NiSource price target raised to $38 from $35 at Wells Fargo

Wells Fargo raised the firm’s price target on NiSource to $38 from $35 and keeps an Overweight rating on the shares ahead of the busy Q3/EEI season. The firm continues to like the NiSource story and expects a Q3 comprehensive refresh that remains highly supportive of the 6%-8% annual EPS growth rate. It also expects 2025 EPS guidance to align with a 7% growth rate consistent with its $1.86 estimate. While NiSource has re-rated to a modest premium to peers, Wells sees room for further multiple expansion given strong demand trends in NIPSCO’s electric service territory along with ongoing gas/electric infrastructure needs and generally supportive regulatory treatment.