BMO Capital Markets lifts CenterPoint Energy Inc. [CNP] price estimate. Who else is bullish?



CenterPoint Energy Inc. [NYSE: CNP] traded at a high on 01/10/22, posting a 0.11 gain after which it closed the day’ session at $27.69. The company report on January 10, 2022 that CenterPoint Energy completes sale of its Arkansas and Oklahoma natural gas distribution businesses to Summit Utilities.

CenterPoint Energy, Inc. (NYSE: CNP) today announced that it has successfully completed the previously announced sale of its natural gas distribution utilities in Arkansas and Oklahoma to Summit Utilities, Inc. The assets include approximately 17,000 miles of main pipeline in Arkansas, Oklahoma and Texarkana, serving more than 500,000 residential and business customers.

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The transaction received all necessary federal and state regulatory approvals, including from the Arkansas Public Service Commission, Oklahoma Corporation Commission and Federal Energy Regulatory Commission. Summit will immediately assume responsibility for serving CenterPoint Energy’s former customers in Arkansas, Oklahoma and Texarkana.

The results of the trading session contributed to over 8186749 shares changing hands. Over the past one week, the price volatility of CenterPoint Energy Inc. stands at 1.58% while the volatility over the past one month is 1.62%.

The market cap for CNP stock reached $17.41 billion, with 628.87 million shares outstanding and 627.73 million shares in the current float. Compared to the average trading volume of 4.18M shares, CNP reached a trading volume of 8186749 in the most recent trading day, which is why market watchdogs consider the stock to be active.

What do top market gurus say about CenterPoint Energy Inc. [CNP]?

Based on careful and fact-backed analyses by Wall Street experts, the current consensus on the target price for CNP shares is $28.80 per share. Analysis on target price and performance of stocks is usually carefully studied by market experts, and the current Wall Street consensus on CNP stock is a recommendation set at 2.10. This rating represents a strong Buy recommendation, on the scale from 1 to 5, where 5 would mean strong sell, 4 represents Sell, 3 is Hold, and 2 indicates Buy.

BMO Capital Markets have made an estimate for CenterPoint Energy Inc. shares, keeping their opinion on the stock as Outperform, with their previous recommendation back on January 10, 2022. While these analysts kept the previous recommendation, Scotiabank raised their target price to Sector Perform. The new note on the price target was released on December 15, 2021, representing the official price target for CenterPoint Energy Inc. stock. Previously, the target price had yet another raise to $31, while JP Morgan analysts kept a Overweight rating on CNP stock. On October 01, 2021, analysts increased their price target for CNP shares from 28 to 30.

The Average True Range (ATR) for CenterPoint Energy Inc. is set at 0.47, with the Price to Sales ratio for CNP stock in the period of the last 12 months amounting to 2.15. The Price to Book ratio for the last quarter was 2.07, with the Price to Cash per share for the same quarter was set at 1.66.

How has CNP stock performed recently?

CenterPoint Energy Inc. [CNP] gain into the green zone at the end of the last week, gaining into a positive trend and gaining by 0.25. With this latest performance, CNP shares gained by 0.54% in over the last four-week period, additionally plugging by 12.20% over the last 6 months – not to mention a rise of 33.19% in the past year of trading.

Overbought and oversold stocks can be easily traced with the Relative Strength Index (RSI), where an RSI result of over 70 would be overbought, and any rate below 30 would indicate oversold conditions. An RSI rate of 50 would represent a neutral market momentum. The current RSI for CNP stock in for the last two-week period is set at 54.95, with the RSI for the last a single of trading hit 54.46, and the three-weeks RSI is set at 55.27 for CenterPoint Energy Inc. [CNP]. The present Moving Average for the last 50 days of trading for this stock 27.07, while it was recorded at 27.57 for the last single week of trading, and 25.63 for the last 200 days.

CenterPoint Energy Inc. [CNP]: Deeper insight into the fundamentals

Operating Margin for any stock indicates how profitable investing would be, and CenterPoint Energy Inc. [CNP] shares currently have an operating margin of +16.50 and a Gross Margin at +23.46. CenterPoint Energy Inc.’s Net Margin is presently recorded at -7.97.

Return on Total Capital for CNP is now 5.29, given the latest momentum, and Return on Invested Capital for the company is -2.78. Return on Equity for this stock declined to -7.07, with Return on Assets sitting at -1.67. When it comes to the capital structure of this company, CenterPoint Energy Inc. [CNP] has a Total Debt to Total Equity ratio set at 172.80. Additionally, CNP Total Debt to Total Capital is recorded at 63.34, with Total Debt to Total Assets ending up at 41.96. Long-Term Debt to Equity for the company is recorded at 192.93, with the Long-Term Debt to Total Capital now at 50.70.

Reflecting on the efficiency of the workforce at the company, CenterPoint Energy Inc. [CNP] managed to generate an average of -$45,518 per employee. Receivables Turnover for the company is 4.63 with a Total Asset Turnover recorded at a value of 0.21.CenterPoint Energy Inc.’s liquidity data is similarly interesting compelling, with a Quick Ratio of 1.60 and a Current Ratio set at 1.70.

Earnings analysis for CenterPoint Energy Inc. [CNP]

The progress of the company may be observed through the prism of EPS growth rate, while Wall Street analysts are focusing on predicting the 5-year EPS growth rate for CNP. When it comes to the mentioned value, analysts are expecting to see the 5-year EPS growth rate for CenterPoint Energy Inc. go to 1.80%.

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Insider trade positions for CenterPoint Energy Inc. [CNP]

There are presently around $15,849 million, or 94.10% of CNP stock, in the hands of institutional investors. The top three institutional holders of CNP stocks are: VANGUARD GROUP INC with ownership of 70,213,625, which is approximately 1.883% of the company’s market cap and around 0.20% of the total institutional ownership; BLACKROCK INC., holding 55,856,422 shares of the stock with an approximate value of $1.55 billion in CNP stocks shares; and CAPITAL INTERNATIONAL INVESTORS, currently with $1.27 billion in CNP stock with ownership of nearly 42.415% of the company’s market capitalization.

Positions in CenterPoint Energy Inc. stocks held by institutional investors increased at the end of March and at the time of the March reporting period, where 247 institutional holders increased their position in CenterPoint Energy Inc. [NYSE:CNP] by around 69,422,050 shares. Additionally, 214 investors decreased positions by around 32,316,620 shares, while 117 investors held positions by with 470,633,145 shares. The mentioned changes placed institutional holdings at 572,371,815 shares, according to the latest SEC report filing. CNP stock had 51 new institutional investments in for a total of 12,291,121 shares, while 56 institutional investors sold positions of 13,907,624 shares during the same period.