Company Reports

We are reaffirming our $50 per share fair value estimate for Portland General after reviewing the company's first-quarter earnings and its 2025 general rate case filing. We also are reaffirming our narrow moat rating.

With its expanding customer base, clean energy requirements, and increasingly supportive regulation, Portland General Electric continues to find plenty of growth opportunities.

We are reaffirming our $50 per share fair value estimate for Portland General after it reported earning $2.38 per share on an adjusted basis in 2023, down from $2.74 in 2022. We had anticipated a drop in earnings this year, so the result doesn't have a material impact on our fair value estimate or long-term 7% average annual earnings growth rate forecast.

With the U.N. Climate Change Conference, otherwise known as COP28, starting this week, we are reasserting our view that the market underappreciates utilities' critical role in limiting global warming.

Portland General Electric is now one of the five cheapest U.S. utilities in our coverage, trading at a 17% discount to our $50 per share fair value estimate as of Nov. 28. Portland General's 15.5 price/earnings ratio is a 7% discount to the sector median. We think the stock should trade at least in line with peers given the company's improving fundamentals and above-average growth potential.

With an expanding customer base and a service territory with rich renewable energy resources, Portland General Electric, or PGE, has found plenty of growth investments with public policy support. Oregon legislation requires PGE to cut carbon emissions on its system by 80% by 2030 and eliminate carbon emissions by 2040. Achieving these goals while maintaining reliability will require a large step-up in investment during the next two decades.

We are reaffirming our $50 per share fair value estimate for Portland General Electric, or PGE, after the company reported earning $0.46 per share on an adjusted basis in the third quarter of 2023, down from $0.65 during the third quarter last year. We are reaffirming our narrow moat rating.

We are reaffirming our $50 per share fair value estimate for Portland General Electric, or PGE, after incorporating the general rate case settlement the company recently announced. We are reaffirming our narrow moat rating.

We are reaffirming our fair value estimates and economic moat ratings for all U.S. utilities after the sector fell nearly 5% on Monday. We think the sector's 11% drop since last week offers a rare opportunity for investors to buy high-quality utilities at very attractive prices.

In 2022, battery electric vehicles represented nearly 10% of global auto sales, up from a little less than 6% in 2021. Much of the growth occurred in China, which has been a leader in EV sales over the past decade. However, with national EV subsidies in China expiring in 2022 and far lower sales in the U.S. and Europe, the market questions if EV sales can continue to grow without subsides.

We are reaffirming our $50 per share fair value estimate for Portland General Electric, or PGE, after the company reported earning $0.44 per share on an adjusted basis in the second quarter of 2023, down from $0.72 during the second quarter last year. We are reaffirming our narrow moat rating.

We are reaffirming our $50 per share fair value estimate for Portland General Electric, or PGE, after the company reported earning $0.80 per share on an adjusted basis in the first quarter of 2023, mostly flat with first-quarter earnings last year. We are reaffirming our narrow moat and stable moat trend ratings.

With an expanding customer base and a service territory with rich renewable energy resources, Portland General Electric, or PGE, has found plenty of growth investments with public policy support. Oregon legislation requires PGE to cut carbon emissions on its system by 80% by 2030 and eliminate carbon emissions by 2040. Achieving these goals while maintaining reliability will require a large step-up in investment during the next two decades.

With an expanding customer base and a service territory with rich renewable energy resources, Portland General Electric, or PGE, has found plenty of growth investments with public policy support. Oregon legislation requires PGE to cut carbon emissions on its system by 80% by 2030 and eliminate carbon emissions by 2040. Achieving these goals while maintaining reliability will require a large step-up in investment during the next two decades.

We are reaffirming our $49 per share fair value estimate for Portland General Electric, or PGE, after the company reported earning $2.74 per share on an adjusted basis in 2022, mostly flat with 2021 earnings and slightly below our estimate. We are reaffirming our narrow moat and stable moat trend ratings.

We are raising our fair value estimate for Portland General Electric, or PGE, to $49 per share from $48 after the company announced plans to invest $415 million alongside NextEra Energy to co-develop a 311-megawatt wind farm in Montana. Management raised its long-term annual earnings growth outlook to 5%-7% from 4%-6%, in line with our expectation. We are reaffirming our narrow moat and stable moat trend ratings.

With an expanding customer base and a service territory with rich renewable energy resources, Portland General Electric, or PGE, has found plenty of growth investments with public policy support. Oregon legislation requires PGE to cut carbon emissions on its system by 80% by 2030 and eliminate carbon emissions by 2040. Achieving these goals while maintaining reliability will require a large step-up in investment during the next two decades.

We are reaffirming our fair value estimates for U.S. utilities after raising our 10-year annual U.S. electricity demand growth forecast to 1.4%, up from 1.2% in our previous forecast two years ago. We also are reaffirming our economic moat and moat trend ratings for all U.S. utilities.

With an expanding customer base and a service territory with rich renewable energy resources, Portland General Electric, or PGE, has found plenty of growth investments with public policy support. Oregon legislation requires PGE to cut carbon emissions on its system by 80% by 2030 and eliminate carbon emissions by 2040. Achieving these goals while maintaining reliability will require a large step-up in investment during the next two decades.

Our initial analysis of the U.S. Inflation Reduction Act that President Joe Biden plans to sign on Aug. 16 has led us to reaffirm or make slight increases to our fair value estimates for U.S. utilities. We are reaffirming our moat and moat trend ratings.