Zacks Investment Research Upgrades Dominion Energy (D) to “Buy”
Zacks Investment Research upgraded shares of Dominion Energy (NYSE:D) from a hold rating to a buy rating in a research note published on Wednesday morning. Zacks Investment Research currently has $85.00 target price on the utilities provider’s stock.
According to Zacks, “Dominion Energy’s recent merger deal with SCANA is going to be immediately accretive to earnings and boost performance of Dominion. Dominion Energy is benefiting from its regulated growth projects and synergies from Questar acquisition. The company’s expansion of electric transmission, natural gas facilities, green power generation and midstream assets are strong positives. The company has raised its dividend rate and is in line with the company’s objective to increase annual dividend by 10% per year from 2017 to 2020, starting 4Q17. The drop in Dominion Energy’s stock value is narrower compared with industry’s loss in the last three months. However, Dominion Energy’s near term prospects and earnings will adversely impacted due to lower solar investment tax credit, higher PJM electric capacity expenses and lower earnings from Cove Point due to the roll off of one of its import contracts.”
A number of other analysts also recently issued reports on the company. Bank of America initiated coverage on Dominion Energy in a research report on Tuesday, October 24th. They set a neutral rating and a $80.00 price objective for the company. JPMorgan Chase & Co. raised their price objective on Dominion Energy from $78.00 to $82.00 and gave the stock a neutral rating in a research report on Thursday, October 12th. KeyCorp reissued a hold rating on shares of Dominion Energy in a research report on Friday, October 20th. Morgan Stanley raised their price objective on Dominion Energy from $85.00 to $87.00 and gave the stock an equal weight rating in a research report on Wednesday, December 13th. Finally, Citigroup raised their price objective on Dominion Energy from $76.00 to $78.00 and gave the stock a neutral rating in a research report on Tuesday, October 17th. Eleven equities research analysts have rated the stock with a hold rating and four have issued a buy rating to the company. The company presently has a consensus rating of Hold and an average price target of $82.10.
Dominion Energy (NYSE:D) last issued its quarterly earnings data on Monday, October 30th. The utilities provider reported $1.04 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $1.02 by $0.02. The firm had revenue of $3.18 billion during the quarter, compared to the consensus estimate of $3.31 billion. Dominion Energy had a return on equity of 13.32% and a net margin of 17.21%. The company’s quarterly revenue was up 1.5% on a year-over-year basis. During the same period last year, the company earned $1.14 EPS. sell-side analysts expect that Dominion Energy will post 3.6 EPS for the current year.
In other Dominion Energy news, Director John W. Harris sold 5,616 shares of Dominion Energy stock in a transaction dated Friday, November 3rd. The stock was sold at an average price of $80.71, for a total value of $453,267.36. Following the completion of the transaction, the director now directly owns 18,920 shares of the company’s stock, valued at approximately $1,527,033.20. The transaction was disclosed in a filing with the SEC, which is accessible through this hyperlink. Insiders own 0.37% of the company’s stock.
Several institutional investors have recently made changes to their positions in D. Janus Henderson Group PLC grew its position in shares of Dominion Energy by 1,955.1% during the second quarter. Janus Henderson Group PLC now owns 1,672,437 shares of the utilities provider’s stock worth $128,159,000 after buying an additional 1,591,057 shares in the last quarter. Wells Fargo & Company MN grew its position in shares of Dominion Energy by 24.7% during the second quarter. Wells Fargo & Company MN now owns 6,110,200 shares of the utilities provider’s stock worth $468,223,000 after buying an additional 1,209,768 shares in the last quarter. Vanguard Group Inc. grew its position in shares of Dominion Energy by 2.7% during the second quarter. Vanguard Group Inc. now owns 44,796,520 shares of the utilities provider’s stock worth $3,432,756,000 after buying an additional 1,194,152 shares in the last quarter. Commonwealth Bank of Australia grew its position in shares of Dominion Energy by 31.7% during the second quarter. Commonwealth Bank of Australia now owns 4,211,120 shares of the utilities provider’s stock worth $322,696,000 after buying an additional 1,014,670 shares in the last quarter. Finally, Epoch Investment Partners Inc. grew its position in shares of Dominion Energy by 24.1% during the third quarter. Epoch Investment Partners Inc. now owns 3,527,979 shares of the utilities provider’s stock worth $271,408,000 after buying an additional 684,637 shares in the last quarter. 64.50% of the stock is owned by institutional investors and hedge funds.
About Dominion Energy
Dominion Energy, Inc, formerly Dominion Resources, Inc, is a producer and transporter of energy. Dominion is focused on its investment in regulated electric generation, transmission and distribution and regulated natural gas transmission and distribution infrastructure. It operates through three segments: Dominion Virginia Power operating segment (DVP), Dominion Generation, Dominion Energy, and Corporate and Other.
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