NiSource Set For Outperformance But CenterPoint Energy Faces Regulatory Hurdles, Says BofA Analyst

Group 1: NiSource Inc (NI) - BofA Securities analyst Ross Fowler reinstated a Buy rating for NiSource Inc with a price target of $37, highlighting the company's strong regulatory and financial execution over the past 24 months [1] - The new senior management team has been effective, delivering results at the high end of expectations under various conditions [2] - Fowler expects capital upside from data centers, anticipated updates, and multiple expansions from ongoing rate case resolutions, supported by a robust balance sheet [2] Group 2: CenterPoint Energy, Inc (CNP) - Fowler assigned a Neutral rating to CenterPoint Energy with a price target of$29, noting that the company is navigating political and regulatory challenges following its response to Hurricane Beryl [1][3] - The analyst forecasts EPS of $1.64,$1.74, and $1.85 for FY24, FY25, and FY26, compared to consensus estimates of$1.62, $1.73, and$1.86, respectively [4] - While the direct financial impact from Hurricane Beryl is likely manageable due to Texas storm recovery mechanisms, ongoing investigations and a pending general rate case suggest near-term multiple recovery is unlikely [3]