MGE Energy (NASDAQ:MGEE) Sets New 52-Week Low - Time to Sell?

Key Points

• MGE Energy hit a new 52-week low, trading as low as $75.80 (last $75.586) with light volume, while analyst sentiment is weak—Morgan Stanley has an "underweight," the Street average rating is "Reduce," and the average price target is $78.00.
• Operational and income picture is mixed but stable: Q4 EPS of $0.64 matched expectations, the company has a $2.75B market cap and a P/E of 20.23, and it pays a quarterly dividend of $0.475 (annualized yield ~2.5%, payout ratio ~51%).

MGE Energy Inc. (NASDAQ:MGEE - Get Free Report)'s stock price reached a new 52-week low on Wednesday . The stock traded as low as $75.80 and last traded at $75.5860, with a volume of 7537 shares trading hands. The stock had previously closed at $76.77.

Analysts Set New Price Targets

Several research firms have recently issued reports on MGEE. Morgan Stanley decreased their price objective on MGE Energy from $74.00 to $73.00 and set an "underweight" rating on the stock in a report on Monday, February 2nd. Wall Street Zen raised shares of MGE Energy from a "sell" rating to a "hold" rating in a research note on Sunday. Finally, Weiss Ratings restated a "hold (c+)" rating on shares of MGE Energy in a report on Monday, December 29th. Two research analysts have rated the stock with a Hold rating and one has assigned a Sell rating to the company. According to MarketBeat, the company currently has an average rating of "Reduce" and an average price target of $78.00.

MGE Energy Trading Down 1.9%

The firm has a fifty day moving average of $79.85 and a 200-day moving average of $81.82. The company has a debt-to-equity ratio of 0.61, a quick ratio of 0.55 and a current ratio of 0.77. The stock has a market capitalization of $2.75 billion, a price-to-earnings ratio of 20.23 and a beta of 0.81.

MGE Energy (NASDAQ:MGEE - Get Free Report) last issued its quarterly earnings data on Tuesday, February 24th. The utilities provider reported $0.64 EPS for the quarter, hitting analysts' consensus estimates of $0.64. MGE Energy had a return on equity of 10.60% and a net margin of 18.27%.The company had revenue of $189.55 million for the quarter. As a group, equities analysts predict that MGE Energy Inc. will post 3.43 earnings per share for the current fiscal year.

MGE Energy Dividend Announcement

The business also recently declared a quarterly dividend, which will be paid on Sunday, March 15th. Shareholders of record on Sunday, March 1st will be issued a $0.475 dividend. This represents a $1.90 dividend on an annualized basis and a yield of 2.5%. The ex-dividend date is Friday, February 27th. MGE Energy's dividend payout ratio is currently 51.08%.

Hedge Funds Weigh In On MGE Energy

A number of institutional investors and hedge funds have recently added to or reduced their stakes in the company. Hantz Financial Services Inc. lifted its holdings in shares of MGE Energy by 63.8% in the 4th quarter. Hantz Financial Services Inc. now owns 416 shares of the utilities provider's stock worth $33,000 after purchasing an additional 162 shares during the last quarter. Advisory Services Network LLC purchased a new position in MGE Energy during the 3rd quarter worth approximately $40,000. Steward Partners Investment Advisory LLC increased its holdings in shares of MGE Energy by 107.3% in the 2nd quarter. Steward Partners Investment Advisory LLC now owns 485 shares of the utilities provider's stock valued at $43,000 after purchasing an additional 251 shares during the period. eCIO Inc. purchased a new stake in MGE Energy in the 4th quarter worth approximately $45,000. Finally, Parallel Advisors LLC grew its stake in MGE Energy by 28.6% in the third quarter. Parallel Advisors LLC now owns 714 shares of the utilities provider's stock valued at $60,000 after purchasing an additional 159 shares in the last quarter. 52.58% of the stock is owned by hedge funds and other institutional investors.

MGE Energy Company Profile

MGE Energy, Inc is a public utility holding company headquartered in Madison, Wisconsin. Through its principal subsidiary, Madison Gas and Electric Company (MGE), the company provides regulated electric and natural gas distribution services to residential, commercial and industrial customers in south-central Wisconsin. MGE Energy's operations encompass the generation, transmission and distribution of electricity as well as the purchase and distribution of natural gas, with an emphasis on reliable service and system resilience.

Since reorganizing as a holding company in 2001, MGE Energy has expanded its portfolio to include nonregulated subsidiaries involved in renewable energy development, energy services and infrastructure support.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.