$3.54 PER SHARE NET INCOME$3.68 PER SHARE NON-GAAP OPERATING EARNINGS Initiates 2025 Non-GAAP Operating Earnings Guidance of $3.94 - $4.06 Per Share, midpoint up ~9% over 2024 results Extends PSEG's 5% - 7% Non-GAAP Operating Earnings CAGR for 2025-2029, at the Production Tax Credit threshold, from higher 2025 midpoint Raises PSEG's 2025 - 2029 Capital Spending Plan to $22.5 billion - $26 billion, up by $3.5 billion from prior plan Targets PSE&G Rate Base CAGR of 6% - 7.5% for 2025-2029, from ~12% higher Y ...

Core Insights - PSEG (PEG) is expected to report quarterly earnings of $0.83 per share, a 53.7% increase year-over-year, while revenues are forecasted to decline by 11.2% to $2.31 billion [1] Earnings Projections - Over the last 30 days, the consensus EPS estimate has been revised upward by 4.8%, indicating analysts' reassessment of their initial forecasts [2] - Changes in earnings projections are crucial for predicting investor reactions, with empirical studies showing a strong correlation between earnings estimate trends and short-term stock price movements [3] Revenue Estimates - The consensus estimate for 'Revenue- PSE&G' is $1.91 billion, reflecting a year-over-year increase of 3.1% [4] - Analysts predict 'Revenue- Power & Other' will reach $515.05 million, indicating a significant year-over-year decline of 51.3% [5] - The estimate for 'Electric sales' is projected at 9,048.09 KWH, slightly down from 9,082 KWH a year ago [5] Stock Performance - PSEG shares have decreased by 2.7% over the past month, contrasting with the Zacks S&P 500 composite's increase of 2.6% [5] - PSEG holds a Zacks Rank of 3 (Hold), suggesting it is expected to closely follow overall market performance in the near term [5]

Market Overview - The equity markets in 2025 are experiencing intense volatility due to geopolitical tensions and renewed trade conflicts, particularly influenced by Trump's tariff policies against major economies like China and the European Union, leading to retaliatory measures and disrupted global supply chains [1] - The Federal Reserve's decision to maintain interest rates has thwarted investor expectations for rate cuts, prioritizing inflation control over short-term market stability, which has left investors uncertain about future monetary policy [2] Investor Behavior - Heightened volatility is prompting shifts in investor behavior, with many re-evaluating portfolio strategies; historically, investors tend to favor value investing during such times, seizing opportunities to buy undervalued stocks as others sell at lower prices [3] Value Investing Strategy - Simple value investing can lead to value traps if not executed with diligence; stocks may appear undervalued based on traditional metrics, but if the underlying business is deteriorating, it may result in poor investment choices [5] - To avoid value traps, it is crucial to assess a stock's earnings growth potential over the next 12 to 24 months, with the PEG ratio being a significant metric for value investors [6] PEG Ratio Insights - The PEG ratio is defined as (Price/Earnings)/Earnings Growth Rate, with a low PEG ratio being preferable for value investors; it helps identify the intrinsic value of a stock, although it has limitations regarding changing growth rates [7] Screening Criteria for Value Stocks - Effective PEG-based investing should consider additional parameters, including a PEG ratio less than the industry median, a P/E ratio below the industry median, a Zacks Rank of 1 or 2, market capitalization greater than $1 billion, average 20-day volume over 50,000, and upward earnings estimate revisions greater than 5% [8][9] Stock Picks - General Motors (GM) has a Zacks Rank of 2, a Value Score of A, and a five-year historical growth rate of 14.2% [11] - Expedia Group (EXPE) has a Zacks Rank of 2, a Value Score of B, and a long-term expected growth rate of 18.2% [12] - Phibro Animal Health (PAHC) boasts a Zacks Rank of 1, a Value Score of A, and a five-year expected growth rate of 26.2% [14] - Pilgrim's Pride (PPC) has a Zacks Rank of 1, a Value Score of A, and a long-term expected growth rate of 48.2% [15]

Core Points - Public Service Enterprise Group (PSEG) announced a quarterly common stock dividend of $0.63 per share for Q1 2025, marking a 5% increase in the indicative annual dividend rate to $2.52 per share [1][2] - This increase represents the 14th consecutive annual dividend increase, highlighting PSEG's commitment to consistent and sustainable growth in dividend payments [2] - PSEG has a long history of providing dividend income for 118 years, supported by a solid financial position and a strong business mix [2] Company Overview - PSEG operates New Jersey's largest transmission and distribution utility, serving approximately 2.4 million electric and 1.9 million natural gas customers [3] - The company owns a fleet of 3,750 MW of carbon-free, baseload nuclear power generating units located in New Jersey and Pennsylvania [3] - PSEG is a member of the S&P 500 Index and has been included in the Dow Jones Sustainability North America Index for 17 consecutive years [3]

Market Overview - The equity market in 2025 has experienced heightened volatility due to escalating geopolitical tensions and renewed trade conflicts, particularly influenced by Trump's tariff policies which have prompted retaliatory actions from major economies like China and the European Union [1] - The Federal Reserve's decision to maintain interest rates has added to market instability, as many investors were expecting a rate cut to alleviate economic pressures from trade disruptions and geopolitical risks [1] Investment Strategies - In times of extreme market instability, investors face the dilemma of choosing between a value strategy that seeks discounted stocks or a growth investing approach [2] - The investment strategy of the Oracle of Omaha, which has evolved from pure value investing to a GARP (growth at a reasonable price) approach, serves as a potential guide for investors [2] GARP Investing - GARP investing combines growth and value-investing principles, focusing on stocks that are undervalued yet possess solid sustainable growth potential [4] - The PEG (Price/Earnings Growth) ratio is a key metric in GARP investing, relating a stock's P/E ratio to its future earnings growth rates [5] Stock Analysis - Four stocks exemplifying the success of the GARP strategy are Pilgrim's Pride (PPC), Exelixis (EXEL), Synchrony Financial (SYF), and United Airlines (UAL) [3] - Pilgrim's Pride has a Zacks Rank of 1 and a Value Score of A, with a long-term expected earnings growth rate of 48.2% [11][12] - Exelixis, with a Zacks Rank of 2 and a Value Score of B, has a solid long-term expected growth rate of 27.4% [13][14] - Synchrony Financial holds a Zacks Rank of 2 and a Value Score of A, with a projected earnings growth rate of 12.8% over the next five years [15] - United Airlines also has a Zacks Rank of 1 and a Value Score of A, with an impressive long-term expected earnings growth rate of 11.7% [16]

Core Viewpoint - Public Service Enterprise Group (PSEG) will host its fourth quarter and full year 2024 earnings call on February 25, 2025, to discuss financial results, guidance, capital investments, and regulatory activities [1]. Group 1: Earnings Call Details - The earnings call is scheduled for 11:00 a.m. ET on February 25, 2025 [1]. - An audio webcast of the call will be available on PSEG's Investor Relations website, along with presentation materials [2]. - A replay of the audio webcast and accompanying materials will be accessible by February 26, 2025 [2]. Group 2: Company Overview - PSEG is a regulated infrastructure company focused on a clean energy future, aiming for cleaner, safer, and more reliable energy delivery [3]. - The company has been listed on the Dow Jones Sustainability North America Index for 17 consecutive years, highlighting its commitment to sustainability [3]. - PSEG is recognized on the 2023-2024 list of U.S. News' Best Companies to Work For [3]. Group 3: Investor Relations - PSEG and PSE&G provide important information through their corporate Investor Relations website [4]. - Investors are encouraged to visit the website for updates and can sign up for automatic email alerts regarding new postings [4].

Market Volatility and Investment Strategies - The equity market has experienced notable volatility due to the commencement of Trump 2.0, with initial positive reactions followed by reversals influenced by policy announcements regarding tariffs and immigration [1] - Investors are uncertain about their strategies during such political and macroeconomic upheavals, often leaning towards value investing as a response to market volatility [2] Value Investing Insights - Value investing can present opportunities when other investors sell stocks at lower prices during market uncertainty, allowing value investors to acquire stocks at discounted rates [2] - However, value investing has drawbacks, including the risk of "value traps," where stocks underperform over time due to persistent issues [4] PEG Ratio and Investment Metrics - The PEG ratio, defined as (Price/Earnings)/Earnings Growth Rate, is a crucial metric for value investors, with a lower PEG ratio being preferable [6] - The PEG ratio helps identify intrinsic stock value, although it has limitations, such as not accounting for changing growth rates over time [6] Screening Criteria for Value Stocks - Effective screening for value stocks includes criteria such as a PEG ratio less than the industry median, a P/E ratio below the industry median, a Zacks Rank of 1 or 2, market capitalization over $1 billion, and an average 20-day volume greater than 50,000 [7][8] Selected Value Stocks - **Wells Fargo & Company (WFC)**: A leading financial services company with a Zacks Rank of 1, a Value Score of B, and a five-year historical growth rate of 12.1% [9][10] - **Exelixis (EXEL)**: An oncology-focused biotechnology company with a Zacks Rank of 2, a Value Score of B, and a long-term expected growth rate of 23.7% [11][12] - **Delta Air Lines (DAL)**: A major U.S. airline with a Zacks Rank of 2, a Value Score of A, and a five-year historical growth rate of 51.3% [12][13] - **The Greenbrier Companies (GBX)**: A supplier of freight transportation equipment with a Zacks Rank of 1, a Value Score of B, and a long-term expected growth rate of 11.7% [13][14]

Core Insights - The article discusses the effectiveness of a hybrid investing strategy known as GARP (Growth at a Reasonable Price), which combines elements of both value and growth investing to navigate market uncertainties [2][4]. Group 1: GARP Strategy - GARP investing focuses on stocks that are undervalued while also having solid sustainable growth potential, utilizing the price/earnings growth (PEG) ratio as a key metric [4][5]. - A lower PEG ratio, ideally less than 1, indicates both undervaluation and future growth potential, making it attractive for GARP investors [6]. Group 2: Screening Criteria - Successful GARP investing involves several screening criteria, including a PEG ratio less than the industry median, a P/E ratio below the industry median, and a Zacks Rank of 1 (Strong Buy) or 2 (Buy) [8][9]. - Additional criteria include a market capitalization greater than $1 billion, an average 20-day volume exceeding 50,000, and a percentage change in F1 earnings estimate revisions greater than 5% [9]. Group 3: Stock Picks - Subaru Corporation (FUJHY) is highlighted as a strong investment pick with a Zacks Rank of 2, a Value Score of A, and a long-term expected earnings growth rate of 24.6% [10][11]. - Enersys (ENS) also qualifies as a solid investment with a Zacks Rank of 2, a Value Score of A, and a long-term expected growth rate of 18% [12]. - Nomura Holdings, Inc. (NMR) is noted for its Zacks Rank of 2, a Value Score of A, and a projected earnings growth rate of 22.6% over the next five years [13]. - American Airlines (AAL) stands out with a Zacks Rank of 1, a Value Score of A, and an impressive long-term expected earnings growth rate of 37.6% [14].

Core Insights - Public Service Electric & Gas (PSE&G) has been recognized by J.D. Power as the top utility for residential customer satisfaction in both electric and gas service categories for 2024, marking the second consecutive year for this dual recognition [1][5] Customer Satisfaction Rankings - In the Residential Electric study, PSE&G achieved the top ranking in all measured categories including power quality and reliability, customer care, billing and payment, corporate citizenship, price, and communications, reflecting the company's investment in infrastructure and innovation [2] - PSE&G also secured the top position for residential gas customer satisfaction in the East Large region, excelling in reliability, billing, and communications [3] Commitment to Excellence - The recognition from J.D. Power is based on feedback from residential customers, highlighting the dedication of PSE&G employees to customer service excellence [4] - PSE&G's legacy of customer satisfaction is further solidified by previous awards in 2023 and 2022 for both residential and business electric customer satisfaction [5] Future Focus - PSE&G aims to enhance customer experience through investments in advanced technologies, clean energy initiatives, and infrastructure improvements to meet evolving customer needs [6]

With the market getting increasingly fickle on external shocks, investors are more focused on finding an investment strategy that emphasizes judging a stock's inherent potential. Needless to mention, value investment is gaining popularity day by day.  However, this apparently simple-to-understand investing strategy has historically shown dangerous outcomes a number of times because of people’s oversight of its basics.Warren Buffet, the popular value investor, believes that proper understanding of the “intri ...