Financial PerformancePNM reiterates a Buy rating with above average growth in EPS and a raised guidance for future years.
Regulatory EnvironmentThe upcoming NM rate case in 2024 is anticipated to create a more constructive backdrop, potentially leading the stock back to a premium valuation.
ValuationShares are perceived as undervalued, trading at a 7% P/E discount to peers, with clear opportunities for a re-rate on CapEx upside and NM regulatory execution.