TXNM Energy upgraded to Outperform from In Line at Evercore ISI

Evercore ISI analyst Michael Lonegan upgraded TXNM Energy (TXNM) to Outperform from In Line with a price target of $54, up from $51. Given significant investments in Texas transmission and New Mexico capacity, the firm is “optimistic” on TXNM, the analyst tells investors. The firm’s positive outlook is also fueled by new capacity and associated transmission from the New Mexico 2028 Resource Application, which could add $220M-$252M of capex from the company’s proposed portfolio for solar and storage. Evercore expects these investments to drive an acceleration in EPS growth, which it anticipates exceeding the 6-7% EPS growth guidance over the five-year forecast period, the analyst added.