Spire (SR) is a strong growth stock with a Growth Style Score of B and VGM Score of A. The company boasts a Zacks Rank #3 (Hold) rating and is projected to see a 9% year-over-year bottom-line increase for 2025, with a 4.9% top-line improvement expected. One analyst has revised their earnings estimate upwards in the last 60 days, and the Zacks Consensus Estimate has increased to $4.50 per share for 2025. SR has generated 6.9% cash flow growth historically and is expected to report 8.9% cash flow expansion this year.
Spire Inc. (SR), a holding company with a Zacks Rank #3 (Hold) rating, continues to benefit from its systematic capital investments to strengthen infrastructure and improve service reliability. The company's strategic focus on upgrading and maintaining its existing infrastructure, along with expanding operations, has driven its growth. Capital expenditures for fiscal 2025 are expected to reach $840 million, up from the previous guidance of $790 million, with increases at Spire Missouri and Midstream primarily for storage expansion projects [1].
Spire has also invested nearly $103 million in installing advanced meters so far in the fiscal year, with more than 350,000 advanced meters installed in fiscal 2024, benefiting 850,000 customers [1]. The company's acquisition of MoGas and Omega pipeline systems has added nearly 263 miles of interstate natural gas pipelines to its network, helping to serve its growing customer base in St. Louis, MO [1].
Despite these positive developments, Spire faces risks related to its dependence on its operating units to meet financial needs and its ability to pay out dividends. The company's financial performance may suffer if there is a significant disruption in the transmission and storage capacity of interstate natural gas pipelines during times of high demand [1].
Spire's stock has shown resilience, with shares rising 12.7% in the past six months compared to the industry's 3.1% growth [1]. The company is projected to see a 9% year-over-year bottom-line increase for 2025, with a 4.9% top-line improvement expected. One analyst has revised their earnings estimate upwards in the last 60 days, and the Zacks Consensus Estimate has increased to $4.50 per share for 2025 [1].
Spire's Growth Style Score of B and VGM Score of A indicate strong growth prospects. The company has generated 6.9% cash flow growth historically and is expected to report 8.9% cash flow expansion this year [1].
References:
[1] https://finance.yahoo.com/news/spire-benefits-infrastructure-upgrades-expanding-122100199.html
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