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FirstEnergy (FE) Up 2% Since Last Earnings Report: Can It Continue?
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A month has gone by since the last earnings report for FirstEnergy (FE - Free Report) . Shares have added about 2% in that time frame, underperforming the S&P 500.
But investors have to be wondering, will the recent positive trend continue leading up to its next earnings release, or is FirstEnergy due for a pullback? Well, first let's take a quick look at the latest earnings report in order to get a better handle on the recent catalysts for FirstEnergy Corporation before we dive into how investors and analysts have reacted as of late.
FirstEnergy reported second-quarter 2025 operating earnings of 52 cents per share, which beat the Zacks Consensus Estimate of 50 cents by 4%. In the year-ago quarter, the company reported earnings of 51 cents per share.
The year-over-year increase in core earnings was due to the impact of new base rates in Pennsylvania and growth in transmission rate base under formula rate programs. These drivers were partially offset by milder temperatures throughout the second quarter of 2025 as compared to 2024, which reduced customer demand by nearly 3%.
The company generated GAAP earnings of 46 cents per share compared with 8 cents in the second quarter of 2024.
Total Revenues of FE
Operating revenues of $3.38 billion missed the Zacks Consensus Estimate of $3.41 billion by 1%. The top line increased 3% from $3.28 billion recorded in the year-ago quarter.
FE’s Segmental Performance
Distribution: Revenues from this segment totaled $1.68 billion, up 1.6% from the prior-year quarter’s level.
Integrated: Revenues from this segment amounted to $1.26 billion compared with $1.18 billion in the year-ago quarter.
Stand-Alone Transmission: Revenues from this segment amounted to $456 million compared with $468 million in the prior-year quarter.
Highlights of FE’s Q2 Earnings Release
Total operating expenses were $2.73 billion, down 4.5% from the year-ago quarter’s level of $2.86 billion.
Operating income totaled $646 million, up 52.7% from the year-ago recorded number of $423 million.
The company reported an interest expense of $299 million, up 4.9% from the prior-year level of $285 million.
FE’s 2025 Guidance
FirstEnergy continues to expect 2025 core earnings per share (EPS) in the range of $2.40-$2.60. The Zacks Consensus Estimate is pegged at $2.53 per share, which is higher than the midpoint of the company’s guided range.
FirstEnergy expects a long-term EPS growth rate of 6-8%. FE has a capital investment plan of $28 billion for the 2025-2029 period.
The company expects its 2025 capital investment to be $5 billion.
How Have Estimates Been Moving Since Then?
It turns out, fresh estimates have trended downward during the past month.
The consensus estimate has shifted -6.14% due to these changes.
VGM Scores
Currently, FirstEnergy has a nice Growth Score of B, though it is lagging a lot on the Momentum Score front with an F. However, the stock has a score of B on the value side, putting it in the second quintile for value investors.
Overall, the stock has an aggregate VGM Score of C. If you aren't focused on one strategy, this score is the one you should be interested in.
Outlook
Estimates have been broadly trending downward for the stock, and the magnitude of these revisions indicates a downward shift. Interestingly, FirstEnergy has a Zacks Rank #3 (Hold). We expect an in-line return from the stock in the next few months.
Performance of an Industry Player
FirstEnergy is part of the Zacks Utility - Electric Power industry. Over the past month, NextEra Energy (NEE - Free Report) , a stock from the same industry, has gained 1.5%. The company reported its results for the quarter ended June 2025 more than a month ago.
NextEra reported revenues of $6.7 billion in the last reported quarter, representing a year-over-year change of +10.4%. EPS of $1.05 for the same period compares with $0.96 a year ago.
For the current quarter, NextEra is expected to post earnings of $1.04 per share, indicating a change of +1% from the year-ago quarter. The Zacks Consensus Estimate has changed +0.2% over the last 30 days.
The overall direction and magnitude of estimate revisions translate into a Zacks Rank #3 (Hold) for NextEra. Also, the stock has a VGM Score of D.
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FirstEnergy (FE) Up 2% Since Last Earnings Report: Can It Continue?
A month has gone by since the last earnings report for FirstEnergy (FE - Free Report) . Shares have added about 2% in that time frame, underperforming the S&P 500.
But investors have to be wondering, will the recent positive trend continue leading up to its next earnings release, or is FirstEnergy due for a pullback? Well, first let's take a quick look at the latest earnings report in order to get a better handle on the recent catalysts for FirstEnergy Corporation before we dive into how investors and analysts have reacted as of late.
FirstEnergy Q2 Earnings Surpass Estimates, Revenues Increase Y/Y
FirstEnergy reported second-quarter 2025 operating earnings of 52 cents per share, which beat the Zacks Consensus Estimate of 50 cents by 4%. In the year-ago quarter, the company reported earnings of 51 cents per share.
The year-over-year increase in core earnings was due to the impact of new base rates in Pennsylvania and growth in transmission rate base under formula rate programs. These drivers were partially offset by milder temperatures throughout the second quarter of 2025 as compared to 2024, which reduced customer demand by nearly 3%.
The company generated GAAP earnings of 46 cents per share compared with 8 cents in the second quarter of 2024.
Total Revenues of FE
Operating revenues of $3.38 billion missed the Zacks Consensus Estimate of $3.41 billion by 1%. The top line increased 3% from $3.28 billion recorded in the year-ago quarter.
FE’s Segmental Performance
Distribution: Revenues from this segment totaled $1.68 billion, up 1.6% from the prior-year quarter’s level.
Integrated: Revenues from this segment amounted to $1.26 billion compared with $1.18 billion in the year-ago quarter.
Stand-Alone Transmission: Revenues from this segment amounted to $456 million compared with $468 million in the prior-year quarter.
Highlights of FE’s Q2 Earnings Release
Total operating expenses were $2.73 billion, down 4.5% from the year-ago quarter’s level of $2.86 billion.
Operating income totaled $646 million, up 52.7% from the year-ago recorded number of $423 million.
The company reported an interest expense of $299 million, up 4.9% from the prior-year level of $285 million.
FE’s 2025 Guidance
FirstEnergy continues to expect 2025 core earnings per share (EPS) in the range of $2.40-$2.60. The Zacks Consensus Estimate is pegged at $2.53 per share, which is higher than the midpoint of the company’s guided range.
FirstEnergy expects a long-term EPS growth rate of 6-8%. FE has a capital investment plan of $28 billion for the 2025-2029 period.
The company expects its 2025 capital investment to be $5 billion.
How Have Estimates Been Moving Since Then?
It turns out, fresh estimates have trended downward during the past month.
The consensus estimate has shifted -6.14% due to these changes.
VGM Scores
Currently, FirstEnergy has a nice Growth Score of B, though it is lagging a lot on the Momentum Score front with an F. However, the stock has a score of B on the value side, putting it in the second quintile for value investors.
Overall, the stock has an aggregate VGM Score of C. If you aren't focused on one strategy, this score is the one you should be interested in.
Outlook
Estimates have been broadly trending downward for the stock, and the magnitude of these revisions indicates a downward shift. Interestingly, FirstEnergy has a Zacks Rank #3 (Hold). We expect an in-line return from the stock in the next few months.
Performance of an Industry Player
FirstEnergy is part of the Zacks Utility - Electric Power industry. Over the past month, NextEra Energy (NEE - Free Report) , a stock from the same industry, has gained 1.5%. The company reported its results for the quarter ended June 2025 more than a month ago.
NextEra reported revenues of $6.7 billion in the last reported quarter, representing a year-over-year change of +10.4%. EPS of $1.05 for the same period compares with $0.96 a year ago.
For the current quarter, NextEra is expected to post earnings of $1.04 per share, indicating a change of +1% from the year-ago quarter. The Zacks Consensus Estimate has changed +0.2% over the last 30 days.
The overall direction and magnitude of estimate revisions translate into a Zacks Rank #3 (Hold) for NextEra. Also, the stock has a VGM Score of D.