Evergy, Inc. (NASDAQ:EVRG) is included among the 10 High Yield Utility Stocks to Buy in 2026. Evergy (EVRG) Price Target Reduced to $91 Evergy, Inc. (NASDAQ:EVRG) delivers electricity to approximately 1.7 million residential and commercial customers in homes and businesses in Kansas and Missouri. On January 23, RBC Capital analyst Stephen D’Ambrisi lowered its price target on Evergy, Inc. (NASDAQ:EVRG) from $93 to $91, but maintained an ‘Outperform’ rating on the shares. The revised target, which still ...

Founded in 2017, Kansas City, Missouri-based Evergy, Inc. (EVRG) engages in the generation, transmission, distribution, and sale of electricity in the United States. The company has a market capitalization of $17.6 billion and is expected to release its Q4 2025 earnings results soon. Ahead of this event, analysts anticipate the company to generate earnings of $0.60 per share, representing an increase of 71.4% from $0.35 per share reported in the same quarter last year. The company has surpassed the Street ...

Core Insights - Utilities are considered highly attractive investments in 2026 due to various economic factors, including expected lower GDP growth [1] Group 1: Economic Outlook - The anticipated GDP growth for 2026 is expected to be lower, influencing the attractiveness of utility investments [1] Group 2: Analyst Background - The lead analyst for Dividend Kings, Scott Kaufman, has over a decade of experience in the financial sector and focuses on identifying high-quality dividend-growing and undervalued opportunities [1]

Core Viewpoint - Investors in Evergy, Inc. should closely monitor the stock due to significant movements in the options market, particularly the March 20, 2026 $40 Call which has high implied volatility [1] Group 1: Implied Volatility - Implied volatility indicates the market's expectations for future stock movement, with high levels suggesting anticipation of a significant price change or an upcoming event that could trigger a rally or sell-off [2] - High implied volatility in options can attract traders looking to sell premium, as this strategy aims to benefit from the decay of options value if the stock does not move as expected [4] Group 2: Analyst Sentiment - Evergy holds a Zacks Rank 2 (Buy) in the Utility - Electric Power industry, which is in the top 20% of the Zacks Industry Rank [3] - Over the past 60 days, one analyst has raised earnings estimates for the current quarter, increasing the Zacks Consensus Estimate from 50 cents per share to 60 cents [3]

Core Viewpoint - Evergy, Inc. has announced a repurchase agreement for approximately $244.1 million of its 4.50% Convertible Notes due 2027, with a total repurchase cost of about $302.5 million, including accrued interest [1]. Group 1: Repurchase Details - The repurchase agreements involve privately negotiated transactions with certain holders of the Notes [1]. - The final cash repurchase price will be adjusted based on the daily volume-weighted average price of Evergy's common stock starting January 7, 2026 [1]. - After the repurchases, approximately $1,155.9 million of the Notes will remain outstanding [2]. Group 2: Convertible Notes Information - The Notes were initially convertible at a rate of 16.1809 shares of Evergy common stock per $1,000 principal amount, equating to an initial conversion price of about $61.80 per share [3]. Group 3: Market Implications - Evergy anticipates that holders of the Notes may engage in derivative transactions or trade shares of Evergy's common stock to hedge their exposure related to the repurchase [4]. - Many holders may utilize a convertible arbitrage strategy, potentially leading to short positions in Evergy's common stock that they would close through market transactions [4]. Group 4: Company Overview - Evergy, Inc. serves 1.7 million customers in Kansas and Missouri, focusing on reliable, affordable, and sustainable energy [6]. - Approximately half of Evergy's power generation comes from carbon-free sources, emphasizing its commitment to environmental sustainability [6].

Evergy, Inc. (NASDAQ:EVRG) is included among the Best Stocks for a Dividend Achievers List. Mizuho Says Evergy’s (EVRG) Regulatory Gains are Already Priced in On December 18, Mizuho analyst Anthony Crowdell cut Evergy, Inc. (NASDAQ:EVRG) to Neutral from Outperform and lowered the price target to $76 from $86. In a research note, he said the stock already reflects the company’s improved regulatory setup in Kansas and Missouri. Mizuho’s model assumes about 7% earnings growth, while management is guiding fo ...

Company Overview - Evergy, Inc. is based in Kansas City, Missouri, and is involved in generating, transmitting, distributing, and selling electricity, with a market capitalization of $17.1 billion [1] - The company utilizes a diverse range of energy sources, including coal, landfill gas, uranium, natural gas, oil, solar, wind, and other renewable sources [1] Market Position - Evergy is classified as a "large-cap stock" due to its market cap exceeding $10 billion, highlighting its size and influence in the regulated electric utility industry [2] - The company aims to provide reliable and affordable power while focusing on grid modernization, renewable energy expansion, and sustainability [2] Stock Performance - Currently, Evergy's stock is trading 6.6% below its 52-week high of $79.32, reached on October 16 [3] - Over the past three months, shares have increased by 2.7%, outperforming the State Street Utilities Select Sector SPDR ETF (XLU) [3] - In the last 52 weeks, Evergy's stock has risen by 19.7%, surpassing XLU's 11.3% increase, and on a year-to-date basis, it is up 20.4% compared to XLU's 14.2% [4] Recent Financial Results - In Q3, Evergy reported an adjusted EPS of $2.03, which is a slight increase from the previous year but fell short of analyst expectations by 5.1% [5] - Due to cooler than normal summer weather, the company has revised its fiscal 2025 adjusted EPS guidance down to a range of $3.92 to $4.02 from the previous $3.92 to $4.12 [5] Competitive Analysis - Evergy has outperformed its competitor, Ameren Corporation (AEE), which saw a 10.1% increase over the past 52 weeks and a 10.9% increase year-to-date [6] - Analysts maintain a moderately optimistic outlook for Evergy, with a consensus rating of "Moderate Buy" from 13 analysts and a mean price target of $84.95, indicating a potential 14.6% upside from current price levels [6]

Core Viewpoint - Evergy Energy is positioned to benefit from the increasing energy demand driven by AI data centers, particularly in the Kansas City region where major tech companies operate [2][3][5] Group 1: Company Overview - Evergy Energy is an electrical utility serving the greater Kansas City area, providing a critical infrastructure for numerous hyperscalers like Alphabet, Meta Platforms, and NVIDIA-backed Lambda [2][3] - The company is not an AI tool itself but serves as a power provider that supports AI operations [2] Group 2: Market Position and Demand - Analysts predict a significant energy demand boom associated with AI data centers, with Evergy Energy well-positioned to capitalize on this trend [3][5] - The company has a project backlog of 15 GW in capacity awaiting budgetary approvals, which are expected soon, enhancing its market outlook [5][6] Group 3: Analyst Sentiment and Stock Performance - Analyst coverage for Evergy Energy has increased, with 10 out of 11 ratings currently at Buy, indicating strong market sentiment [6] - The consensus target price is trending higher, forecasting a potential 10% upside by mid-December, with a high-range suggesting a 25% upside possible by 2026 [6] Group 4: Dividend Appeal - Evergy Energy offers an annualized dividend of $2.78 in 2025, yielding approximately 3.75%, with expectations for annual growth [7] - The company has a history of increasing dividends for 22 consecutive years, positioning it for potential inclusion in the Dividend Aristocrat Index by 2029 [7] - The current payout ratio is sustainable at 70%, aligning distribution growth with earnings growth [7]

Core Insights - Utility stocks had been performing well in 2025 but have recently experienced a pullback, suggesting potential for a rebound in the sector Group 1: Brookfield Infrastructure - Brookfield Infrastructure operates globally with significant assets in utilities, including 3,500 kilometers of natural gas pipelines and 3,100 kilometers of electricity transmission lines [4][6] - The company has a market cap of $6.1 billion, with a current price of $46.33 and a dividend yield of 4.9% [5][6] - Brookfield Infrastructure's funds from operations (FFO) are diversified, with only 5% sensitive to oil and gas market conditions, indicating stability [6] Group 2: Enbridge - Enbridge operates an extensive pipeline network, transporting approximately 30% of North America's crude oil and 20% of the natural gas used in the U.S. [7][8] - The company has a market cap of $104 billion, with a current price of $47.55 and a forward dividend yield of 5.9% [9][10] - Enbridge has a strong track record of dividend increases, having raised its dividend for 30 consecutive years, and has $50 billion in visible growth opportunities through 2030 [11] Group 3: Evergy - Evergy operates in Kansas and Missouri, providing power and has outperformed both the S&P 500 and the utilities sector this year [12][13] - The company has a market cap of $17 billion, with a current price of $73.80 and a dividend yield of 3.8% [14][15] - Evergy is well-positioned for growth due to the construction of new data centers in its service areas, with management anticipating growth opportunities through 2030 and beyond [16]

Core Insights - Evergy, Inc. (EVRG) is expanding its operations in the transmission market through collaborations, strategic acquisitions, and partnerships while aiming for carbon neutrality by 2045 [1] Growth Outlook - The Zacks Consensus Estimate for 2025 earnings per share (EPS) is $4.01, with a slight increase of 0.47% for 2026 EPS to $4.28 over the past 60 days [2] - The revenue estimate for 2025 is $5.95 billion, indicating a year-over-year improvement of 1.80%, while the 2026 revenue estimate is $6.23 billion, implying a growth of 4.59% [2] - The long-term earnings growth rate for EVRG is projected at 5.78% over the next three to five years [2] Capital Return Program - EVRG has been increasing shareholder value through consistent dividend payments, with a current quarterly dividend of 69.5 cents per share, leading to an annualized dividend of $2.78 [3] - The current dividend yield stands at 3.61%, significantly higher than the Zacks S&P 500 composite average of 1.12% [3] Debt Structure - The capital-intensive nature of the Utilities sector necessitates substantial investments for upgrades and expansions, with the Federal Reserve's interest rate reduction benefiting utilities [4] - EVRG's total debt to capital ratio is 55.84%, which is better than the industry average of 59.51% [4] Times Interest Earned Ratio - Evergy's times interest earned (TIE) ratio at the end of Q3 2025 was 2.5, indicating a strong ability to meet long-term debt obligations [5] Share Price Performance - Over the past year, EVRG's shares have increased by 18.8%, outperforming the industry's growth of 15.6% [6]