Milwaukee-based WEC Energy Group, Inc. (WEC) provides regulated natural gas and electricity, and renewable and non-regulated renewable energy services. With a market cap of $34 billion, WEC Energy operates through Wisconsin, Illinois, Other States, Electric Transmission, and Non-Utility Energy Infrastructure segments.
Companies worth $10 billion or more are generally described as “large-cap stocks,” WEC Energy fits right into that category, with its market cap exceeding the threshold, reflecting its substantial size and influence in the utility sector.
WEC Energy recently touched its all-time high of $110.19 on Mar. 10 and is currently trading 2.2% below that peak. WEC stock has soared 14.1% over the past three months, notably outperforming the Nasdaq Composite’s ($NASX) 9.6% decline during the same time frame.
WEC Energy’s performance looks even more impressive over the longer term. WEC stock has surged 13.8% over the past six months and 33.8% over the past 52 weeks, notably outpacing NASX’s 1.4% dip over the past six months and 8.1% gains over the past year.
To confirm the bullish trend, WEC has traded consistently above its 200-day moving average since mid-July last year and above its 50-day moving average since mid-January.
WEC Energy’s stock dropped 1.2% after the release of its mixed Q4 results on Feb. 4. Due to a modest increase in residential and commercial & industrial electricity consumption, the company’s operating revenues inched up 3% year-over-year to approximately $2.3 billion, which missed the Street’s expectations by a notable margin. On a positive note, the company showcased impressive expense discipline. After adjusting for $178.9 million of impairment expense incurred in the year-ago quarter, WEC’s operating income surged 13.6% year-over-year to $590.9 million. However, its EPS of $1.43 missed the Street’s expectations by 69 bps.
Meanwhile, WEC Energy has slightly outpaced its peer Xcel Energy Inc.’s (XEL) 9.3% gains over the past six months and a 33.3% surge over the past 52 weeks.
However, analysts remain cautious about the stock's long-term prospects. Among the 17 analysts covering the WEC stock, the consensus rating is a “Hold.” As of writing, WEC is trading slightly above its mean price target of $103.17.
