Analyst Ross Fowler from Bank of America Securities maintained a Buy rating on Eversource Energy and increased the price target to $75.00 from $67.16.
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Ross Fowler has given his Buy rating due to a combination of factors that underscore a constructive regulatory and financial outlook for Eversource Energy. He highlights that the newly filed settlement in Massachusetts allows NSTAR Gas to implement a $45 million rate base reset within the existing ten-year performance-based ratemaking framework, with new rates expected to be effective from early 2026, potentially on a retroactive basis. In exchange, the company agrees to several customer-focused concessions, including a one-time performance penalty, targeted assistance for bill relief, seasonal bill stabilization credits, and the deferral of certain pipeline safety cost recoveries. These measures help balance the utility’s need to earn a fair return with regulators’ and policymakers’ emphasis on affordability for consumers.
At the same time, Fowler views the settlement as strategically valuable because it removes the need for a large, potentially contentious general rate case in Massachusetts and thereby reduces regulatory risk and uncertainty. He interprets the agreement as reaffirming state support for the performance-based ratemaking model, which provides Eversource with clearer earnings visibility under stable, long-term regulatory rules. Combined with the current share price trading below his $75 price objective and supported by consensus earnings expectations that show a steady growth trajectory, Fowler believes the risk-reward profile is attractive. Taken together, these regulatory, financial, and valuation elements support his decision to maintain a Buy rating on Eversource Energy.
Fowler covers the Utilities sector, focusing on stocks such as Eversource Energy, Nisource, and PPL. According to TipRanks, Fowler has an average return of 5.9% and a 60.83% success rate on recommended stocks.