Jefferies Stays Positive on OGE Energy (OGE) as Utilities Enter a “Super Cycle”

OGE Energy Corp. (NYSE:OGE) is one of the best high-growth utility stocks to buy. It is an Oklahoma-based electric company that specializes in energy generation, transmission, and distribution. OGE uses coal, natural gas, wind, and solar to generate electricity.

On October 22, Jefferies maintained a Buy rating on OGE while lifting the price target from $52 to $55. The investment firm anticipates a largely optimistic “super cycle” of third-quarter developments. The utilities space is also expected to increase capital spending while the cost of capital declines.

Jefferies Stays Positive on OGE Energy (OGE) as Utilities Enter Growth-Focused “Super Cycle”

Photo by Matthew Henry on Unsplash

While Jefferies remained bullish with a Buy call, BofA also raised its price target on OGE Energy to $48 (from $46) but assigned a Neutral rating in a report published the next day. The firm stands by its view that the company’s solid execution trajectory and opportunities pertaining to higher power consumption trends support its premium multiple. The firm maintains that OGE’s $6.25 billion 5-year capital spending plan, as well as the construction of its grids and transmission lines, is an important priority for investors.

While we acknowledge the risk and potential of OGE as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than OGE and that has 10,000% upside potential, check out our report about this cheapest AI stock.

READ NEXT: Dow 20 Stocks List: Ranked By Hedge Fund Bullishness Index and 10 Unstoppable Dividend Stocks to Buy Now.

Disclosure. None.