stake by 2,288.8% in the third quarter, now holding 3,166,313 shares valued at $137.1 million.
Overall, institutional investors and hedge funds own approximately 91.64% of NiSource’s stock, reflecting strong institutional interest in the company.
NiSource operates as a regulated natural gas and electric utility company in the United States, serving approximately 3.3 million customers across several states, including Indiana, Ohio, Pennsylvania, Virginia, Kentucky, and Maryland. The company continues to adapt to market conditions while navigating investor sentiment and analyst evaluations.
