CENTERPOINT ENERGY, INC.

Recommendation history

• Q1 2026BuyBuy: CenterPoint reiterated 2026 adjusted EPS guidance of $1.89-$1.91, implying 8% growth, while raising firmly committed Houston load to 12.2 GW and targeting roughly 8 GW energized by 2028-29. The growth case is credible and potentially underappreciated—each additional 1 GW contributes about $6 million of monthly demand charges—but the largest upside remains dependent on ERCOT approvals and a second-half transmission study whose cost and returns are not yet quantified.
• Q4 2025BuyBuy: CenterPoint delivered 2025 adjusted EPS of $1.76, reaffirmed 2026 guidance of $1.89-$1.91 (8% midpoint growth), and maintained a 7%-9% long-term EPS growth framework. The Houston Electric opportunity is strengthening materially, with peak load now expected to rise 50%—roughly 10 GW—by 2029, supported by 2.5 GW under construction and another 5 GW firmly committed; however, most incremental transmission CapEx and earnings upside arrives toward the end of the decade rather than immediately.
• Q3 2025BuyBuy: CenterPoint delivered strong execution with Q3 adjusted EPS of $0.50, up 60% year over year, and reiterated 2025 adjusted EPS guidance of $1.75-$1.77, implying 9% growth. The $2.6 billion Ohio Gas sale, $2.4 billion of after-tax proceeds, Houston demand growth, and an 11%+ projected rate-base CAGR materially improve funding visibility, although the thesis still depends on regulatory recovery and execution of an unusually large capital plan.
• 2025-09-29BuyBuy: CenterPoint raised 2025 adjusted EPS guidance to $1.75-$1.77 and initiated 2026 at $1.89-$1.91, implying 9% and 8% midpoint growth, respectively. The $65 billion customer-driven investment plan through 2035, 11%+ rate-base CAGR through 2030, and 7%-9% long-term EPS growth target create an unusually strong utility growth profile, although execution, regulatory recovery, and roughly $2.75 billion of post-2027 equity issuance remain key constraints.
• Q2 2025HoldHold: CenterPoint reaffirmed 2025 adjusted EPS guidance of $1.74-$1.76, implying 8% growth, while Q2 adjusted EPS declined to $0.29 from $0.36 and only 46% of the full-year midpoint has been earned. The Houston growth thesis is compelling—10 GW of forecast peak-load growth by 2031, a 6 GW quarter-over-quarter queue increase, and $53 billion of capital planned through 2030—but the investment case still depends on the forthcoming plan refresh, Hurricane Beryl recovery, and funding claims that remain largely unquantified.
• Q1 2025BuyBuy: CenterPoint reaffirmed 2025 adjusted EPS guidance of $1.74-$1.76, implying 8% growth at the midpoint, while raising its 2030 capital plan to $48.5 billion and highlighting at least $3 billion of additional upside. The Houston load thesis is strengthening—interconnection requests rose to 47 GW, including roughly 20 GW of data-center demand—but the upside remains dependent on regulatory approvals, storm-cost recovery and future financing.
• Q4 2024BuyBuy. CenterPoint delivered 2024 adjusted EPS of $1.62 and reaffirmed 2025 guidance of $1.74-$1.76, implying 8% growth, with a long-term 6%-8% EPS growth target. The investment case is strengthened by a $47.5 billion capital plan through 2030, Houston Electric resiliency spending, and potential incremental transmission investment of at least $3 billion; the main tension is that much of the larger Houston load-growth opportunity remains uncommitted and regulatory, financing, and storm-recovery execution still matter.