Jefferies analyst Julien Dumoulin Smith reiterated a Buy rating on OGE Energy (OGE – Research Report) today and set a price target of $52.00.
Julien Dumoulin Smith’s rating is based on a combination of factors that highlight OGE Energy’s potential for growth and strategic investments. The company is expected to be at the higher end of its 5-7% EPS CAGR guidance in the near term, with projections even higher over the long term due to strategic capital expenditures. These include investments in generation capacity and transmission, which are anticipated to accelerate earnings growth beyond the base plan.
Additionally, OGE Energy’s load growth projections and data center activities are expected to provide significant margin improvements. The company’s proactive regulatory strategy and strong balance sheet further support the positive outlook. The anticipation of several catalysts, such as RFP pre-approval filings and capital expenditure refreshes, positions OGE Energy favorably compared to its peers, justifying the Buy rating.
In another report released on April 10, Argus Research also upgraded the stock to a Buy with a $47.00 price target.