Citadel Stock Holdings: 5 Biggest Energy Stocks

4. Public Service Enterprise Group Incorporated (NYSE:PEG)

Value of Citadel Investment Group’s 13F Position: $185 million

Number of Hedge Fund Shareholders: 31

Citadel owns the largest stake in Public Service Enterprise Group Incorporated (NYSE:PEG) among the funds tracked by Insider Monkey’s database, holding 3.29 million shares as of September 30, up by 24% from a quarter earlier. Overall hedge fund ownership of PEG dipped slightly during Q3 but has trended up over the past year and a half.

Public Service Enterprise Group Incorporated (NYSE:PEG) is the holding company for natural gas and electricity provider Public Service Electric & Gas (PSE&G), which operates primarily in New Jersey, Long Island, and Pennsylvania. Like many of the energy companies on this list, it’s also moving towards a clean energy future, having sold off its fossil-fuel plants.

According to Wells Fargo analyst Neil Kalton, PEG was one of the top performing utilities between 2011 and 2021, growing EPS at a 12% CAGR. The analyst believes the company can continue to grow EPS at a 6% to 7% annual rate through 2025.

Carillon Tower discussed some of the reasons for Public Service Enterprise Group Incorporated (NYSE:PEG)’s recent share price underperformance in its Q3 2022 investor letter:

“Public Service Enterprise Group Incorporated (NYSE:PEG) produces and distributes electricity and natural gas to customers in New Jersey. Concerns that negative equity and fixed income returns will impact pension funding requirements weighed on the company’s share price.”