Morgan Stanley Revises MGE Energy (MGEE) Price Target Following Utility Sector Underperformance

MGE Energy, Inc. (NASDAQ:MGEE) is included among the 10 Best June Dividend Stocks to Buy.

Morgan Stanley Revises MGE Energy (MGEE) Price Target Following Utility Sector Underperformance

On May 21, Morgan Stanley analyst David Arcaro lowered the firm’s price recommendation on MGE Energy, Inc. (NASDAQ:MGEE) to $70 from $74. He reiterated an Underweight rating on the shares. The firm updated its price targets for Regulated & Diversified Utilities/IPPs in North America for April, the analyst told investors. Morgan Stanley noted that utilities underperformed the S&P’s return this month.

The company reported its Q1 2026 earnings on May 5. MGE Energy posted GAAP earnings of $48.5 million, or $1.32 per share, for the first quarter of 2026. That compares with $41.6 million, or $1.14 per share, in the same period last year. Earnings from the electric segment rose by $5.5 million in 2026 compared with 2025. The increase came from strategic capital investments that expanded the company’s rate base. Growth continued to be driven largely by the successful rollout of key renewable energy projects.

Gas net income remained steady, with little change from the first quarter of 2025.

MGE Energy, Inc. (NASDAQ:MGEE) is a public utility holding company. Its segments include regulated electric utility operations, regulated gas utility operations, nonregulated energy operations, transmission investments, and other businesses.

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