-- CFRA, an independent research provider, has providedwith the following research alert. Analysts at CFRA have summarized their opinion as follows:
Eversource posted Q1 2026 results with non-GAAP EPS of $1.73 (+$0.23 Y/Y) and revenue growth of 9.4% to $4.5B, though GAAP EPS of $1.61 included a $0.12 FERC-related charge. Natural gas distribution posted exceptional earnings of $295.3M (+35.2% Y/Y) driven by November 2025 rate increases, while electric transmission and distribution segments delivered steady growth despite challenges. The FERC decision reduced transmission ROE from 10.57% to 9.57%, prompting lower 2026 EPS guidance to $4.57-$4.72 from $4.80-$4.95, with CEO Joe Nolan calling it "arbitrary and flawed." Despite near-term challenges, Eversource maintained its long-term 5%-7% EPS CAGR outlook through 2030 using the adjusted 2026 midpoint of $4.65 as base year. We believe the company expects annual earnings growth toward the upper half of its guidance range by 2028, showing confidence in navigating challenges while continuing infrastructure investments.