Mackenzie Financial Corp has significantly increased its investment in FirstEnergy Corporation (NYSE: FE), raising its holdings by an impressive 418.0% during the second quarter, according to its recent filing with the Securities and Exchange Commission (SEC). The institutional investor now possesses 270,183 shares of the utility provider, which are valued at $10,878,000 following the acquisition of an additional 218,020 shares during this period.
Other institutional investors have also adjusted their stakes in FirstEnergy. DekaBank Deutsche Girozentrale raised its holding by 1.6%, now owning 84,565 shares valued at $3,355,000 after adding 1,349 shares. Advisors Asset Management Inc. increased its investment by 52.7% to own 42,632 shares worth $1,716,000. Atria Investments Inc. also made a notable increase of 84.7%, owning 52,238 shares with a value of $2,103,000 after acquiring 23,959 additional shares. Additionally, Prudential Financial Inc. boosted its stake by 69.9% and now holds 476,033 shares valued at $19,165,000 following a purchase of 195,825 shares. Similarly, Mitsubishi UFJ Trust & Banking Corp enhanced its portfolio with a 33.8% increase, accumulating 425,860 shares valued at $17,145,000 after acquiring 107,579 shares in the previous quarter. Overall, institutional investors and hedge funds currently hold 89.41% of FirstEnergy’s stock.
On trading platforms, FirstEnergy opened at $45.69 on Wednesday, reflecting a market capitalization of $26.39 billion. The stock has shown resilience, with a price-to-earnings (P/E) ratio of 19.95, a P/E growth ratio of 2.83, and a beta of 0.66. Over the past year, the stock has fluctuated between a low of $37.58 and a high of $48.20. It has a fifty-day simple moving average of $46.37, a 200-day average of $43.49, a current ratio of 0.75, a quick ratio of 0.64, and a debt-to-equity ratio of 1.80.
FirstEnergy recently announced its third-quarter earnings, reporting earnings per share (EPS) of $0.83, surpassing analysts’ estimates of $0.76. The company achieved a net margin of 9.19% and a return on equity of 11.15%, with quarterly revenues reaching $4.15 billion, which exceeded analysts’ expectations of $3.94 billion. The revenue represented a 10.8% increase compared to the same period last year. FirstEnergy has projected its fiscal year 2025 guidance to be between 2.500 and 2.560 EPS, while analysts anticipate an average EPS of 2.66 for the current fiscal year.
Furthermore, FirstEnergy declared a quarterly dividend of $0.445 per share, which was paid out on December 1st, yielding an annualized dividend of $1.78 and a yield of 3.9%. The company’s payout ratio currently stands at 77.73%.
In terms of market outlook, several analysts have published reports on FirstEnergy. Mizuho recently raised its price target from $45.00 to $50.00 while maintaining a “neutral” rating. Weiss Ratings reaffirmed its “buy” rating, and Barclays increased its price goal from $43.00 to $49.00 with an “overweight” designation. Morgan Stanley has also raised its target price from $47.00 to $50.00, endorsing an “overweight” rating. The prevailing sentiment among analysts includes a mix of ratings, with one strong buy, seven buy, and six hold ratings contributing to a consensus average target price of $49.08.
FirstEnergy Corp. operates through its subsidiaries to deliver electricity across the United States, incorporating various energy generation sources including coal, nuclear, hydroelectric, wind, and solar. With a solid institutional backing and optimistic growth prospects, FirstEnergy continues to be a key player in the utilities sector, drawing significant attention from investors and analysts alike.