NiSource (NI) Lowered to Hold at Zacks Investment Research

Zacks Investment Research lowered shares of NiSource (NYSE:NI) from a buy rating to a hold rating in a research note issued to investors on Monday morning.

According to Zacks, “In last six months, shares of NiSource have outperformed its industry’s rally.  NiSource reaffirmed capital investment guidance for 2018 and will continue to invest nearly $1.6-$1.8 billion annually in utility infrastructures for the next two years. The company projects long-term infrastructure investments worth $30 billion and continues to expand customer base. The company is also working actively to reduce its carbon footprint by bringing down the coal usage. NiSource has made considerable progress on regulatory initiatives across different states it operates. Despite investing in upgrade programs, the company faces the risk of disruption in operation from its ageing infrastructure. Debt level is another concern amid the rising interest rates.”

A number of other equities research analysts have also issued reports on NI. ValuEngine upgraded shares of NiSource from a sell rating to a hold rating in a research note on Friday, June 22nd. KeyCorp increased their price objective on shares of NiSource from $26.00 to $27.00 and gave the stock a $26.15 rating in a research note on Thursday, July 19th. Barclays began coverage on shares of NiSource in a research note on Tuesday, July 10th. They set an equal weight rating and a $27.00 price objective on the stock. JPMorgan Chase & Co. set a $27.00 price objective on shares of NiSource and gave the stock a buy rating in a research note on Monday, September 17th. Finally, Wolfe Research set a $27.00 price objective on shares of NiSource and gave the stock a buy rating in a research note on Monday, September 17th. Two equities research analysts have rated the stock with a sell rating, five have given a hold rating and seven have assigned a buy rating to the company’s stock. The company presently has an average rating of Hold and an average target price of $27.18.

Shares of NiSource stock opened at $25.05 on Monday. The stock has a market capitalization of $9.05 billion, a PE ratio of 20.70, a P/E/G ratio of 3.51 and a beta of 0.17. The company has a current ratio of 0.51, a quick ratio of 0.38 and a debt-to-equity ratio of 1.40. NiSource has a 1 year low of $22.44 and a 1 year high of $28.11.

NiSource (NYSE:NI) last issued its earnings results on Wednesday, August 1st. The utilities provider reported $0.07 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $0.09 by ($0.02). The company had revenue of $1.01 billion during the quarter, compared to analyst estimates of $999.39 million. NiSource had a net margin of 5.20% and a return on equity of 9.19%. During the same quarter last year, the company posted $0.10 EPS. Sell-side analysts forecast that NiSource will post 1.29 earnings per share for the current year.

The firm also recently disclosed a quarterly dividend, which will be paid on Tuesday, November 20th. Investors of record on Wednesday, October 31st will be paid a dividend of $0.195 per share. The ex-dividend date of this dividend is Tuesday, October 30th. This represents a $0.78 annualized dividend and a yield of 3.11%. NiSource’s dividend payout ratio (DPR) is 64.46%.

In other NiSource news, CFO Donald Eugene Brown sold 2,400 shares of the company’s stock in a transaction dated Wednesday, August 8th. The shares were sold at an average price of $26.50, for a total value of $63,600.00. Following the completion of the transaction, the chief financial officer now owns 49,167 shares in the company, valued at approximately $1,302,925.50. The transaction was disclosed in a legal filing with the SEC, which is available through the SEC website. Also, EVP Carrie J. Hightman sold 27,000 shares of the company’s stock in a transaction dated Friday, August 10th. The stock was sold at an average price of $26.75, for a total transaction of $722,250.00. Following the completion of the transaction, the executive vice president now owns 325,066 shares of the company’s stock, valued at approximately $8,695,515.50. The disclosure for this sale can be found here. 0.37% of the stock is owned by corporate insiders.

A number of hedge funds and other institutional investors have recently bought and sold shares of NI. Piedmont Investment Advisors LLC bought a new position in NiSource in the 2nd quarter worth about $104,000. Tower Research Capital LLC TRC bought a new position in NiSource in the 2nd quarter worth about $105,000. Advisors Asset Management Inc. bought a new position in NiSource in the 2nd quarter worth about $110,000. Parallel Advisors LLC grew its position in NiSource by 286.6% in the 2nd quarter. Parallel Advisors LLC now owns 4,701 shares of the utilities provider’s stock worth $123,000 after purchasing an additional 3,485 shares during the last quarter. Finally, Brookstone Capital Management bought a new position in NiSource in the 2nd quarter worth about $213,000. Hedge funds and other institutional investors own 90.64% of the company’s stock.

NiSource Company Profile

NiSource Inc, an energy holding company, operates as a regulated natural gas and electric utility company in the United States. The company operates in two segments, Gas Distribution Operations and Electric Operations. It provides natural gas service and transportation to residential, commercial, and industrial customers; generates, transmits, and distributes electricity; and offers wholesale and transmission transaction services.

See Also: Stock Symbol

Get a free copy of the Zacks research report on NiSource (NI)

For more information about research offerings from Zacks Investment Research, visit Zacks.com

Analyst Recommendations for NiSource (NYSE:NI)

Receive News & Ratings for NiSource Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for NiSource and related companies with MarketBeat.com's FREE daily email newsletter.

Leave a Reply