The stock of CenterPoint Energy Inc. (NYSE:CNP) decreased by -$0.52 on Tuesday to finish at $28.25, down -1.81 percent. The last five days have seen an average of 2,917,080 shares of common stock traded. 6 times new highs were reached in the current year, with a fall of -$1.74. The average number of shares traded over the last 20 days was 4,266,675, while the average volume over the last 50 days totaled 3,850,802.
CNP stock dropped -4.82% since last month. On 08/15/23, the company’s shares reached a one-month low of $28.17. The stock touched a high of $33.50 on 01/13/23, after rallying from a low of $25.03 in 52 weeks. The price of CNP stock has declined by -5.80% or -$1.74 this year, reaching a new high 6 times. Still, the stock price is down -15.67% from the 52-week high.
Insider Transactions
CNP stock investors should be aware that CenterPoint Energy Inc. (CNP) stock had its last reported insider trading activity 100 days ago on May 08. On May 08, Director Smitherman Barry T sold 5,000 shares at $30.51 each. This transaction resulted in the insider making $152,548. On May 05, Pound Ted sold 2,770 shares at a price of US$30.50. After the transaction, the insider now owns 46,541 shares. Director Smitherman Barry T had earlier bought 8,005 shares on Nov 07 for $28.38 a share. The transaction was completed for $227,167.
Valuation Metrics
CenterPoint Energy Inc. (CNP) has a trailing price-to-earnings (P/E) ratio of 24.48. Beta for the stock is 0.89. There are also a few other valuation ratios worth considering, including the trailing price-to-sales (P/S) ratio of 1.91, the price-to-book (PB) ratio of 1.86.
Company paid $0.19 per share in dividends, remained unchanged from $0.19 last year.
Financial Health
For the three months ended June 29, CenterPoint Energy Inc.’s quick ratio was 0.70, while its current ratio was 0.90, indicating its inability to pay off its debt. The company’s long-term debt to equity ratio for the quarter ending June 29 is 1.67, and the total debt to equity ratio is 1.77. CenterPoint Energy Inc.’s EBITDA margin for the year ended June 29 was 30.63%, whereas its operating margin stood at 17.80% for the same period. Based on annual data, it had gross profit of $1.57 billion and revenue of $9.32 billion.
Investors will also look at the performance of the company’s management in order to determine the potential profitability of their investment. CNP’s return on assets (ROA) during the last 12 months has been 1.90%. There was a 5.60% return on investment (ROI) in the past year. In the meantime, the return on equity (ROE) for the last 12 months was 7.80%.
Earnings Surprise
According to CenterPoint Energy Inc.’s quarterly financial report for the quarter that ended June 29, it had $16.03 billion in total debt versus $517.0 million in cash and short-term investments. A lower net income was reported in the quarter under review than the previous quarter. Net income for the quarter came in at $1.88 billion, while revenues fell by -3.68% to $2.78 billion. It was predicted that CenterPoint Energy Inc.’s quarterly earnings would be $0.28, but it ended up being $0.27, beating the consensus by 3.70%. EBITDA was $729.0 million for the quarter. At the end of CenterPoint Energy Inc.’s most recent quarter ended June 29, its liabilities totaled 27.73 billion, while its total debt was $16.98 billion. Equity owned by shareholders amounts to $631.18 million.
Technical Picture
Here’s a quick look at CenterPoint Energy Inc.’s (CNP) price momentum from a technical perspective. As of 15 August, the RSI 9-day stood at 26.46%, suggesting the stock is oversold, with a 10.92% historical volatility rate.
The stochastic %K and %D were 7.18% and 7.49% respectively, while the average true range (ATR) was 0.50. Based on the 14-day stochastic reading of 2.50%, the RSI (14) reading is 33.60%. On the 9-day MACD Oscillator, the stock is at -0.23, and the 14-day reading is at -0.61.
Analyst Ratings
CenterPoint Energy Inc. (NYSE: CNP) was downgraded by Mizuho to a a Neutral rating in its latest research report. The stock was previously rated as a a Buy. Analysts have assigned CenterPoint Energy Inc. (CNP) an Overweight rating. CNP is a stock that is recommended for selling by 0 brokerage firms, while 7 companies recommend holding. The stock is underweighted by 0 analysts. Among the analysts who rate the stock, 0 rates it overweight and 10 others recommend it as a buy.
What is CNP’s price target for the next 12 months?
The current consensus forecast for the stock is between $30.00 and $34.00, with a median target price of $33.00. In analyzing these forecasts, the average price target given by analysts for CenterPoint Energy Inc. (CNP) is $32.77.
