WEC Energy Group: Long-Term Growth Intact but Near-Term Upside Limited, Justifying Hold Rating and Lowered Price Target

Bank of America Securities analyst Ross Fowler has reiterated their neutral stance on WEC stock, giving a Hold rating on December 17.Ross Fowler has given his Hold rating due to a combination of factors tied to WEC Energy Group’s outlook and valuation. He acknowledges that management’s guidance and the firm’s track record support solid earnings growth through 2030, and his updated 2026–2028 EPS projections sit at the upper end of that guidance range. However, he notes that much of the anticipated earnings expansion is concentrated in the later years of the forecast period, which tempers the near‑term upside potential. Furthermore, the expected acceleration in sales and capital deployment, particularly for large projects such as data centers and broader infrastructure spending, is still several years away from being fully realized. Fowler also points out that the company faces some lingering regulatory and project‑execution uncertainties. These include long-lead data center developments in Wisconsin, potential outcomes of key regulatory proceedings, and questions surrounding future arrangements for assets like the Point Beach nuclear plant and the Port Washington facility. In addition, he has cut his price objective from $122 to $116 to align with lower valuation multiples across comparable electric and gas utilities, while keeping his fundamental valuation framework unchanged. With the shares trading relatively close to his revised target and with the growth story skewed toward the outer years, he concludes that a Neutral, or Hold, stance is warranted at this time.In another report released on December 17, UBS also maintained a Hold rating on the stock with a $115.00 price target.WEC’s price has also changed slightly for the past six months – from $104.200 to $106.090, which is a 1.81% increase.