NEWARK, N.J., Oct. 14, 2024 /PRNewswire/ -- Public Service Enterprise Group Incorporated (PSEG) will host its third quarter 2024 earnings call at 11:00 a.m. ET on Monday, November 4, during which management will discuss third quarter financial results, financial guidance, capital investments, regulatory activities, and other important matters. The audio webcast can be accessed at that time, along with accompanying presentation materials, on the Investor News and Events section of PSEG's Investor Relations w ...

First Base Rate Increase in Six Years, an Annual Increase of About One Percent NEWARK, N.J., Oct. 9, 2024 /PRNewswire/ -- Today, the New Jersey Board of Public Utilities (BPU) approved a settlement agreement that PSE&G had reached with BPU staff, the New Jersey Division of Rate Counsel and other parties to PSE&G's electric and gas distribution base rate case filed in December 2023. The settlement advances PSE&G's ability to continue providing customers with affordable, award-winning service and customer car ...

Core Viewpoint - The article discusses the effectiveness of the GARP (Growth at a Reasonable Price) investment strategy, highlighting its advantages over pure value or growth investing, particularly in uncertain market conditions [1][2]. GARP Investment Strategy - GARP combines principles of both growth and value investing, focusing on stocks that are undervalued yet have sustainable growth potential [3]. - The strategy prioritizes the PEG (Price/Earnings Growth) ratio, which relates a stock's P/E ratio to its future earnings growth rate, helping to identify stocks with solid future potential [4]. PEG Ratio Insights - The PEG ratio is calculated as (Price/Earnings)/Earnings Growth Rate, with a lower PEG ratio (preferably less than 1) being favorable for GARP investors [4][5]. - An example illustrates that a stock with a P/E ratio of 10 and a long-term growth rate of 15% results in a PEG of 0.66, indicating both undervaluation and growth potential [5]. Drawbacks of PEG Ratio - The PEG ratio does not account for changing growth rates, which can affect its reliability as a sole metric for investment decisions [6]. Screening Criteria for GARP Stocks - Successful GARP investments should meet specific criteria, including a PEG ratio less than the industry median, a P/E ratio below the industry median, a Zacks Rank of 1 or 2, and a market capitalization greater than $1 billion [7][8]. Selected Stocks for GARP Investment - **Sirius XM Holdings (SIRI)**: A radio broadcasting company with a Zacks Rank of 2, a Value Score of A, and a long-term expected growth rate of 10% [9][10]. - **Carnival Corporation (CCL)**: The largest cruise operator globally, with a revenue growth rate of 16.4% for 2024, a Value Score of A, and a Zacks Rank of 1 [11][12]. - **JD.com (JD)**: A supply chain-based technology provider in China, boasting a long-term historical growth rate of 63.5% and a Zacks Rank of 1 with a Value Score of A [13][14]. - **Abercrombie & Fitch (ANF)**: A specialty retailer with a Zacks Rank of 1, a Value Score of A, and a long-term historical growth rate of 47.9% [15].

Group 1 - The article emphasizes that HODL (Hold On for Dear Life) strategies may not yield significant alpha or maintain a high Sharpe ratio over the long term, suggesting that active management is essential for generating positive returns [1] - It highlights the importance of minimizing opportunity costs in investment strategies, indicating that seeking high returns does not equate to generating high alpha [1] Group 2 - The analyst has a beneficial long position in the shares of MU, indicating a personal investment interest in the company [2] - The article expresses the author's personal opinions and clarifies that there is no compensation received for the content, ensuring transparency in the analysis [2]

A decade of planning and strengthening the grid has increased reliability and resilience UNIONDALE, N.Y., Sept. 26, 2024 /PRNewswire/ -- Coinciding with Climate Week 2024, PSEG Long Island and the Long Island Power Authority (LIPA) have partnered to publish a proactive Climate Change Resilience Plan (CCRP) to address changes in weather patterns projected over the coming decades. To review the full Climate Change Resilience Plan, click here. Experience the full interactive Multichannel News Release here: htt ...

Less volatile commodity prices and solid cost management enabling decrease for customers NEWARK, N.J., Sept. 26, 2024 /PRNewswire/ -- PSE&G announced today it is lowering gas bills for its residential customers by about 5%, effective Oct. 1, 2024, managing to keep costs down while improving the reliability of our gas system. "This is an opportunity to lower our gas supply rate, providing our customers with some price relief and helping to maintain affordability," said Dave Johnson, vice president Customer C ...

In a market dealing with external shocks, value investing is fast gaining popularity. The success of value investors like Warren Buffett underscores this. Buffett and his business partner, Charlie Munger, managed to register more than 19.8% CAGR for Berkshire Hathaway from 1965 through 2023. This compares favorably with a 10.2% rise of the S&P 500 Index during the same period. In this article, we discuss how the price/earnings to growth (PEG) ratio can become an efficient yardstick in picking the best value ...

Core Viewpoint - PSEG reported a mixed performance in its Q2 2024 earnings, with adjusted earnings missing estimates while revenues showed slight growth year-over-year [2][4]. Financial Performance - Adjusted earnings per share (EPS) for Q2 2024 were 63 cents, missing the Zacks Consensus Estimate of 64 cents by 1.6% and declining 10% from the prior year [2][3]. - GAAP EPS was reported at 87 cents, down from $1.18 in Q2 2023 [2]. - Operating revenues totaled $2.42 billion, exceeding the Zacks Consensus Estimate of $2.4 billion by 18.7% and increasing 0.1% year-over-year [4]. Sales Volume - Electric sales volumes reached 9,817 million kilowatt-hours, up 12% year-over-year, while gas sales volumes improved 4% to 550 million therms [5]. - Residential electric sales volumes increased by 20% to 3,369 million kilowatt-hours, and commercial and industrial sales volumes rose by 8% to 6,377 million kilowatt-hours [5]. Operating Income and Expenses - Operating income for Q2 was $582 million, a decline of 26.7% from $794 million in the previous year [7]. - Total operating expenses rose by 13.2% to $1.84 billion [7]. - Interest expenses increased by 17.8% year-over-year to $218 million [7]. Segment Performance - The PSE&G segment reported net income of $302 million, down from $336 million in Q2 2023 [8]. - The PSEG Power & Other segment had adjusted operating income of $11 million, slightly up from $10 million in the prior-year quarter [8]. Financial Position - Long-term debt as of June 30, 2024, was $20.52 billion, an increase from $19.28 billion as of December 31, 2023 [8]. - Cash generated from operations in the first half of 2024 was $1.14 billion, compared to $2.41 billion in the same period last year [9]. Guidance - PSEG reaffirmed its full-year guidance, expecting adjusted earnings in the range of $3.60 to $3.70 per share, with the Zacks Consensus Estimate currently at $3.68 per share [10]. Market Sentiment - There has been a downward trend in earnings estimates for PSEG over the past month, indicating a shift in market sentiment [11][13]. - PSEG holds a Zacks Rank 3 (Hold), suggesting an expectation of in-line returns in the coming months [13]. Industry Comparison - PSEG is part of the Zacks Utility - Electric Power industry, where Avangrid (AGR) reported a year-over-year revenue increase of 21.2% and an EPS of $0.49 for the quarter ended June 2024 [14]. - Avangrid's earnings estimates have also seen positive revisions, reflecting a more favorable outlook compared to PSEG [15].

Public Service Enterprise Group, Inc. (PEG) or PSEG's focus on renewable generation expansion is likely to bolster its footprint in the clean energy market. To enhance customer reliability, the company makes consistent investments in its infrastructure, strengthening its transmission and distribution system's resilience. However, this Zacks Rank #3 (Hold) company faces risks like an unfavorable financial position and expenditure to remediate every manufactured gas plant (MGP) site, which acts as a headwind. ...

In the equity market, investments need to be prudently hedged to overcome uncertainties and limit losses related to external shocks. A question that often arises is whether one should resort to a value strategy that seeks discounted stocks or opt for growth investing in times of extreme market instability. The investing track of the Oracle of Omaha over the past few decades and his gradual shift from being a pureplay value investor to a GARP (growth at a reasonable price) investor might give us all the answ ...