What You Need to Know Ahead of DTE Energy's Earnings Release
DTE Energy Company (DTE) is a Detroit, Michigan-based diversified energy company that generates, purchases, distributes, and sells electricity and natural gas. Valued at a market cap of $26.7 billion, the company also has non-utility operations in power and industrial projects, renewable energy, and energy trading. It is scheduled to announce its fiscal Q1 earnings for 2025 on Thursday, Apr. 24.
Prior to this event, analysts project this utility company to report a profit of $1.98 per share, up 18.6% from $1.67 per share in the year-ago quarter. The company has surpassed Wall Street's bottom-line estimates in three of the last four quarters, while missing on another occasion. Its earnings of $1.51 per share in the previous quarter outpaced the consensus estimates by 3.4%.
For the full year, analysts expect DTE to report EPS of $7.23, up 5.9% from $6.83 in fiscal 2024. Its EPS is expected to further grow 7.2% year over year to $7.75 in fiscal 2026.
Shares of DTE have rallied 20.7% over the past 52 weeks, outpacing both the S&P 500 Index's ($SPX) 2.1% gain, and the Utilities Select Sector SPDR Fund’s (XLU) 16.3% rise over the same time frame.
On Feb. 13, shares of DTE surged 2.9% after its Q4 earnings release. The company’s operating earnings of $1.51 per share, surpassed the consensus estimates by 3.4% but fell 23.4% from the year-ago quarter due to lower earnings from its electric and energy trading segments. However, investors reacted positively to DTE’s announcement of a record $4.4 billion investment in utility infrastructure in fiscal 2024. This investment led to a nearly 70% reduction in power outage durations for customers and supported major advancements in modernizing its electric grid and upgrading its natural gas pipelines. Additionally, the company announced a $300 million reduction in the Power Supply Cost Recovery (PSCR) mechanism through 2025. This adjustment reduced residential customers’ average electric bill by approximately $5 per month since Nov. 1, 2024, further bolstering investor confidence.
Wall Street analysts are moderately optimistic about DTE’s stock, with a "Moderate Buy" rating overall. Among 19 analysts covering the stock, 11 recommend "Strong Buy," one suggests a “Moderate Buy,” and seven advise “Hold.” The mean price target for DTE is $140.73, which indicates a 9.3% potential upside from the current levels.
On the date of publication, Neharika Jain did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy here.