How Investors Are Reacting To Public Service Enterprise Group (PEG) Topping J.D. Power Utility Rankings

• Recently, Public Service Enterprise Group’s subsidiaries PSEG Long Island and Public Service Electric & Gas were ranked first and second in the J.D. Power 2025 Electric Utility Business Customer Satisfaction Study for large business customers in the East.
• This recognition reinforces the group’s long-running efforts to improve service quality and strengthens its reputation with both regulators and commercial clients.
• We’ll now examine how this top-tier customer satisfaction performance may influence Public Service Enterprise Group’s investment narrative and long-term earnings visibility.

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Public Service Enterprise Group Investment Narrative Recap

To own Public Service Enterprise Group, you need to believe that regulated grid and clean energy investments can translate into steady, if unspectacular, earnings growth, supported by constructive regulators. The J.D. Power recognition is positive for brand and stakeholder trust, but it does not materially change the short term dependence on converting a relatively uncertain data center load pipeline into actual customers, nor does it remove the longer term regulatory and nuclear subsidy risks.

The most directly relevant recent development is PSEG’s continued capital spending program, with plans for US$3.8 billion in 2025 and US$21–24 billion through 2029, largely focused on grid modernization and resilience. Strong business customer satisfaction can support these investment plans by reinforcing PSEG’s case for cost recovery and rate approvals, but the timing and outcomes of regulatory decisions remain central catalysts for how effectively this spending translates into future earnings growth.

Yet investors should also weigh the risk that regulatory cost recovery for this growing capex program may not fully keep pace with...

Read the full narrative on Public Service Enterprise Group (it's free!)

Public Service Enterprise Group's narrative projects $12.4 billion revenue and $2.5 billion earnings by 2028. This requires 3.5% yearly revenue growth and about a $0.5 billion earnings increase from $2.0 billion today.

Uncover how Public Service Enterprise Group's forecasts yield a $89.50 fair value, a 12% upside to its current price.

Exploring Other Perspectives

Three fair value estimates from the Simply Wall St Community cluster between US$73.03 and US$89.50 per share, showing how differently private investors can size up PSEG. Against that spread, PSEG’s heavy grid and clean energy investment plans still hinge on timely regulatory approvals, which could meaningfully affect how those personal valuation views play out in practice.

Explore 3 other fair value estimates on Public Service Enterprise Group - why the stock might be worth as much as 12% more than the current price!

Build Your Own Public Service Enterprise Group Narrative

Disagree with existing narratives? Create your own in under 3 minutes - extraordinary investment returns rarely come from following the herd.

• A great starting point for your Public Service Enterprise Group research is our analysis highlighting 3 key rewards and 2 important warning signs that could impact your investment decision.
• Our free Public Service Enterprise Group research report provides a comprehensive fundamental analysis summarized in a single visual - the Snowflake - making it easy to evaluate Public Service Enterprise Group's overall financial health at a glance.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

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