11:51 AM EDT, 06/27/2022 (MT Newswires) -- WEC Energy Group's (WEC) current valuation offers an attractive entry point as the utility is expected to continue to benefit from strong execution and positive regulatory outcomes, KeyBanc Capital Markets said in a note emailed Monday.
"As one of the best run utilities, we expect the shares of WEC to benefit as investors refocus on quality and execution in the space," the analysts said.
KeyBanc noted that WEC filed five rate cases across Wisconsin seeking a total $472 million rate increase while maintaining the currently authorized returns on equity.
"Historically, [Wisconsin] has been an above-average regulatory environment, with constructive outcomes," the analysts said.
The investment bank also said the company's $17 billion capital plan should "fuel above-average rate base growth through 2026" and will help the utility to meet its long-term energy goals, which include a full exit from coal by 2035.
KeyBanc upgraded WEC to overweight from sector weight and set a $104 price target.
Price: 98.87, Change: +1.71, Percent Change: +1.76