Company Overview - Duke Energy is a Fortune 150 company headquartered in Charlotte, N.C., and is one of America's largest energy holding companies [4] - The company serves 8.4 million electric customers across North Carolina, South Carolina, Florida, Indiana, Ohio, and Kentucky, with a total energy capacity of 54,800 megawatts [4] - Additionally, Duke Energy's natural gas utilities serve 1.7 million customers in North Carolina, South Carolina, Tennessee, Ohio, and Kentucky [4] Financial Results Announcement - Duke Energy will release its second-quarter 2025 financial results on August 5, 2025, at 7 a.m. ET on its website [1] - An earnings conference call for analysts is scheduled for the same day at 10 a.m. ET to discuss the results and other business updates [1][2] Leadership in Conference Call - The conference call will be hosted by Harry Sideris, president and CEO, and Brian Savoy, executive vice president and CFO [2] - Access to the call can be made via the investors' section of the Duke Energy website or by dialing specific numbers for U.S. and international participants [2] Energy Transition Strategy - Duke Energy is focused on an ambitious energy transition, prioritizing customer reliability and value while building a smarter energy future [5] - The company is investing in significant electric grid upgrades and cleaner energy generation methods, including natural gas, nuclear, renewables, and energy storage [5]

Core Viewpoint - Investing in high-yielding stocks can be attractive for income investors, but it is essential to consider the stability and growth potential of the companies behind these dividends [1][2]. Group 1: Verizon Communications - Verizon offers a dividend yield of 6.3%, significantly higher than the S&P 500 average of 1.2% [4]. - The company reported sales of $134.8 billion in 2024, showing minimal growth from $133.6 billion in 2021 [4]. - Verizon has a profit margin exceeding 13% and trades at 10 times its trailing earnings, making it a solid income investment [5]. - The company has increased its dividend for 18 consecutive years, with a sustainable payout ratio of 64% [5][6]. Group 2: Duke Energy - Duke Energy provides a dividend yield of 3.5% and operates in essential utility services, offering stability [7]. - The company generated $30.9 billion in revenue and $4.7 billion in earnings over the past 12 months, resulting in a profit margin of 15% [8]. - Duke has paid dividends for 99 straight years, with a 31% increase in its quarterly per-share dividend over the past decade [9]. - The payout ratio of 69% indicates potential for future dividend increases, making it a strong long-term investment [9]. Group 3: Kimberly-Clark - Kimberly-Clark, known for brands like Huggies and Kleenex, has maintained sales around $20 billion for the past three years with profit margins typically around 10% [10][11]. - The company has raised its dividend for 53 consecutive years, earning the title of Dividend King, indicating a commitment to growing its payouts [12]. - With a dividend yield of 3.9% and a payout ratio of approximately 67%, Kimberly-Clark is positioned as a low-volatility stock suitable for long-term investment [12][13].

Core Viewpoint - The utility sector is poised for significant growth due to a surge in electricity demand driven by advancements in artificial intelligence, data centers, and electric vehicles, with a projected increase in demand of 55% over the next 20 years compared to just 9% from 2000 to 2020 [3][4]. Industry Trends - Electricity demand grew by 9% from 2000 to 2020, but is expected to grow by 55% over the next two decades [3]. - The demand for electricity from AI and data centers is projected to increase by 300% in the next decade, while electric vehicles are expected to drive a staggering 9,000% increase in electricity demand by 2050 [4]. - By the middle of the century, electricity is projected to account for 32% of final energy demand, up from 21% [4]. Investment Opportunities - Vanguard Utilities Index Fund ETF (VPU) offers diversified exposure to the utility sector with a yield of approximately 2.8% [6]. - NextEra Energy (NEE) has a strong growth platform with a 10% annualized dividend increase over the past decade and a yield of around 3.2% [7][8]. - The Southern Company (SO) has recently started two nuclear reactors, enhancing its clean energy supply and yielding 3.2% [9]. - Duke Energy (DUK) focuses on regulated utility customer bases, with a dividend yield of about 3.5% [10]. - Dominion Energy (D) has a higher yield of 4.7% but has faced challenges with a dividend cut [11]. - Black Hills Corporation (BKH) has achieved Dividend King status with a yield of 4.8% and a growing customer base [12]. - Constellation Energy (CEG) operates the largest nuclear power fleet in the U.S. but has a lower yield of 0.5% [13]. - Brookfield Renewable offers a diversified clean energy investment with yields of 5.8% for the partnership class and 4.5% for the corporate class [14][15]. - Portland General Electric (POR) has a yield of 5.1% and operates in a region with potential for data centers despite wildfire risks [17]. - Eversource Energy (ES) focuses on regulated utility assets with a yield of approximately 4.7% [18]. Long-term Outlook - The trends driving electricity demand are expected to unfold over decades, presenting opportunities for long-term investors to build wealth as the demand growth story develops [19].

Core Viewpoint - Duke Energy is positioned to potentially continue its earnings-beat streak in upcoming reports, supported by a positive earnings surprise history and favorable analyst estimates [1][5]. Earnings Performance - For the most recent quarter, Duke Energy reported earnings of $1.59 per share, missing the expected $1.76 per share by 10.69%. In the previous quarter, it exceeded the consensus estimate of $1.61 per share by reporting $1.66 per share, resulting in a surprise of 3.11% [2]. Earnings Estimates and Predictions - Recent estimates for Duke Energy have been increasing, with a positive Earnings ESP of +2.13%, indicating bullish sentiment among analysts regarding its near-term earnings potential [5][8]. - The combination of a positive Earnings ESP and a Zacks Rank of 3 (Hold) suggests a high likelihood of another earnings beat, with historical data showing that stocks with this combination beat consensus estimates nearly 70% of the time [6][8]. Earnings ESP Explanation - The Zacks Earnings ESP compares the Most Accurate Estimate to the Zacks Consensus Estimate, with the Most Accurate Estimate reflecting the latest analyst revisions, which may provide a more accurate prediction of earnings [7].

Core Viewpoint - Duke Energy Carolinas has requested a public review of its current rates from South Carolina regulators, seeking an overall annual revenue increase of $150.5 million, which equates to a 7.7% increase over current revenues [2]. Financial Impact - If the request is approved, typical residential customers using 1,000 kilowatt-hours per month will see their monthly electric bills rise by $10.38, from $136.82 to $147.19, effective March 1, 2026 [2]. - Commercial customers will experience an average increase of 5.4%, while industrial customers will see an average increase of around 5.2% [2]. Company Commitment - Duke Energy emphasizes its commitment to meeting customers' expectations regarding reliability, responsiveness, affordability, and value, while also supporting South Carolina's economic growth [2][4]. Infrastructure Investments - The company has made significant investments in grid improvements, which have enhanced storm response capabilities and reduced outages for customers [3][7]. - Recent upgrades include smart, self-healing technology that automatically restored over 35,000 customer outages and saved more than 153,000 hours of total outage time during Hurricane Helene [7]. Company Overview - Duke Energy Carolinas, a subsidiary of Duke Energy, operates with 20,800 megawatts of energy capacity, serving 2.9 million customers across a 24,000-square-mile area in North and South Carolina [5]. - Duke Energy, a Fortune 150 company, serves 8.6 million customers across multiple states and is focused on an ambitious energy transition, investing in electric grid upgrades and cleaner generation sources [6][8].

Core Viewpoint - A significant endorsement from Goldman Sachs has shifted institutional sentiment towards Duke Energy, indicating a potential investment opportunity in the utility sector [1][2]. Company Overview - Duke Energy has been upgraded from Neutral to Buy by Goldman Sachs, with a new price target of $132.00 per share, suggesting a positive outlook compared to its current trading price of $116.93 [2][3]. - The company is recognized for its blend of regulated operations and a clear growth strategy, which is seen as offering a superior risk-reward profile in a challenging market [4]. Growth Strategy - Duke Energy has a $145 billion capital investment program planned over the next decade, focusing on critical infrastructure and clean energy sources, which is expected to drive earnings growth [6]. - The company anticipates achieving 5% to 7% annual earnings growth through its investment strategy [7]. Financial Performance - In the first quarter of 2025, Duke reported an adjusted earnings per share (EPS) of $1.76, exceeding analyst expectations and demonstrating the effectiveness of its growth strategy [8]. Shareholder Returns - Duke Energy offers a dividend yield of approximately 3.59% and has a long history of paying dividends for 99 consecutive years, with increases over the past 20 years, providing stability for investors [9][10]. Risk Management - The company has strengthened its balance sheet by selling its non-regulated Commercial Renewables business for $2.8 billion, allowing for growth funding with less reliance on new debt [11][12]. - Recent legislative developments in North Carolina provide Duke with greater operational flexibility, aiding in the management of its energy transition while ensuring reliability and affordability [13]. Market Position - Duke Energy is positioned as a defensive investment with a dual appeal of income and growth, making it attractive for investors seeking stability in a volatile market [15][16].

Core Insights - Duke Energy set a new summer peak electricity usage record of 35,269 megawatt-hours (MWh) on June 24, 2025, surpassing the previous record of 34,439 MWh from July 9, 2024 [3] - The company attributes this record to customer conservation efforts during peak demand periods amid a heat wave affecting North and South Carolina [2][7] - Duke Energy's all-time peak usage record is 37,260 MWh, achieved on January 23, 2025 [3] Energy Mix and Infrastructure - Duke Energy utilizes a diverse energy mix, including nuclear, natural gas, hydro, renewables, and coal, to meet increasing energy demands [4] - The company is investing in solar and energy storage, with plans for new natural gas plants over the next five years to support growth and economic development [4][12] Customer Engagement and Energy Efficiency - Over 521,000 customers participated in Duke Energy's demand response programs to help manage peak demand during the heat wave [7] - The company emphasizes the importance of energy efficiency year-round, providing tips for customers to save on their electric bills [5][10] Company Overview - Duke Energy is a Fortune 150 company serving 8.6 million customers across several states, with a total energy capacity of 55,100 megawatts [11] - The company is focused on an ambitious energy transition, investing in electric grid upgrades and cleaner generation sources [12]

Core Insights - Nuclear power plants are recognized for their high-capacity factor, providing a reliable source of baseload electricity compared to intermittent renewable sources [2] - The U.S. aims to increase nuclear energy capacity from 100 GW to 400 GW by 2050 through executive orders issued by President Trump [4] - The demand for clean electricity is rising due to factors like AI data centers, urbanization, and electric vehicles, making nuclear energy stocks attractive [5] Constellation Energy's Position - Constellation Energy operates the largest nuclear fleet in the U.S., generating nearly 90% carbon-free energy annually [6] - The company plans to invest $3 billion to $3.5 billion in capital expenditures through 2026, with 35% allocated for nuclear fuel [10][16] - Constellation Energy's return on equity (ROE) is 21.93%, indicating efficient capital use compared to Duke Energy's 9.88% [10][14] Duke Energy's Position - Duke Energy's nuclear operations provide reliable, low-carbon electricity, helping meet climate goals and federal regulations [8] - The company received approval to extend operations of its largest nuclear plant for an additional 20 years, supporting its clean energy strategy [8] - Duke Energy anticipates capital expenditures of $190-$200 billion over the next decade, with a significant portion for clean energy transition [17] Financial Performance Comparison - Constellation Energy's earnings per share (EPS) estimates for 2025 and 2026 increased by 0.75% and 3.78%, respectively, while Duke Energy's estimates remained flat or slightly decreased [10][12][14] - Constellation Energy's dividend yield is 0.49%, significantly lower than Duke Energy's 3.61% [18] Investment Outlook - Both Constellation Energy and Duke Energy have potential for growth in the energy sector, but Constellation Energy is favored for its better earnings growth and ROE [19][20]

Group 1 - The market is currently near an all-time high, indicating increased investor willingness to invest in risk assets [2] - There are significant risks on the horizon, suggesting a cautious approach despite the market's optimism [2] - The statement by Warren Buffett to "be fearful when others are greedy" is highlighted as a reminder for investors to remain vigilant [2] Group 2 - iREIT+HOYA Capital focuses on income-producing asset classes that provide sustainable portfolio income, diversification, and inflation hedging [1]

Core Viewpoint - Duke Energy is urging customers in the Carolinas to reduce energy use during peak demand hours to alleviate pressure on the power grid and minimize the risk of power outages [1][2]. Company Overview - Duke Energy is a Fortune 150 company based in Charlotte, N.C., serving 8.6 million electric customers across multiple states and owning 55,100 megawatts of energy capacity [2]. - The company also provides natural gas services to 1.7 million customers in several states [2]. Energy Transition Efforts - Duke Energy is focused on an ambitious energy transition, prioritizing customer reliability and value while investing in electric grid upgrades and cleaner energy sources, including natural gas, nuclear, renewables, and energy storage [3]. Customer Guidance - Customers are advised to raise their thermostat settings, postpone laundry, avoid using electric ranges and appliances during peak hours, consider outdoor grilling, and turn off unnecessary appliances to help reduce energy consumption [4].