Xcel Energy Inc. (NASDAQ:XEL) is included among the 13 Best NASDAQ Dividend Stocks to Buy Now.
On February 13, UBS analyst William Appicelli upgraded Xcel Energy Inc. (NASDAQ:XEL) to Buy from Neutral and raised his price target to $89 from $81. He said the stock offers an attractive risk/reward at current levels. The analyst noted that Xcel is trading at about a 4% discount to the broader utility group, even though it delivers fully regulated earnings growth of around 9% and is seeing rising demand tied to data center expansion. UBS believes this growth potential is not fully reflected in the current share price.
During the company’s Q4 2025 earnings call, President, CEO, and Chairman Robert Frenzel outlined plans for significant investment. He said Xcel Energy expects to invest more than $60 billion over the next five years to strengthen and expand its energy infrastructure. The plan includes upgrading transmission and distribution networks, adding new natural gas and renewable generation, and building a more modern grid designed to handle extreme weather conditions.
Frenzel also highlighted the company’s consistent financial performance. Xcel Energy delivered ongoing earnings of $3.80 per share in 2025, marking the 21st straight year that the company met or exceeded its original earnings guidance. He pointed to several major projects completed or underway. These included the launch of Phase 2 of the Sherco solar project, the conversion of the Harrington coal plant to natural gas, and wind repowering work at the Border and Pleasant Valley sites. He also noted the successful startup of the Rocky Mountain solar project in Colorado.
In addition, Frenzel said the company updated its capital plan to include an initial 7,000 megawatts of company-owned renewable energy, natural gas, and storage projects across its service areas. He said these investments will help transition the company’s generation mix while supporting future growth.
Xcel Energy Inc. (NASDAQ:XEL) delivers electricity and natural gas to customers across multiple states. Through its four utility subsidiaries, the company serves about 3.9 million electric customers and 2.2 million natural gas customers with a broad range of energy services.
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