Duke Energy Corporation (NYSE:DUK) Given Average Recommendation of "Moderate Buy" by Analysts

Key Points

• Duke Energy Corporation has received a consensus rating of "Moderate Buy" from 16 analysts, with an average target price of $129.80.
• The company reported a quarterly EPS of $1.25, missing estimates, but its revenue of $7.51 billion exceeded expectations, marking a 4.7% increase from the previous year.
• Duke Energy recently increased its quarterly dividend to $1.065 per share, with a current payout ratio of 67.97%.

Shares of Duke Energy Corporation (NYSE:DUK - Get Free Report) have been given a consensus recommendation of "Moderate Buy" by the sixteen ratings firms that are covering the company, MarketBeat.com reports. Seven analysts have rated the stock with a hold recommendation and nine have issued a buy recommendation on the company. The average 1-year price target among brokers that have covered the stock in the last year is $129.80.

A number of equities analysts have commented on the company. Citigroup lifted their target price on Duke Energy from $130.00 to $142.00 and gave the company a "buy" rating in a research note on Wednesday, May 7th. The Goldman Sachs Group set a $132.00 target price on Duke Energy in a report on Tuesday, July 1st. Raymond James Financial initiated coverage on Duke Energy in a report on Friday, June 13th. They issued a "market perform" rating for the company. Wells Fargo & Company upped their price target on shares of Duke Energy from $127.00 to $138.00 and gave the company an "overweight" rating in a report on Wednesday, May 7th. Finally, UBS Group reiterated a "neutral" rating and set a $127.00 price objective (up previously from $124.00) on shares of Duke Energy in a research report on Friday, July 11th.

Insider Buying and Selling

In other Duke Energy news, EVP Thomas Preston Jr. Gillespie sold 6,700 shares of the company's stock in a transaction dated Tuesday, August 12th. The shares were sold at an average price of $124.26, for a total transaction of $832,542.00. Following the transaction, the executive vice president directly owned 46,422 shares in the company, valued at approximately $5,768,397.72. This represents a 12.61% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is accessible through this hyperlink. Insiders own 0.14% of the company's stock.

Hedge Funds Weigh In On Duke Energy

Several institutional investors have recently modified their holdings of the stock. Investment Management Corp of Ontario lifted its stake in Duke Energy by 212.8% in the fourth quarter. Investment Management Corp of Ontario now owns 79,989 shares of the utilities provider's stock valued at $8,618,000 after acquiring an additional 54,413 shares during the last quarter. Andrew Hill Investment Advisors Inc. boosted its stake in shares of Duke Energy by 338.6% during the 1st quarter. Andrew Hill Investment Advisors Inc. now owns 37,763 shares of the utilities provider's stock worth $4,606,000 after acquiring an additional 29,153 shares during the period. Cambridge Investment Research Advisors Inc. lifted its holdings in Duke Energy by 7.7% during the 1st quarter. Cambridge Investment Research Advisors Inc. now owns 291,667 shares of the utilities provider's stock valued at $35,575,000 after purchasing an additional 20,942 shares during the last quarter. Pinnacle Financial Partners Inc boosted its holdings in shares of Duke Energy by 9.9% during the 1st quarter. Pinnacle Financial Partners Inc now owns 127,419 shares of the utilities provider's stock worth $14,451,000 after buying an additional 11,445 shares during the period. Finally, Beacon Investment Advisory Services Inc. grew its position in shares of Duke Energy by 8.1% in the first quarter. Beacon Investment Advisory Services Inc. now owns 51,354 shares of the utilities provider's stock valued at $6,264,000 after purchasing an additional 3,837 shares during the last quarter. 65.31% of the stock is currently owned by institutional investors and hedge funds.

Duke Energy Price Performance

Duke Energy stock traded up $1.59 during mid-day trading on Friday, reaching $123.05. The company had a trading volume of 742,938 shares, compared to its average volume of 3,585,700. The company has a market capitalization of $95.68 billion, a P/E ratio of 19.98, a P/E/G ratio of 2.95 and a beta of 0.36. The company has a debt-to-equity ratio of 1.55, a current ratio of 0.66 and a quick ratio of 0.42. Duke Energy has a 1 year low of $105.20 and a 1 year high of $127.85. The stock's 50-day simple moving average is $119.19 and its 200-day simple moving average is $118.11.

Duke Energy (NYSE:DUK - Get Free Report) last posted its quarterly earnings data on Tuesday, August 5th. The utilities provider reported $1.25 earnings per share for the quarter, missing analysts' consensus estimates of $1.29 by ($0.04). Duke Energy had a net margin of 15.51% and a return on equity of 9.85%. The firm had revenue of $7.51 billion during the quarter, compared to analyst estimates of $7.07 billion. During the same period in the prior year, the firm earned $1.18 EPS. The business's quarterly revenue was up 4.7% on a year-over-year basis. On average, equities analysts predict that Duke Energy will post 6.33 EPS for the current year.

Duke Energy Increases Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Tuesday, September 16th. Shareholders of record on Friday, August 15th will be issued a dividend of $1.065 per share. The ex-dividend date of this dividend is Friday, August 15th. This represents a $4.26 annualized dividend and a yield of 3.5%. This is a positive change from Duke Energy's previous quarterly dividend of $1.05. Duke Energy's dividend payout ratio (DPR) is currently 69.27%.

About Duke Energy

Duke Energy Corporation, together with its subsidiaries, operates as an energy company in the United States. It operates through two segments: Electric Utilities and Infrastructure (EU&I), and Gas Utilities and Infrastructure (GU&I). The EU&I segment generates, transmits, distributes, and sells electricity in the Carolinas, Florida, and the Midwest.