Centerpoint Energy Inc (NYSE: CNP)’s stock price has gone decline by -0.26 in comparison to its previous close of 34.29, however, the company has experienced a 2.36% increase in its stock price over the last five trading days. zacks.com reported 2025-02-24 that Does CenterPoint Energy (CNP) have what it takes to be a top stock pick for momentum investors? Let’s find out.
Is It Worth Investing in Centerpoint Energy Inc (NYSE: CNP) Right Now?
Centerpoint Energy Inc (NYSE: CNP) has a higher price-to-earnings ratio of 21.58x compared to its average ratio. CNP has 36-month beta value of 0.91. Analysts have mixed views on the stock, with 3 analysts rating it as a “buy,” 1 as “overweight,” 12 as “hold,” and 0 as “sell.”
The public float for CNP is 648.77M, and currently, short sellers hold a 3.43% ratio of that float. The average trading volume of CNP on February 25, 2025 was 4.30M shares.
CNP’s Market Performance
The stock of Centerpoint Energy Inc (CNP) has seen a 2.36% increase in the past week, with a 5.43% rise in the past month, and a 8.92% gain in the past quarter. The volatility ratio for the week is 2.19%, and the volatility levels for the past 30 days are at 1.87% for CNP. The simple moving average for the past 20 days is 3.79% for CNP’s stock, with a 13.62% simple moving average for the past 200 days.
Analysts’ Opinion of CNP
Ladenburg Thalmann, on the other hand, stated in their research note that they expect to see CNP reach a price target of $34.50. The rating they have provided for CNP stocks is “Buy” according to the report published on December 12th, 2024.
UBS gave a rating of “Buy” to CNP, setting the target price at $37 in the report published on December 03rd of the previous year.
CNP Trading at 5.80% from the 50-Day Moving Average
After a stumble in the market that brought CNP to its low price for the period of the last 52 weeks, the company was unable to rebound, for now settling with -0.55% of loss for the given period.
Volatility was left at 1.87%, however, over the last 30 days, the volatility rate increased by 2.19%, as shares surge +5.69% for the moving average over the last 20 days. Over the last 50 days, in opposition, the stock is trading +9.06% upper at present.
During the last 5 trading sessions, CNP rose by +2.36%, which changed the moving average for the period of 200-days by +16.64% in comparison to the 20-day moving average, which settled at $32.95. In addition, Centerpoint Energy Inc saw 7.78% in overturn over a single year, with a tendency to cut further gains.
Insider Trading
Reports are indicating that there were more than several insider trading activities at CNP starting from Colvin Kristie, who proposed sale 16,357 shares at the price of $34.11 back on Feb 24 ’25. After this action, Colvin Kristie now owns shares of Centerpoint Energy Inc, valued at $557,856 using the latest closing price.
Smitherman Barry T, the Director of Centerpoint Energy Inc, proposed sale 21,203 shares at $32.00 during a trade that took place back on Jan 10 ’25, which means that Smitherman Barry T is holding shares at $678,496 based on the most recent closing price.
Stock Fundamentals for CNP
Current profitability levels for the company are sitting at:
- 0.23 for the present operating margin
- 0.37 for the gross margin
The net margin for Centerpoint Energy Inc stands at 0.12. The total capital return value is set at 0.05. Equity return is now at value 10.02, with 2.37 for asset returns.
Based on Centerpoint Energy Inc (CNP), the company’s capital structure generated 0.66 points at debt to capital in total, while cash flow to debt ratio is standing at 0.1. The debt to equity ratio resting at 1.97. The interest coverage ratio of the stock is 2.37.
Currently, EBITDA for the company is 3.49 billion with net debt to EBITDA at 6.06. When we switch over and look at the enterprise to sales, we see a ratio of 5.0. The receivables turnover for the company is 6.36for trailing twelve months and the total asset turnover is 0.2. The liquidity ratio also appears to be rather interesting for investors as it stands at 1.08.
Conclusion
To put it simply, Centerpoint Energy Inc (CNP) has had a better performance in recent times. Analysts have a bullish opinion on the stock, with some rating it as a “buy” and others as a “hold”. It is worth mentioning that the stock is currently trading in close proximity to its 50-day moving average and its 52-week high.
