Promising Growth and Regulatory Improvements Justify Buy Rating for Northwestern Energy Group

Ross Fowler, an analyst from Bank of America Securities, reiterated the Buy rating on Northwestern (NWE – Research Report). The associated price target remains the same with $63.00.

Ross Fowler has given his Buy rating due to a combination of factors that highlight the promising growth prospects and regulatory improvements for Northwestern Energy Group (NWE). The company reported a strong first-quarter performance in 2025, with adjusted earnings per share surpassing both market and Bank of America’s estimates. This performance reflects successful regulatory outcomes, strategic infrastructure investments, and potential growth from increased load opportunities in Montana and South Dakota.
Furthermore, the growth outlook for NWE is becoming more tangible, supported by letters of intent with significant customers like Altus Power and Sabey. These agreements are expected to be finalized by mid-2025, potentially boosting the company’s earnings growth beyond the anticipated 6%. Additionally, the regulatory environment in Montana has become more favorable, with legislative measures reducing wildfire-related liabilities and promoting grid modernization. These factors collectively enhance NWE’s ability to manage risks and capitalize on growth opportunities, justifying the Buy rating with a price objective of $63.

Fowler covers the Utilities sector, focusing on stocks such as Northwestern, Consolidated Edison, and Public Service Enterprise. According to TipRanks, Fowler has an average return of 3.6% and a 59.89% success rate on recommended stocks.

In another report released on May 1, Wells Fargo also reiterated a Buy rating on the stock with a $64.00 price target.