ARLINGTON, Va. and MONTRÉAL, Sept. 17, 2024 /PRNewswire/ -- The AES Corporation (NYSE: AES) today announced that it reached an agreement to sell a 30% indirect equity interest in AES Ohio to CDPQ, a global investment group, for approximately US$546 million, with closing expected in the first half of 2025.This agreement expands upon AES' existing partnership with CDPQ at AES Indiana and creates a similar ownership structure for the two utilities, with no change in management or operational control of AES Ohi ...

Market Overview - Wall Street experienced strong weekly gains, with the S&P 500 and Nasdaq marking their best week of the year, driven by rising expectations for a significant interest rate cut by the Federal Reserve [1] - The Nasdaq rose over 5%, the S&P 500 gained 4%, and the Dow increased by 2% amid a volatile market [1] Interest Rate Expectations - Anticipation for a half-point interest rate cut by the Federal Reserve increased, with traders now assigning a 49% probability to a 50-basis point cut next week, up from 15% on September 12, 2024 [2] - Reports from Financial Times and The Wall Street Journal indicated that the Fed's decision on September 18 will be closely contested, with former New York Fed President Bill Dudley suggesting a "strong case" for a deeper rate cut [2] Treasury Yields - The yield on the benchmark 10-year Treasury fell to 3.66% on September 13, 2024, down from 3.70% on September 9, 2024, reflecting market uncertainty regarding the Fed's rate cut decision [3] Winning Stocks of the Week - **Broadcom (AVGO)**: Stock rose 20.8% last week; the company is a global supplier of semiconductor devices, focusing on complex digital and mixed signal CMOS-based devices [3][4] - **Warner Bros. Discovery (WBD)**: Stock increased by 17.1% last week; the company is a global media and entertainment entity that recently announced a deal with Charter Communications to include its Max streaming service in standard cable packages [4] - **Super Micro Computer (SMCI)**: Stock rose 16.4% last week; the company designs and manufactures energy-efficient server solutions [5] - **Vistra (VST)**: Stock increased by 14.2% last week; the energy company announced a license extension for one of its plants, contributing to its stock surge [5] - **AES Corp (AES)**: Stock rose 14.2% last week; the global power company has a strong earnings surprise average of 19.18% over the past four quarters [6]

Market Overview - September is historically the worst-performing month for U.S. stock markets, with significant losses observed in the first week of September 2024, although the last week showed improvement as the best week of the year [1] - High expectations are set for the Federal Reserve to initiate interest rate cuts in the upcoming September FOMC meeting, with the current rate at a 23-year high of 5.25-5.5% [1] Investment Opportunities - Investment in stocks with high dividend yields and strong short-term price appreciation potential is recommended to enhance portfolio returns [2] Company Analysis: The AES Corp. - The AES Corp. is leading the utility industry's transition to clean energy, completing the construction or acquisition of 976 megawatts (MW) of renewable energy sources in Q2 2024 [3] - AES has signed agreements for 1.2 GW of new data center load and plans to add up to 1,300 MW of renewable energy by 2027 [3] - Expected revenue and earnings growth rates for AES are 0.8% and 8% respectively, with a current dividend yield of 3.72% [3] Price Target for AES - The short-term average price target for AES indicates a potential appreciation of 22.1% from the last closing price of $18.54, with a target range of $19-$25 [4] Company Analysis: Pfizer Inc. - Pfizer is a major player in oncology, with oncology sales contributing over 26% of total revenues and growing 23% operationally in H1 2024 [5] - The company is investing in various therapeutic areas, including oncology, internal medicine, and vaccines [5] - Expected revenue and earnings growth rates for Pfizer are 5.1% and 42.4% respectively, with a current dividend yield of 5.74% [5] Price Target for Pfizer - The short-term average price target for Pfizer suggests a potential appreciation of 13.9% from the last closing price of $29.27, with a target range of $27-$45 [6] Company Analysis: Unum Group - Unum's conservative pricing and strong sales volume have led to profitability, with geographic expansion contributing to growth in acquired dental insurance businesses [8] - The company expects sales growth of 8-12%, premium growth of 4-7%, and adjusted operating EPS growth of 10-15% in the long term [8] - Expected revenue and earnings growth rates for Unum are 4.4% and 10.6% respectively, with a current dividend yield of 3.05% [8] Price Target for Unum - The short-term average price target for Unum indicates a potential appreciation of 16.9% from the last closing price of $55.02, with a target range of $52-$73 [9]

The Zacks Utility – Electric Power industry players generate and supply electricity to millions of customers across the United States. The utilities have been transitioning toward clean sources of fuel and focusing on carbon emissions reduction. The support from the government is aiding the industry’s transition toward clean energy sources to produce electricity. Utilities are also focused on strengthening the grid as well as transmission and distribution infrastructure. The huge infrastructure of the utili ...

The United States is expected to see robust demand for electric power from artificial intelligence (AI)-driven data center growth, widespread adoption of electric vehicles (EV), and an increase in residential demand. In this regard, renewable energy is emerging as an industry promising long-term gains. Out of several forms of alternative energy, wind energy is at the forefront of the global transition toward renewable energy, a critical theme in combating climate change.Here, we have selected four utilities ...

HOUSTON, TEXAS - FEBRUARY 21: A view of high voltage transmission towers on February 21, 2021 in ... [+] Houston, Texas. Millions of Texans lost their power when winter storm Uri hit the state and knocked out coal, natural gas and nuclear plants that were unprepared for the freezing temperatures brought on by the storm. Wind turbines that provide an estimated 24 percent of energy to the state became inoperable when they froze. (Photo by Justin Sullivan/Getty Images)Getty ImagesIf you’ve been watching utilit ...

The proven Zacks Rank system focuses on earnings estimates and estimate revisions to find winning stocks. Nevertheless, we know that our readers all have their own perspectives, so we are always looking at the latest trends in value, growth, and momentum to find strong picks.Looking at the history of these trends, perhaps none is more beloved than value investing. This strategy simply looks to identify companies that are being undervalued by the broader market. Value investors use tried-and-true metrics and ...

Whether it's through stocks, bonds, ETFs, or other types of securities, all investors love seeing their portfolios score big returns. However, when you're an income investor, your primary focus is generating consistent cash flow from each of your liquid investments.While cash flow can come from bond interest or interest from other types of investments, income investors hone in on dividends. A dividend is the distribution of a company's earnings paid out to shareholders; it's often viewed by its dividend yie ...

The AES Corporation (AES) is a global energy company. Its strategic investments to expand its clean energy generation capacity and construction of new generation, transmission and distribution projects are likely to boost its performance. Given its growth opportunities, AES makes for a solid investment option in the Utility sector.The company currently carries a Zacks Rank #2 (Buy). Let’s look at the factors that are driving the stock.Growth Projections & Surprise History of AESThe Zacks Consensus Estimate ...

AES (AES) closed the last trading session at $16.94, gaining 0.3% over the past four weeks, but there could be plenty of upside left in the stock if short-term price targets set by Wall Street analysts are any guide. The mean price target of $22.71 indicates a 34.1% upside potential.The average comprises seven short-term price targets ranging from a low of $19 to a high of $25, with a standard deviation of $1.98. While the lowest estimate indicates an increase of 12.2% from the current price level, the most ...