Citadel Stock Holdings: 5 Biggest Energy Stocks

3. FirstEnergy Corp. (NYSE:FE)

Value of Citadel Investment Group’s 13F Position: $194 million

Number of Hedge Fund Shareholders: 41

Citadel owns 5.25 million FirstEnergy Corp. (NYSE:FE) as of September 30, up by 12% quarter-over-quarter and trailing only the substantial position held by billionaire activist investor Carl Icahn, whose Icahn Capital holds just under 19 million FE shares and has two seats on the company’s board of directors.

In an effort to improve its balance sheet, FirstEnergy Corp. (NYSE:FE) sold part of its transmission business for $2.4 billion earlier this year and is considering another asset sale in the near future. It’s possible the company, which has been rocked by a corruption scandal that lead to the departure of former President and CEO Steven Strah, may even consider putting itself up for sale. The company currently owns ten electric utilities that serve close to 6 million customers.

Guggenheim analyst Shahriar Pourreza lowered the firm’s price target on FirstEnergy Corp. (NYSE:FE) to $34 in October, down from $43, and kept a ‘Neutral’ rating on FE shares. The revision was largely based on a lowering of the broader utility sector’s baseline valuation in light of rate hikes.