Morgan Stanley Adjusts Xcel Energy Price Target Amid Market Lag

NEW YORK, NY — Morgan Stanley has revised its price target for Xcel Energy, lowering it from $78 to $77. Despite this decrease, the investment firm retains its Equal Weight rating on the stock. This adjustment reflects a broader reevaluation within the Regulated & Diversified Utilities sector in North America, according to analysts.

Utilities have seen slower performance compared to the S&P index during May, prompting analysts to reassess their projections. Among 14 analysts, the average target price for Xcel Energy Inc. is now $75.79, with estimates ranging from a low of $62.00 to a high of $80.00.

The current stock price of Xcel Energy stands at $65.65, suggesting a potential upside of 15.44% based on the average target. Furthermore, GuruFocus estimates that Xcel Energy’s value in one year could be around $66.78, indicating a modest gain of 1.72% from the current level.

The average recommendation from 17 brokerage firms is currently an Outperform rating, with a scale that ranges from Strong Buy to Sell. This outlook suggests continued confidence in the company’s performance despite recent market challenges.

Analysts emphasize that Xcel Energy specializes in electricity production and distribution, with 80.6% of its revenue generated from these activities. As the market continues to face fluctuations, Xcel Energy remains a focus for investors looking for stability within the utility sector.