Mizuho Turns More Bullish on Eversource Energy (ES), Sees Greater Clarity on the Company’s Projects

Core Insights - Eversource Energy is identified as a high-growth utility stock, with a recent increase in future liability for payments to Global Infrastructure Partners by $285 million due to the disposal of two renewable energy projects [1] - The company anticipates that tax advantages from the losses on these project sales will offset some of the increased liability, resulting in a net non-recurring after-tax charge of approximately $75 million [2] - Mizuho has become more bullish on Eversource, lowering its non-GAAP EPS guidance for 2025 to a range of $4.72 to $4.80, down from a previous range of $4.67 to $4.82 [3] Financial Outlook - Following the liability increase, Mizuho reiterated an Outperform rating with a price target of $72, later raising it to $81, citing the company's strong financial position and improved regulatory environment [4] - The firm noted that the renewed liability is minor and does not significantly impact the company's financing needs, indicating confidence in Eversource's financial health [4] Company Overview - Eversource Energy is a utility company based in Massachusetts, providing electricity, natural gas, and water services across Connecticut, Massachusetts, and New Hampshire, with operations in electric transmission, solar power generation, and regulated water utilities [5]