Group 1 - The article does not provide any specific content related to a company or industry [1]

Core Viewpoint - Eversource Energy faces significant challenges following the rejection of its $2.4 billion water utility sale by Connecticut regulators, impacting its financial outlook and operational strategy [3][4]. Group 1: Regulatory Impact - Connecticut regulators halted Eversource Energy's sale of its water utility Aquarion for $2.4 billion, citing failures in managerial suitability and responsibility requirements despite meeting other standards [3]. - This decision is seen as a major setback for Eversource, which is already dealing with organizational challenges and high long-term debt [3]. Group 2: Financial Outlook - Following the regulatory decision, Scotiabank reduced its price target for Eversource Energy from $64 to $63, maintaining an 'Underperform' rating, indicating a pessimistic outlook for the utility [4]. - Despite the setback, Eversource reaffirmed its FY 2025 adjusted EPS guidance of $4.72 – $4.80 and aims for a compound annual EPS growth rate of 5% to 7% from a 2024 base of $4.57 per share [5].

Core Viewpoint - The Connecticut Public Utilities Regulatory Authority (PURA) has rejected the proposed sale of Aquarion Water Company to the South Central Connecticut Regional Water Authority, impacting Eversource Energy's strategic plans [1]. Group 1 - Eversource Energy's Executive Vice President, Chief Financial Officer, and Treasurer, John Moreira, issued a statement regarding the recent regulatory developments in Connecticut [1].

Core Insights - Investors are increasingly turning to dividend-yielding stocks during market turbulence and uncertainty, as these companies typically have high free cash flows and offer substantial dividend payouts [1] Company Ratings and Performance - **Edison International (NYSE:EIX)**: - Dividend Yield: 5.70% - Barclays analyst Nicholas Campanella maintained an Overweight rating and reduced the price target from $69 to $68 on October 29, 2025, with an accuracy rate of 68% [7] - Wells Fargo analyst Shahriar Pourreza initiated coverage with an Equal-Weight rating and a price target of $56 on October 28, 2025, with an accuracy rate of 70% [7] - Recent News: Posted upbeat quarterly results on October 28, 2025 [7] - **Avista Corp (NYSE:AVA)**: - Dividend Yield: 4.80% - Wells Fargo analyst Shahriar Pourreza initiated coverage with an Equal-Weight rating and a price target of $38 on October 28, 2025, with an accuracy rate of 70% [7] - Jefferies analyst Julien Dumoulin-Smith maintained a Hold rating and raised the price target from $40 to $41 on October 22, 2025, with an accuracy rate of 65% [7] - Recent News: Posted mixed third-quarter results on November 5, 2025 [7] - **Eversource Energy (NYSE:ES)**: - Dividend Yield: 4.74% - Scotiabank analyst Andrew Weisel maintained a Sector Underperform rating and cut the price target from $64 to $63 on November 20, 2025, with an accuracy rate of 69% [7] - Wells Fargo analyst Shahriar Pourreza downgraded the stock from Overweight to Equal-Weight and cut the price target from $79 to $63 on November 20, 2025, with an accuracy rate of 70% [7] - Recent News: Reported better-than-expected quarterly results on November 4, 2025 [7]

Group 1 - The article does not provide any relevant content regarding company or industry insights [1]

Core Viewpoint - Eversource Energy's stock dropped over 12% following the rejection of its proposal to sell its subsidiary Aquarion Water for $2.4 billion by the Connecticut Public Utilities Regulatory Authority [1] Group 1: Transaction Details - The Connecticut regulatory group deemed the proposed sale of Aquarion Water financially and technically feasible but rejected it due to "structural issues and local control deficiencies" in the governance structure [1] - Aquarion Water serves 230,000 customers and is the largest water utility in Connecticut [1] Group 2: Opposition and Concerns - Opponents, including Connecticut Attorney General William Tong, warned that the transaction could lead to increased household utility costs, reduced local tax revenues, and weakened oversight of water rates [1] Group 3: Financial Implications for Eversource - Eversource Energy intended to use the proceeds from the sale to reduce debt and reinvest in its core electricity and natural gas operations [1]

Core Viewpoint - Eversource Energy's shares declined over 10% following the rejection of its proposal to sell its water utility business by Connecticut regulators, marking a significant setback for the company's strategic efforts to streamline operations [1] Group 1: Company Impact - The rejection of the sale proposal has negatively impacted Eversource Energy's stock performance, leading to a drop of over 10% in share value [1] - This decision by regulators represents a challenge to Eversource's plans to divest non-core assets and focus on its primary utility operations [1] Group 2: Regulatory Environment - Connecticut regulators' decision highlights the scrutiny that utility companies face regarding asset sales and operational restructuring [1] - The regulatory landscape may pose additional challenges for Eversource Energy as it seeks to implement its strategic initiatives [1]

Core Viewpoint - Eversource Energy's proposed $2.4 billion sale of its Aquarion Water subsidiary has been denied by Connecticut's Public Utilities Regulatory Authority, leading to a 7.7% drop in the company's stock in early trading [2] Group 1 - The Connecticut Public Utilities Regulatory Authority voted against Eversource Energy's application for the sale [2] - The proposed sale was valued at $2.4 billion [2] - The sale was intended to transfer Aquarion Water to a newly created quasi-public entity [2]

Eversource Energy’s request to sell subsidiary Aquarion Water Company was rejected by Connecticut regulators after pushback from state officials concerned about consumer costs. https://t.co/uAgAFEEEPL ...

Summary of Key Points from the Conference Call Industry Overview - The focus on AI investments has overshadowed other potential investment opportunities in various sectors, including semiconductors, power plants, and capital goods [1][2] - Companies not directly benefiting from AI are highlighted as compelling investment options, such as Freeport-McMoRan, which has indirect exposure to AI [1] Core Insights and Arguments - A screening of Buy-rated US stocks not included in AI/power/infrastructure ETFs identified 82 stocks with positive 3-month EPS revisions and trading below a market multiple of 26x, leading to a final list of 16 equities [2] - Savita Subramanian models an 8% return for the S&P over the next 12 months, emphasizing the importance of owning average stocks rather than the index [3] - Risks associated with AI investments include potential declines in middle-income white-collar jobs, which could impair consumer spending [3] - Hyperscalers investing heavily in AI technology may face de-rating if monetization does not meet expectations, as they currently trade at high multiples despite capital-intensive spending [3] Notable Companies and Their Performance - **Amcor PLC (AMCR)**: Recent acquisition of Berry Global is expected to enhance valuation, with EBITDA projected to approach $3.8 billion for F26 [11][12] - **AT&T Inc. (T)**: Strong performance metrics with 405k post-paid phone net additions, projecting a 9% EPS growth in 2026 [15][17] - **BGC Group**: Dominates the energy derivatives market, with expected growth in volumes due to increased power consumption driven by cloud and AI adoption [18][19] - **Church & Dwight (CHD)**: Positioned to benefit from consumer trade-down trends, with organic sales growth of 3.4% in Q3 [20][21] - **Dollar General (DG)**: Improved execution and a focus on lower price points are expected to boost sales, with a current valuation below the 5-year average [23][27] - **Freeport-McMoRan (FCX)**: Anticipates a restart of the Grasberg mine, with bullish forecasts for copper prices due to supply challenges [32][34] - **Henry Schein (HSIC)**: Transitioning to a higher-margin business model, with a target of 60% operating income from high-growth products by 2027 [38][39] - **Progressive Corp (PGR)**: Strong EPS revisions and expected dividend announcements are anticipated to drive growth [65][67] - **Walt Disney Co. (DIS)**: Growth drivers intact with expectations for double-digit growth in Entertainment operating income [80] Additional Important Insights - The market is currently cautious, providing room for multiple expansions as fundamentals improve across various sectors [14] - Regulatory improvements in Connecticut are expected to enhance Eversource's valuation [28][30] - Viking Holdings is positioned for premium valuation due to its unique brand and superior margins in the cruise industry [76][79] - The overall sentiment indicates a potential for significant investment opportunities outside the AI sector, as companies adapt to changing market dynamics and consumer behaviors [1][2][3]