Duke Energy (NYSE:DUK) Sets New 1-Year Low – Should You Sell?

Duke Energy Corporation (NYSE:DUK) shares reached a new 52-week low during trading on Thursday. The company traded as low as $113.82 and last traded at $114.0950, with a volume of 764966 shares traded. The stock had previously closed at $114.17.

Key Duke Energy News

Here are the key news stories impacting Duke Energy this week:

• Positive Sentiment: Duke Energy was awarded $50 million in federal funding to upgrade and strengthen the Carolinas power grid. The grant should help offset capital costs while improving reliability and potentially lowering customer costs, a constructive development for the regulated utility’s long-term investment program. Duke Energy granted $50 million to help improve power grid in the Carolinas
• Positive Sentiment: Recent comparisons highlight Duke Energy’s appeal as an income-oriented utility, citing its relatively cheaper valuation, higher dividend yield and slightly lower debt than some peers. Rising electricity demand from data centers and broader grid investment could provide additional growth opportunities. NextEra Energy vs. Duke Energy
• Neutral Sentiment: Duke Energy appointed Joyce Mullen to its board, effective Sept. 28. She will serve on the Audit Committee and Operations and Nuclear Oversight Committee. The appointment strengthens board oversight but is not expected to materially change near-term earnings. Duke Energy board appoints Joyce Mullen
• Neutral Sentiment: The Duke Energy Foundation is awarding $100,000 to Florida nonprofits supporting career readiness, leadership development and entrepreneurship. The initiative may support community relations, but its financial impact on Duke Energy is immaterial. Duke Energy Foundation awards $100,000
• Negative Sentiment: Duke’s plans to add more natural-gas generation to serve data-center demand are drawing criticism. Although the strategy could support load growth, it also raises concerns about construction costs, emissions, fuel-price exposure and potential pressure on customer bills. Duke Energy plans more gas power

Analyst Ratings Changes

A number of brokerages recently commented on DUK. Mizuho set a $136.00 price objective on Duke Energy in a research note on Wednesday, August 5th. Truist Financial decreased their target price on Duke Energy from $138.00 to $135.00 and set a “buy” rating for the company in a research report on Monday, August 17th. JPMorgan Chase & Co. upped their price target on Duke Energy from $136.00 to $141.00 and gave the company a “neutral” rating in a research note on Thursday, July 16th. KeyCorp upgraded shares of Duke Energy from a “sector weight” rating to an “overweight” rating and set a $139.00 price target on the stock in a research report on Thursday, July 23rd. Finally, BTIG Research reissued a “buy” rating on shares of Duke Energy in a research note on Thursday, July 23rd. Ten research analysts have rated the stock with a Buy rating and eight have assigned a Hold rating to the company’s stock. According to data from MarketBeat.com, Duke Energy presently has an average rating of “Moderate Buy” and an average price target of $137.56.

Duke Energy Trading Up 0.1%

The company has a quick ratio of 0.43, a current ratio of 0.66 and a debt-to-equity ratio of 1.47. The stock has a market capitalization of $88.39 billion, a P/E ratio of 17.02, a price-to-earnings-growth ratio of 2.64 and a beta of 0.37. The company has a fifty day simple moving average of $122.06 and a two-hundred day simple moving average of $125.24.

Duke Energy (NYSE:DUK) last announced its quarterly earnings results on Monday, August 3rd. The utilities provider reported $1.43 earnings per share (EPS) for the quarter, topping the consensus estimate of $1.30 by $0.13. Duke Energy had a return on equity of 9.78% and a net margin of 15.78%.The company had revenue of $7.59 billion during the quarter, compared to the consensus estimate of $7.66 billion. During the same period in the prior year, the company earned $1.25 earnings per share. The company’s revenue for the quarter was up 1.1% compared to the same quarter last year. On average, sell-side analysts expect that Duke Energy Corporation will post 6.72 earnings per share for the current year.

Duke Energy Increases Dividend

The business also recently declared a quarterly dividend, which was paid on Wednesday, September 16th. Shareholders of record on Friday, August 14th were paid a $1.0850 dividend. The ex-dividend date of this dividend was Friday, August 14th. This is an increase from Duke Energy’s previous quarterly dividend of $1.0650. This represents a $4.34 dividend on an annualized basis and a yield of 3.8%. Duke Energy’s payout ratio is presently 65.17%.

Institutional Investors Weigh In On Duke Energy

Several large investors have recently made changes to their positions in the stock. Basso Capital Management L.P. acquired a new stake in Duke Energy in the 4th quarter valued at $25,000. Evolution Wealth Management Inc. grew its holdings in shares of Duke Energy by 1,111.1% in the 4th quarter. Evolution Wealth Management Inc. now owns 218 shares of the utilities provider’s stock valued at $26,000 after acquiring an additional 200 shares in the last quarter. Cornerstone Financial Management LLC bought a new position in shares of Duke Energy in the 4th quarter valued at about $28,000. IAG Wealth Partners LLC increased its position in shares of Duke Energy by 154.6% in the first quarter. IAG Wealth Partners LLC now owns 275 shares of the utilities provider’s stock valued at $36,000 after acquiring an additional 167 shares during the last quarter. Finally, Evergreen Advisors LLC acquired a new stake in shares of Duke Energy in the first quarter valued at about $36,000. Institutional investors own 65.31% of the company’s stock.

Duke Energy Company Profile

Duke Energy Corporation is an electric and natural gas utility holding company headquartered in Charlotte, North Carolina. The company generates, transmits, distributes and sells electricity, with a generation portfolio that includes natural gas, nuclear, coal, hydroelectric and renewable energy resources. It also operates natural gas distribution businesses and provides related energy services.

Duke Energy’s regulated electric utilities serve residential, commercial and industrial customers across the Carolinas, Florida, Indiana, Ohio and Kentucky.