DTE Energy Company (DTE) Cut to “Hold” at Zacks Investment Research

DTE Energy Company (DTE) Cut to “Hold” at Zacks Investment Research

Zacks Investment Research downgraded shares of DTE Energy Company (NYSE:DTE) from a buy rating to a hold rating in a report released on Tuesday morning.

According to Zacks, “DTE Energy’s share price has outperformed the Zacks Categorized Utility-Electric power industry price in the last one year backed by its focus on improving its cost structure and making capital investments in renewable generation, utility infrastructure, environmental compliance assets and reliability of the electric utility systems. Over the long term, it has plans for billions of dollars worth of capital investment through 2020 to drive growth. Further, the company raised its capital expenditure expectation for 2016 by $1.1 billion, reflecting improvement along the path of investment. However, the current macro backdrop, characterized by low natural gas prices and a slowly evolving U.S. economy, may pose challenges for GS&P and P&I to achieve earnings targets. Again, increasingly stringent government regulations for curbing emissions, dependence on electric and gas rates fixed by three MPSC and the FERC are major concerns.”

Several other analysts have also recently commented on DTE. Jefferies Group LLC set a $103.00 target price on shares of DTE Energy Company and gave the stock a buy rating in a research note on Tuesday, November 22nd. Barclays PLC lifted their target price on shares of DTE Energy Company from $101.00 to $106.00 and gave the stock an overweight rating in a research note on Friday, January 20th. Bank of America Corp raised shares of DTE Energy Company from a neutral rating to a buy rating and set a $99.00 target price for the company in a research note on Tuesday, November 22nd. Finally, Macquarie lifted their target price on shares of DTE Energy Company from $105.00 to $107.00 and gave the stock an outperform rating in a research note on Tuesday, September 27th. Four analysts have rated the stock with a hold rating and five have assigned a buy rating to the company. The company has an average rating of Buy and a consensus target price of $102.25.

Shares of DTE Energy Company (NYSE:DTE) opened at 97.64 on Tuesday. DTE Energy Company has a 52-week low of $81.75 and a 52-week high of $100.45. The stock has a market cap of $17.52 billion, a price-to-earnings ratio of 21.49 and a beta of 0.18. The stock’s 50 day moving average price is $98.20 and its 200-day moving average price is $95.35.

DTE Energy Company (NYSE:DTE) last released its earnings results on Wednesday, October 26th. The company reported $1.96 EPS for the quarter, topping the Thomson Reuters’ consensus estimate of $1.42 by $0.54. The firm earned $2.93 billion during the quarter, compared to analysts’ expectations of $2.62 billion. DTE Energy Company had a net margin of 7.98% and a return on equity of 11.04%. DTE Energy Company’s revenue for the quarter was up 12.7% on a year-over-year basis. During the same period in the previous year, the company earned $1.40 EPS. On average, analysts predict that DTE Energy Company will post $5.28 earnings per share for the current fiscal year.

The company also recently declared a quarterly dividend, which was paid on Sunday, January 15th. Investors of record on Monday, December 19th were paid a dividend of $0.825 per share. This is an increase from DTE Energy Company’s previous quarterly dividend of $0.77. The ex-dividend date was Thursday, December 15th. This represents a $3.30 annualized dividend and a yield of 3.36%. DTE Energy Company’s payout ratio is 72.69%.

In related news, VP Lisa A. Muschong sold 520 shares of DTE Energy Company stock in a transaction on Thursday, December 8th. The shares were sold at an average price of $95.95, for a total transaction of $49,894.00. Following the sale, the vice president now owns 2,466 shares of the company’s stock, valued at approximately $236,612.70. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through this link. Also, Chairman Gerard M. Anderson sold 15,000 shares of DTE Energy Company stock in a transaction on Tuesday, November 22nd. The stock was sold at an average price of $93.74, for a total transaction of $1,406,100.00. Following the sale, the chairman now directly owns 90,000 shares in the company, valued at approximately $8,436,600. The disclosure for this sale can be found here. Insiders have sold a total of 25,520 shares of company stock worth $2,410,294 in the last ninety days. 0.93% of the stock is currently owned by insiders.

Several large investors have recently added to or reduced their stakes in DTE. FTB Advisors Inc. increased its stake in DTE Energy Company by 6.0% in the third quarter. FTB Advisors Inc. now owns 52,831 shares of the company’s stock valued at $4,938,000 after buying an additional 2,999 shares during the last quarter. Mitsubishi UFJ Kokusai Asset Management Co. Ltd. increased its stake in DTE Energy Company by 2.9% in the third quarter. Mitsubishi UFJ Kokusai Asset Management Co. Ltd. now owns 27,987 shares of the company’s stock valued at $2,622,000 after buying an additional 797 shares during the last quarter. Skandinaviska Enskilda Banken AB publ increased its stake in DTE Energy Company by 10.3% in the third quarter. Skandinaviska Enskilda Banken AB publ now owns 33,140 shares of the company’s stock valued at $3,104,000 after buying an additional 3,100 shares during the last quarter. Comerica Bank increased its stake in DTE Energy Company by 0.9% in the second quarter. Comerica Bank now owns 93,036 shares of the company’s stock valued at $8,867,000 after buying an additional 795 shares during the last quarter. Finally, Sumitomo Mitsui Trust Holdings Inc. increased its stake in DTE Energy Company by 2.4% in the second quarter. Sumitomo Mitsui Trust Holdings Inc. now owns 530,930 shares of the company’s stock valued at $52,626,000 after buying an additional 12,518 shares during the last quarter. 67.36% of the stock is owned by institutional investors.

About DTE Energy Company

DTE Energy Company (DTE Energy) is a diversified energy company. The Company’s utility operations consist primarily of DTE Electric Company (DTE Electric) and DTE Gas Company (DTE Gas). Its segments include Electric, Gas, Gas Storage and Pipelines, Power and Industrial Projects, Energy Trading, and Corporate and Other.

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