Exelon Corporation (EXC), with a market cap of $44.4 billion, is a top utility services holding company engaged in the energy distribution and transmission businesses. The Chicago, Illinois-based company purchases and regulates retail sales of electricity and natural gas, transmission and distribution of electricity, and distribution of natural gas.
Companies valued at more than $10 billion or more are generally considered “large-cap stocks”, and EXC fits this criterion perfectly. As a leading supplier of energy services, the company benefits from a large customer base consisting of residential, commercial, industrial, governmental, public authorities and electric railroads, and transportation customers.
The stock has fallen 1.8% from its 52-week high of $45.19, recorded recently on Mar. 4. Shares of EXC have surged 21.6% over the past three months, outperforming the Utilities Select Sector SPDR Fund’s (XLU) 3.3% rally in the same time frame.
Over the past six months, EXC shares surged 10.4%, outperforming XLU’s marginal gain. However, shares of EXC have surged 21.7% over the past 52 weeks, compared to XLU’s 24.8% rally in the same time frame.
Enforcing an uptrend, EXC has been trading above its 200-day and 50-day moving average since mid-January.
EXC surged 1.3% following its Q4 earnings release on Feb. 12. The company reported a 1.9% increase in its operating revenues, which amounted to $5.5 billion. This growth was primarily driven by distribution rates at BGE, distribution, and transmission rate increases at PHI, a tax repairs deduction at PECO, lower contracting costs at PHI, lower storm costs at PECO and PHI, and a higher distribution rate base. Moreover, its EPS came in at $0.64, surpassing the Wall Street estimates by 8.5%.
Its rival, Xcel Energy Inc. (XEL), has also showcased robust growth, with its stock surging 8.4% over the past six months and 34.6% over the past 52 weeks.
Moreover, analysts remain cautiously optimistic about its prospects. The stock has a consensus rating of “Moderate Buy” from 18 analysts in coverage. Its mean price target of $44.53 represents a marginal upside from the current market prices
