CenterPoint Energy Price Target Raised to $42 by Scotiabank

Scotiabank has raised its price target on CenterPoint Energy (CNP) to $42 from $40, maintaining an Outperform rating. The firm is bullish on the stock due to its above-average growth and below-average risks. Investors can take advantage of TipRanks Premium to unlock powerful investing tools and expert analyst insights.

Scotiabank analyst Andrew Weisel has raised the price target for CenterPoint Energy (CNP) from $40.00 to $42.00, maintaining the company's "Sector Outperform" rating. This adjustment reflects Scotiabank's increased expectations for CNP's financial outlook [1].

CenterPoint Energy, based in Houston, Texas, operates primarily in natural gas and electricity delivery. The latest analyst actions indicate a positive sentiment towards the company's operational strategy and market position [1].

The new price target of $42.00 represents a 5.00% increase from the previous target. This move comes amidst a positive Wall Street outlook for CNP. Based on the one-year price targets offered by 14 analysts, the average target price for CNP is $39.53, with a high estimate of $43.00 and a low estimate of $32.43 [1].

The consensus recommendation from 18 brokerage firms is currently "Outperform," indicating a positive outlook for the stock [1]. Additionally, GuruFocus estimates the company's GF Value in one year to be $30.14, suggesting a downside of 21.28% from the current price of $38.29 [1].

CenterPoint Energy reported its second-quarter 2025 results, with revenue of $1.94 billion, up 2.0% from the same period last year. Net income was $198.0 million, down 13% from the previous year. The decrease in margin was driven by higher expenses [2]. Despite revenue exceeding analyst estimates by 5.9%, earnings per share (EPS) missed expectations by 3.6% [2].

Looking ahead, revenue is forecast to grow at an average annual rate of 5.5% over the next three years, compared to the industry average of 5.2% [2]. The company's shares have seen a 3.0% increase from a week ago.

Investors should consider these updated price targets and consistent ratings as indicators of CNP's potential performance in the energy sector. However, it is essential to note the presence of investment risks, with two warning signs identified by Simply Wall St [2].

References:
[1] https://www.gurufocus.com/news/3006389/centerpoint-energy-cnp-receives-price-target-increase-from-scotiabank-cnp-stock-news
[2] https://finance.yahoo.com/news/centerpoint-energy-second-quarter-2025-125905748.html