PEG Recognized Among Top 10 Utility Dividend Stocks with a 3.04% Yield
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Aug 28 2025
0mins
Should l Buy PEG?
Source: NASDAQ.COM
Dividend Investing Approach: Dividend investors focus on identifying strong, profitable companies that are attractively valued, using a proprietary DividendRank formula to generate a list of promising stocks for further research.
Public Service Enterprise Group Inc (PEG): PEG pays an annualized dividend of $2.52 per share, distributed quarterly, with the most recent ex-dividend date being September 9, 2025.
Importance of Dividend History: Analyzing a company's long-term dividend history is crucial in assessing the likelihood of continued dividend payments.
Author's Perspective: The views expressed in the report reflect the author's opinions and do not necessarily represent those of Nasdaq, Inc.
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Analyst Views on PEG
Wall Street analysts forecast PEG stock price to rise
12 Analyst Rating
8 Buy
4 Hold
0 Sell
Moderate Buy
Current: 84.540
Low
83.00
Averages
89.77
High
98.00
Current: 84.540
Low
83.00
Averages
89.77
High
98.00
About PEG
Public Service Enterprise Group Incorporated is a regulated infrastructure company operating New Jersey’s transmission and distribution utility, serving approximately 2.4 million electric and 1.9 million natural gas customers. The Company also owns an independent fleet of 3,758 MW of carbon-free, baseload nuclear power-generating units. The Company principally conducts its business through two wholly owned subsidiaries, Public Service Electric and Gas Company (PSE&G) and PSEG Power LLC (PSEG Power). The Company’s segments include PSE&G and PSEG Power. PSE&G is a public utility engaged principally in the transmission of electricity and distribution of electricity and natural gas in certain areas of New Jersey. PSEG Power is an energy supply company that consists of the operations of merchant nuclear generating assets and fuel supply functions engaged in competitive energy sales via its principal direct wholly owned subsidiaries. The Company also has other wholly owned subsidiaries.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
White House Considers Cost Burden on Data Centers
- Cost Internalization for Data Centers: White House trade advisor Peter Navarro stated that data center builders must absorb costs related to electricity and water usage, highlighting the government's concern over economic pressures that could impact companies like Meta.
- Rising Electricity Prices: With electricity prices spiking 6.9% year-over-year in 2025, public anxiety about the economy is increasing, as Navarro attempts to blame former President Biden, indicating the current administration's challenges in addressing inflation.
- Policy Response Measures: The Trump administration has signed a pact with several states urging major tech companies to finance $15 billion for new power plants to alleviate the strain data centers place on the grid, demonstrating proactive government intervention in energy policy.
- Election Outlook Impact: As the November 2026 midterms approach, polls show Democrats leading by 5.2 points, reflecting voter concerns over economic issues that could affect Trump's and the Republican Party's electoral prospects.
See More
Public Service Enterprise Group's Strategic Shift
- Trendline Breakout: Public Service Enterprise Group (PEG) recently broke above its descending trendline that had constrained rallies since mid-2025, confirming a shift in short-term momentum as the stock stabilizes above $80, with projections indicating a potential rise toward the $90 zone, reflecting growing market confidence in its future growth.
- Nuclear Asset Valuation: As nuclear power regains its premium status for data center demand, PEG's asset base is being reassessed as significantly more valuable than its current valuation, creating a strategically valuable combination of stable regulated cash flows and unregulated nuclear optionality.
- Financial Metrics Comparison: PEG's forward P/E ratio stands at approximately 18x, in line with the industry average, while its expected EPS growth rate of 8.6% surpasses the industry’s 7.7%, indicating a competitive edge in growth potential, with net margins also exceeding industry levels.
- Capital Allocation Strategy: Management has strategically avoided offshore wind investments, directing capital towards transmission, upgrades, and maintaining balance sheet strength, which effectively reduces cash flow risks in the nuclear economy and further solidifies PEG's market position.
See More
PSEG to Host Q4 and Full Year 2025 Earnings Call on February 26
- Earnings Call Schedule: PSEG will hold its Q4 and full year 2025 earnings call on February 26, 2026, at 11:00 a.m. ET, where management will discuss financial results, guidance, and capital investments, aiming to enhance communication with the financial community.
- Investor Relations Website: The audio webcast and accompanying presentation materials will be available on PSEG's Investor Relations website under the Investor News and Events section, ensuring timely access to important information and enhancing transparency for investors.
- Nuclear Asset Overview: PSEG owns an independent fleet of 3,758 MW of carbon-free baseload nuclear power generating units in NJ and PA, serving approximately 2.4 million electric and 1.9 million natural gas customers, showcasing its leadership in renewable energy.
- Sustainability Achievements: PSEG has been named to the Dow Jones Sustainability North America Index for 17 consecutive years, reflecting its commitment to advancing cleaner, safer, and more reliable energy, further solidifying its position in the S&P 500 Index.
See More
PSEG to Host Q4 and Full Year 2025 Earnings Call on February 26
- Earnings Call Schedule: PSEG will host its Q4 and full year 2025 earnings call on February 26, 2026, at 11:00 AM ET, where management will discuss financial results, guidance, and capital investments, aiming to enhance communication with the financial community.
- Investor Relations Website: The audio webcast and accompanying presentation materials will be available on PSEG's Investor Relations website under the Investor News and Events section, ensuring investors can access key information promptly.
- Company Overview: PSEG operates New Jersey's largest electric and gas utility, serving approximately 2.4 million electric and 1.9 million gas customers, while owning a fleet of 3,758 MW of carbon-free nuclear power, demonstrating its commitment to renewable energy.
- Sustainability Achievements: PSEG has been named to the Dow Jones Sustainability North America Index for 17 consecutive years, showcasing its outstanding performance in environmental, social, and governance (ESG) criteria, further solidifying its position in the S&P 500 Index.
See More
Caution for Utility Stocks: Political Factors May Impact Stock Returns.
- Political Backlash: Early indications of a political backlash against utility companies have emerged in New Jersey and New York.
- Sector Challenges: This situation may signal a challenging year ahead for the utility sector as public sentiment shifts.
See More
Public Service Enterprise Group Downgraded to Neutral with $85 Price Target by J.P. Morgan
- Rating Downgrade: J.P. Morgan downgraded Public Service Enterprise Group from Overweight to Neutral with a price target cut from $88 to $85, reflecting ongoing political and regulatory uncertainty in New Jersey despite some optimism from Governor Sherrill's inauguration speech.
- Regulatory Risks: Analyst Jeremy Tonet highlighted that while New Jersey's plans remain unclear, he cannot rule out further deterioration in the state's regulatory environment, particularly given the increasing scrutiny on regulated returns and overall ratemaking components.
- Nuclear Contract Outlook: Despite political backlash, Tonet noted that approximately one-third of PSEG's nuclear capacity is located in Pennsylvania, where contract opportunities could still arise, partially offsetting risks from New Jersey.
- Potential for Price Increases: Although affordability issues in New Jersey may limit PEG's upside, Tonet still sees potential for rising power prices to provide some revenue benefits for the company.
See More
White House Considers Cost Burden on Data Centers
- Cost Internalization for Data Centers: White House trade advisor Peter Navarro stated that data center builders must absorb costs related to electricity and water usage, highlighting the government's concern over economic pressures that could impact companies like Meta.
- Rising Electricity Prices: With electricity prices spiking 6.9% year-over-year in 2025, public anxiety about the economy is increasing, as Navarro attempts to blame former President Biden, indicating the current administration's challenges in addressing inflation.
- Policy Response Measures: The Trump administration has signed a pact with several states urging major tech companies to finance $15 billion for new power plants to alleviate the strain data centers place on the grid, demonstrating proactive government intervention in energy policy.
- Election Outlook Impact: As the November 2026 midterms approach, polls show Democrats leading by 5.2 points, reflecting voter concerns over economic issues that could affect Trump's and the Republican Party's electoral prospects.
See More
Public Service Enterprise Group's Strategic Shift
- Trendline Breakout: Public Service Enterprise Group (PEG) recently broke above its descending trendline that had constrained rallies since mid-2025, confirming a shift in short-term momentum as the stock stabilizes above $80, with projections indicating a potential rise toward the $90 zone, reflecting growing market confidence in its future growth.
- Nuclear Asset Valuation: As nuclear power regains its premium status for data center demand, PEG's asset base is being reassessed as significantly more valuable than its current valuation, creating a strategically valuable combination of stable regulated cash flows and unregulated nuclear optionality.
- Financial Metrics Comparison: PEG's forward P/E ratio stands at approximately 18x, in line with the industry average, while its expected EPS growth rate of 8.6% surpasses the industry’s 7.7%, indicating a competitive edge in growth potential, with net margins also exceeding industry levels.
- Capital Allocation Strategy: Management has strategically avoided offshore wind investments, directing capital towards transmission, upgrades, and maintaining balance sheet strength, which effectively reduces cash flow risks in the nuclear economy and further solidifies PEG's market position.
See More
PSEG to Host Q4 and Full Year 2025 Earnings Call on February 26
- Earnings Call Schedule: PSEG will hold its Q4 and full year 2025 earnings call on February 26, 2026, at 11:00 a.m. ET, where management will discuss financial results, guidance, and capital investments, aiming to enhance communication with the financial community.
- Investor Relations Website: The audio webcast and accompanying presentation materials will be available on PSEG's Investor Relations website under the Investor News and Events section, ensuring timely access to important information and enhancing transparency for investors.
- Nuclear Asset Overview: PSEG owns an independent fleet of 3,758 MW of carbon-free baseload nuclear power generating units in NJ and PA, serving approximately 2.4 million electric and 1.9 million natural gas customers, showcasing its leadership in renewable energy.
- Sustainability Achievements: PSEG has been named to the Dow Jones Sustainability North America Index for 17 consecutive years, reflecting its commitment to advancing cleaner, safer, and more reliable energy, further solidifying its position in the S&P 500 Index.
See More
PSEG to Host Q4 and Full Year 2025 Earnings Call on February 26
- Earnings Call Schedule: PSEG will host its Q4 and full year 2025 earnings call on February 26, 2026, at 11:00 AM ET, where management will discuss financial results, guidance, and capital investments, aiming to enhance communication with the financial community.
- Investor Relations Website: The audio webcast and accompanying presentation materials will be available on PSEG's Investor Relations website under the Investor News and Events section, ensuring investors can access key information promptly.
- Company Overview: PSEG operates New Jersey's largest electric and gas utility, serving approximately 2.4 million electric and 1.9 million gas customers, while owning a fleet of 3,758 MW of carbon-free nuclear power, demonstrating its commitment to renewable energy.
- Sustainability Achievements: PSEG has been named to the Dow Jones Sustainability North America Index for 17 consecutive years, showcasing its outstanding performance in environmental, social, and governance (ESG) criteria, further solidifying its position in the S&P 500 Index.
See More
Caution for Utility Stocks: Political Factors May Impact Stock Returns.
- Political Backlash: Early indications of a political backlash against utility companies have emerged in New Jersey and New York.
- Sector Challenges: This situation may signal a challenging year ahead for the utility sector as public sentiment shifts.
See More
Public Service Enterprise Group Downgraded to Neutral with $85 Price Target by J.P. Morgan
- Rating Downgrade: J.P. Morgan downgraded Public Service Enterprise Group from Overweight to Neutral with a price target cut from $88 to $85, reflecting ongoing political and regulatory uncertainty in New Jersey despite some optimism from Governor Sherrill's inauguration speech.
- Regulatory Risks: Analyst Jeremy Tonet highlighted that while New Jersey's plans remain unclear, he cannot rule out further deterioration in the state's regulatory environment, particularly given the increasing scrutiny on regulated returns and overall ratemaking components.
- Nuclear Contract Outlook: Despite political backlash, Tonet noted that approximately one-third of PSEG's nuclear capacity is located in Pennsylvania, where contract opportunities could still arise, partially offsetting risks from New Jersey.
- Potential for Price Increases: Although affordability issues in New Jersey may limit PEG's upside, Tonet still sees potential for rising power prices to provide some revenue benefits for the company.
See More
