KeyBanc starts NiSource at Overweight on data center exposure

KeyBanc analyst Sophie Karp last night initiated coverage of NiSource (NI) with an Overweight rating and $52 price target The stock’s premium to peers is justified given NiSource’s growth outlook, the analyst tells investors in a research note. The firm sees room for further valuation expansion due to the company’s “constructive” regulatory environments across its key jurisdictions. NiSource is emerging as one of the primary beneficiaries of accelerating large load demand, particularly from data centers, contends KeyBanc.