CNP - CenterPoint Energy: Impacts Of COVID-19 Are Manageable And Its Strategy To Focus On Utility Is Sound
Investment Thesis
CenterPoint Energy (CNP) delivered a good Q1 2020 despite unfavorable weather. The company's Q2 2020 results will be impacted by COVID-19 but should be able to meet its annual EPS guidance thanks to its initiatives to extract savings in its expenses. CenterPoint Energy plans to invest $13 billion of capital expenditures to grow its rate base by about 7.5% annually through 2024. The company currently pays an attractive dividend with a yield of about 3%. The stock is trading at a discount to its historical average and to its peers. Therefore,