FirstEnergy (NYSE:FE) Hits New 1-Year Low - Here's What Happened

Key Points

• FirstEnergy shares fell to a new 52-week low, trading as low as $43.72 versus the previous close of $44.73. The stock remains below its 50-day and 200-day moving averages.
• Analysts maintain a generally positive view, with seven Buy ratings and six Holds, an overall “Moderate Buy” consensus, and an average price target of $52.58 despite recent target reductions from Barclays and Morgan Stanley.
• FirstEnergy reported quarterly EPS of $0.50, in line with estimates, while revenue of $3.68 billion exceeded expectations. The company pays an annualized dividend of $1.86 per share, yielding about 4.3%, though its payout ratio is high at 98.94%.

Shares of FirstEnergy Corporation (NYSE:FE - Get Free Report) reached a new 52-week low during trading on Wednesday . The stock traded as low as $43.72 and last traded at $43.7050, with a volume of 2239346 shares trading hands. The stock had previously closed at $44.73.

Analysts Set New Price Targets

Several analysts have weighed in on the stock. Barclays dropped their price objective on shares of FirstEnergy from $55.00 to $54.00 and set an "overweight" rating for the company in a research note on Friday, July 31st. Morgan Stanley lowered their target price on shares of FirstEnergy from $52.00 to $49.00 and set an "overweight" rating on the stock in a report on Friday, September 18th. UBS Group lifted their price target on shares of FirstEnergy from $50.00 to $51.00 and gave the company a "neutral" rating in a research report on Thursday, June 11th. Wall Street Zen upgraded FirstEnergy from a "sell" rating to a "hold" rating in a research note on Saturday. Finally, Weiss Ratings reissued a "buy (b-)" rating on shares of FirstEnergy in a research report on Monday, September 14th. Seven research analysts have rated the stock with a Buy rating and six have assigned a Hold rating to the stock. According to data from MarketBeat.com, the company currently has an average rating of "Moderate Buy" and an average target price of $52.58.

FirstEnergy Stock Performance

The stock's fifty day moving average price is $47.19 and its two-hundred day moving average price is $47.83. The company has a debt-to-equity ratio of 1.88, a quick ratio of 0.45 and a current ratio of 0.54. The company has a market cap of $25.27 billion, a P/E ratio of 23.21, a P/E/G ratio of 2.60 and a beta of 0.45.

FirstEnergy (NYSE:FE - Get Free Report) last announced its quarterly earnings data on Tuesday, July 28th. The utilities provider reported $0.50 earnings per share (EPS) for the quarter, meeting analysts' consensus estimates of $0.50. FirstEnergy had a net margin of 6.86% and a return on equity of 10.51%. The business had revenue of $3.68 billion for the quarter, compared to analysts' expectations of $3.51 billion. During the same period last year, the firm posted $0.52 earnings per share. As a group, equities analysts predict that FirstEnergy Corporation will post 2.74 earnings per share for the current year.

FirstEnergy Dividend Announcement

The firm also recently declared a quarterly dividend, which was paid on Tuesday, September 1st. Stockholders of record on Friday, August 7th were issued a dividend of $0.465 per share. The ex-dividend date of this dividend was Friday, August 7th. This represents a $1.86 dividend on an annualized basis and a dividend yield of 4.3%. FirstEnergy's payout ratio is 98.94%.

Institutional Trading of FirstEnergy

Several large investors have recently bought and sold shares of FE. Axiom Investment Management LLC bought a new position in shares of FirstEnergy in the 1st quarter worth $26,000. Highland Investment Advisors LLC bought a new stake in FirstEnergy during the 2nd quarter valued at $35,000. Western Wealth Management LLC acquired a new position in FirstEnergy during the first quarter worth $37,000. Pinnacle Bancorp Inc. raised its holdings in FirstEnergy by 44.4% during the first quarter. Pinnacle Bancorp Inc. now owns 754 shares of the utilities provider's stock worth $38,000 after buying an additional 232 shares during the last quarter. Finally, Gunpowder Capital Management LLC dba Oliver Wealth Management bought a new position in shares of FirstEnergy in the fourth quarter valued at $42,000. 89.41% of the stock is owned by institutional investors and hedge funds.

FirstEnergy Company Profile

FirstEnergy Corp. NYSE: FE is an electric utility holding company focused on the transmission and distribution of electricity. Through its regulated operating companies, the company delivers power to residential, commercial and industrial customers and maintains the local infrastructure needed to support reliable electric service.

FirstEnergy's utility operations include Ohio Edison, The Illuminating Company, Toledo Edison, Met-Ed, Penelec, Penn Power, West Penn Power, Jersey Central Power & Light and Mon Power, among others.

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