Analyst William Appicelli of UBS reiterated a Buy rating on Nisource, with a price target of $45.00.
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William Appicelli has given his Buy rating due to a combination of factors including Nisource’s recent contract with a major data center client, which signals potential growth and financial benefits. The contract, which is pending approval from the IURC, is expected to commence in 2027 and ramp up to full capacity by 2032. This agreement includes a mechanism to pass savings back to customers, addressing concerns about utility rates and affordability.
Appicelli anticipates that this contract could positively impact Nisource’s earnings per share, estimating an increase of approximately $0.03 by 2027. Although the specifics of the megawatts involved are not yet disclosed, the company’s previous projections suggest a significant load from data centers. Additionally, Appicelli notes the possibility of capacity purchases as a temporary measure, which could further influence earnings. The analyst maintains a $45 price target, reflecting confidence in the company’s strategic moves and potential for growth.
In another report released on September 18, Bank of America Securities also maintained a Buy rating on the stock with a $45.00 price target.