UBS Sees Brighter Outlook for Spire (SR), Pointing to a Stable Growth Path

Spire Inc. (NYSE:SR) is one of the best high-growth utility stocks to buy. On October 13, UBS assigned a Buy rating to Spire and lifted the price target from $80 to $95.

The investment firm mentioned that Spire is expected to continue operations under an uplifting regulatory environment in Missouri, and the recent asset purchases in Tennessee will help it de-risk its portfolio and support future growth.

UBS expects the company’s Q4 earnings to offer tangible updates, such as the EPS guidance for 2026-27. According to the firm, the Q4 guidance could exceed its current 5%-7% outlook, although the need to keep its offerings reasonably priced may limit further growth-rate surges.

UBS anticipates that Spire will be fully under forward test years in Missouri by 2028. When that happens, earnings and rate base growth are expected to adopt a steady trend.

The firm observed that Spire presently trades at a 2x discount to its competitors, given its updated 2027 EPS estimate of $5.65. According to UBS, the earnings power is factored in at over 10% less than its forecast, while the product portfolio is strengthening and becoming more stable, leading to solid earnings.

Separately, Spire has shown solid execution over time, as evidenced by its robust 55-year history of dividend payouts.

Spire Inc. (NYSE:SR), headquartered in St. Louis, Missouri, operates in the natural gas sector through three business divisions: Gas Utility, Gas Marketing, and Midstream.

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