Nisource Inc Stock Fair Value – NISOURCE INC Reports Second Quarter Earnings for FY 2023
August 7, 2023
🌥️Earnings Overview
On August 2 2023, NISOURCE INC ($NYSE:NI) reported its financial results for the second quarter of fiscal year 2023 (ending June 30 2023). Total revenue totaled USD 1090.0 million, a 7.9% decrease compared to the same quarter of the preceding fiscal year. Net income for the quarter was USD 58.8 million, a 12.2% decline year over year.
Market Price
Operating income also decreased by 1%, however, this was offset by higher contributions from equity investments and lower operating expenses. The company has been successful in controlling costs, including reducing its workforce by 4%, while capital investments remain focused on improving safety, reliability, and delivering clean energy solutions to customers. President and CEO Joe Hamrock commented that “we are pleased with our second quarter results, which were achieved through our disciplined execution and cost management.” Live Quote…
About the Company
Income Snapshot
Below shows the total revenue, net income and net margin for Nisource Inc. More…
| Total Revenues | Net Income | Net Margin |
| 5.85k | 641.9 | 11.7% |
Cash Flow Snapshot
Below shows the cash from operations, investing and financing for Nisource Inc. More…
| Operations | Investing | Financing |
| 1.69k | -2.99k | 1.39k |
Balance Sheet Snapshot
Below shows the total assets, liabilities and book value per share for Nisource Inc. More…
| Total Assets | Total Liabilities | Book Value Per Share |
| 27.34k | 19.77k | 17.5 |
Key Ratios Snapshot
Some of the financial key ratios for Nisource Inc are shown below. More…
| 3Y Rev Growth | 3Y Operating Profit Growth | Operating Margin |
| 6.1% | 4.5% | 21.5% |
| FCF Margin | ROE | ROA |
| -12.9% | 10.5% | 2.9% |
Analysis – Nisource Inc Stock Fair Value
At GoodWhale, we analyze the financials of NISOURCE INC to help investors make informed decisions. Our proprietary Valuation Line estimates the fair value of NISOURCE INC stock to be around $28.7. Currently, NISOURCE INC is trading at $27.7, a price which falls 3.4% below its fair value. This suggests that the stock is currently undervalued, providing an opportunity for investors looking to enter the market. More…
Peers
NiSource Inc is an energy holding company that operates regulated natural gas and electric utilities. The company’s subsidiaries include Columbia Gas of Massachusetts, Inc., Columbia Gas of Ohio, Inc., NIPSCO Industries, Inc., and Northern Indiana Public Service Company. NiSource’s competitors include ALLETE Inc, Ameren Corp, Dominion Energy Inc.
– ALLETE Inc ($NYSE:ALE)
ALLETE Inc. is a diversified energy company with two electric utilities serving more than 750,000 customers in Minnesota and Wisconsin, and a non-regulated business that generates, transmits, stores and distributes electricity. The company has a market cap of 2.89B as of 2022 and a Return on Equity of 4.57%.
– Ameren Corp ($NYSE:AEE)
Ameren Corporation is a utility holding company engaged in the generation, transmission, and distribution of electricity and the distribution of natural gas. The company operates through four segments: electric generation, electric transmission, natural gas transmission, and natural gas distribution.
As of 2022, Ameren’s market capitalization is $19.8 billion and its return on equity is 10.16%. The company is headquartered in St. Louis, Missouri, and serves more than 2.4 million electric and natural gas customers in Missouri and Illinois.
– Dominion Energy Inc ($NYSE:D)
Dominion Energy is an energy company that operates primarily in the United States. The company is involved in the production and distribution of electricity and natural gas. Dominion Energy has a market cap of 53.62B as of 2022 and a Return on Equity of 7.47%. The company is a leading provider of electricity and natural gas in the United States. Dominion Energy has a diversified portfolio of assets and is one of the largest producers and transporters of energy in the United States.
Summary
NISOURCE INC reported their earnings results for Q2 of FY2023 on August 2 2023. Total revenue was USD 1090.0 million, a 7.9% drop from the same quarter of FY2022, while net income decreased by 12.2%. For investors, this is an indication that the company is not performing as well as expected. The decline in revenue and income may signal a potential downturn in performance, so investors should be cautious and do their due diligence before investing in the company.
Additionally, investors should closely monitor the company’s financial trends to ensure that it is on a positive trajectory and able to sustain itself in the long run.
Related Posts
Recent Posts
Investing Everyone Can Do.
Investing shouldn’t be exclusive to a select few. We believe everyone should have the opportunity to grow their wealth. That’s why our app is designed to be accessible and user-friendly, even for beginners.
