CNP changes
Pick any two versions below to diff them.
- Price
- $40.55 → $41.00(+1.1%)
- Next earnings
- Oct 27, 2026 → Jan 27, 2027
- Next earnings is estimate
- No → Yes
- About
- CenterPoint Energy is a utility holding company. Its largest business, Houston Electric, delivers electricity in the Houston area in Texas. CenterPoint also distributes natural gas, and it generates and delivers electricity in southern Indiana. On October 1, 2026, it sold its Ohio gas business to National Fuel Gas for $2.62 billion, and it sold its Louisiana and Mississippi gas businesses earlier. The company plans removed: $66.7 added: $70.7 billion of capital investment from 2026 through 2035. Jason Wells is Chair, President and CEO.
- Thesis
- The market prices CenterPoint for the cost of its large capital plan and for storm risk in Houston. After Hurricane Beryl in July 2024, government agencies and regulators investigated how Houston Electric prepared for and responded to the removed: storm. The added: storm, and lawsuits about the storm continue. In October 2026, CenterPoint raised its 10-year capital plan removed: of $66.7 added: by $4.0 billion added: to $70.7 billion. The plan needs new debt and new shares, and removed: the company signed an equity distribution agreement in May 2026. Interest expense rose in the first half of 2026. added: higher financing costs lowered Q3 2026 non-GAAP EPS by $0.04 per share against Q3 2025. For the gap to close, three things must be true. Large-load customers in Houston must connect as planned: removed: CenterPoint expects added: Houston Electric estimates that about removed: 14 added: 10 gigawatts of removed: eligible added: base load removed: by 2031, which would raise its current peak demand of 21 added: and about 2 gigawatts removed: by more than 65%. added: of studied load from these customers remain in ERCOT's Batch Zero process. Regulators must approve the recovery of its investment on time. Non-GAAP EPS must reach removed: at least the removed: midpoint added: raised 2026 guidance of removed: the $1.89 added: $1.90 to removed: $1.91 added: $1.92 and the 2027 guidance removed: for 2026 added: of $2.07 to $2.09, and added: then keep removed: growing. added: growing at the mid to high end of 7% to 9% a year through 2030, as the company expects. The removed: Q3 added: full-year 2026 report removed: on October 27, 2026 added: in early 2027 is the next test. If these checks pass, the gap can close over the next four to six quarters. The main reason it may not close is a major storm or a regulatory decision that limits cost recovery.
- Risks
- Houston is exposed to hurricanes and other severe storms. After Hurricane Beryl in 2024, agencies investigated Houston Electric's preparation and response. A new major storm can cause large costs, penalties or damage to the company's reputation. CenterPoint needs regulators to approve the recovery of its large capital plan in rates. A decision that delays or limits recovery lowers earnings growth. added: Large-load customers can leave the queue. Of about 14 gigawatts that Houston Electric first submitted to ERCOT's Batch Zero process, it estimated in October 2026 that about 12 gigawatts remain. If more projects leave or connect later, the growth in demand and investment is slower. The capital plan needs new debt and new shares. Interest expense removed: rose added: and other finance charges were $764 million in the first removed: half added: nine months of 2026, added: up from $663 million a year earlier, and higher interest rates or a lower share price raise the cost of the plan. In September 2026, a third party obtained customer personal information from one of CenterPoint's systems. The investigation continues, and costs or regulatory actions can follow.
- Balance sheet
- Cash: removed: $49M added: $132M Debt: removed: $24.6B added: $24.9B Net debt: removed: $24.6B added: $24.8B Interest cover: removed: 2.2× added: 2.3× Debt due within 12 months: removed: $1.7B added: $1.2B Last debt due: 2058 CenterPoint funds its utilities with senior notes, added: first mortgage bonds, securitization bonds, junior subordinated notes and new shares. At removed: June added: September 30, 2026, total debt was removed: $24.64 added: $24.90 billion: removed: $21.16 added: $21.93 billion of other long-term debt, removed: $1.62 added: $1.11 billion of other long-term debt due within a year and $1.87 billion of securitization bonds, which customers repay through dedicated charges. added: It had no short-term borrowings. Cash was removed: $49 million. added: $132 million, of which $128 million was held by its securitization entities. In September 2026, added: a subsidiary bought back about $415 million of its senior notes in a tender offer, and CenterPoint and its subsidiaries replaced their revolving credit facilities with four new facilities with total commitments of $4.6 billion. On October 1, 2026, the company received $1.42 billion in cash and a $1.20 billion note due September 30, 2027 from the sale of its Ohio gas business. removed: In August 2026, it issued $700 added: By February 25, 2027, CenterPoint must settle forward sale agreements for about 24.9 million removed: of junior subordinated notes due 2058. added: shares, worth $866 million at the forward price. Interest cover is operating income divided by interest expense, including securitization bond interest, for the first removed: half added: nine months of 2026. As of removed: Jun added: Sep 30, 2026.
- Checkpoints
- Oct 27, 2026: Q3 2026 earnings: guidance and large-load growth. removed: Pending. added: Passed. Watch: 2026 non-GAAP EPS guidance kept at least at the midpoint of $1.89 to $1.91 and more large-load connections pass; a guidance cut or a lower capital plan fail. added: Outcome: CenterPoint raised its 2026 non-GAAP EPS guidance to $1.90 to $1.92 and raised its 10-year capital plan by $4.0 billion to $70.7 billion. Jan 27, 2027 (estimate): Full-year 2026 results and 2027 guidance. Pending. Watch: 2026 non-GAAP EPS within $1.90 to $1.92 and 2027 guidance of $2.07 to $2.09 kept pass; a guidance cut or a lower capital plan fail. Sep 30, 2027: Ohio sale note repaid. Pending. Watch: National Fuel Gas repays the $1.20 billion seller note on time pass; a default or a delay fails.
- Recent events
- Oct added: 27, 2026: CenterPoint reported Q3 2026 non-GAAP EPS of $0.53, up from $0.50, and GAAP EPS of $0.50. It raised its 2026 non-GAAP EPS guidance to $1.90 to $1.92 and gave 2027 guidance of $2.07 to $2.09. It raised its 10-year capital plan by $4.0 billion to $70.7 billion and expects non-GAAP EPS growth at the mid to high end of its 7% to 9% range through 2030. Its Form 10-Q says that about 10 gigawatts of base load and about 2 gigawatts of studied load from large-load customers remain in ERCOT's Batch Zero process, from about 14 gigawatts that Houston Electric first submitted. Oct 1, 2026: CenterPoint completed the sale of its Ohio gas business, Vectren Energy Delivery of Ohio, to National Fuel Gas for $2.62 billion. It received $1.42 billion in cash and a $1.20 billion promissory note that pays 6.50% interest and matures on September 30, 2027. Sep 14, 2026: CenterPoint said that an unauthorized third party obtained personal information about some of its customers through one of its external facing systems. Electric and gas service was not affected. The company does not expect a material financial impact and believes insurance will offset the costs. Sep 9, 2026: CenterPoint and its subsidiaries replaced their revolving credit facilities with four new facilities with total commitments of $4.6 billion, including a new $2.2 billion five-year facility at the parent company. Jul 30, 2026: CenterPoint agreed to sell $700 million of 6.400% fixed-to-fixed reset rate junior subordinated notes due 2058. Jul 28, 2026: CenterPoint reported Q2 2026 non-GAAP EPS of $0.40, up from $0.29, and reiterated 2026 guidance of at least the midpoint of $1.89 to $1.91. It raised its 10-year capital plan by $1.2 billion to $66.7 billion and said it submitted more than 17 gigawatts of large-load projects to ERCOT's Batch Zero process.