FirstEnergy Upgrades New Jersey Power Grid for Reliability
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 1h ago
0mins
Should l Buy FE?
Source: PRnewswire
- Grid Upgrade Initiative: FirstEnergy is undertaking significant upgrades to the power grid in northern Monmouth County, aimed at enhancing the reliability of the electric system, which is expected to benefit nearly 25,000 homes and businesses.
- Equipment Replacement: At the heart of the project is the replacement of equipment originally installed in the 1970s, which will improve the stability and safety of power supply by modernizing outdated facilities for more efficient service.
- Service Area Coverage: The upgrade work will cover towns such as Marlboro, Holmdel, Matawan, Aberdeen, and Middletown, strengthening the electrical infrastructure in these areas to meet the growing demand for electricity.
- Long-term Strategic Importance: Through this grid upgrade, FirstEnergy not only enhances service quality but also prepares for future electricity demand growth, further solidifying its competitive position in the New Jersey market.
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Analyst Views on FE
Wall Street analysts forecast FE stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for FE is 49.25 USD with a low forecast of 46.00 USD and a high forecast of 54.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
10 Analyst Rating
4 Buy
6 Hold
0 Sell
Moderate Buy
Current: 46.630
Low
46.00
Averages
49.25
High
54.00
Current: 46.630
Low
46.00
Averages
49.25
High
54.00
About FE
FirstEnergy Corp. and its subsidiaries are involved in the transmission, distribution, and generation of electricity through its segments: Distribution, Integrated and Stand-Alone Transmission. The Distribution Segment, which consists of the Ohio Companies and FirstEnergy Pennsylvania Electric Company (FE PA), distributes electricity in Ohio and Pennsylvania. The Integrated segment includes the distribution and transmission operations under Jersey Central Power & Light Company (JCP&L), Monongahela Power Company (MP) and The Potomac Edison Company (PE), as well as MP's regulated generation operations. The segment distributes electricity in New Jersey, West Virginia and Maryland, provides transmission infrastructure, and operates 3,604 MWs of regulated net maximum generation capacity. The Stand-Alone Transmission segment consists of its ownership in FET and KATCo, which includes transmission infrastructure owned and operated by the Transmission Companies and used to transmit electricity.
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.
FirstEnergy Upgrades New Jersey Power Grid
- Grid Upgrade Project: FirstEnergy is investing approximately $30 million in significant upgrades to the power grid in northern New Jersey, aimed at providing more reliable service to nearly 25,000 homes and businesses, with completion expected in spring 2026.
- Infrastructure Enhancement: Newly installed utility poles and modernized wiring will replace outdated equipment from the 1970s, enhancing 10 miles of power lines to reduce outages and accelerate service restoration when issues arise.
- Future Demand Preparedness: The upgrades are likened to upgrading from a two-lane road to a four-lane highway, increasing the system's capacity to meet growing energy demands and ensuring stable power supply during adverse weather conditions.
- Long-term Investment Plan: This project is part of FirstEnergy's Energize365 initiative, which plans to invest $28 billion between 2025 and 2029 to build a smarter, more resilient grid that meets the evolving needs of the service area.
See More
FirstEnergy Upgrades New Jersey Power Grid for Reliability
- Grid Upgrade Initiative: FirstEnergy is undertaking significant upgrades to the power grid in northern Monmouth County, aimed at enhancing the reliability of the electric system, which is expected to benefit nearly 25,000 homes and businesses.
- Equipment Replacement: At the heart of the project is the replacement of equipment originally installed in the 1970s, which will improve the stability and safety of power supply by modernizing outdated facilities for more efficient service.
- Service Area Coverage: The upgrade work will cover towns such as Marlboro, Holmdel, Matawan, Aberdeen, and Middletown, strengthening the electrical infrastructure in these areas to meet the growing demand for electricity.
- Long-term Strategic Importance: Through this grid upgrade, FirstEnergy not only enhances service quality but also prepares for future electricity demand growth, further solidifying its competitive position in the New Jersey market.
See More
Analysis of FirstEnergy's Dividend and Volatility
- Dividend Yield Expectation: FirstEnergy Corp's latest dividend yield is projected at 3.8%, and its sustainability must be assessed in conjunction with the company's profitability volatility, which impacts investor return expectations and decisions.
- Historical Volatility Analysis: With a trailing twelve-month volatility of 20% based on the last 250 trading days' closing prices, this provides investors with a foundation to evaluate risk versus reward, aiding in the decision to sell covered calls at the $50 strike.
- Options Trading Dynamics: On Monday, the put volume among S&P 500 components reached 1.19 million contracts, while call volume was at 2.27 million, resulting in a put:call ratio of 0.52, indicating a market preference for calls, reflecting investor optimism regarding price increases.
- Options Market Trends: The current put:call ratio is below the long-term median of 0.65, suggesting that investors are more inclined to purchase call options, which may indicate a shift in market sentiment and a positive outlook for FirstEnergy's stock price.
See More
FirstEnergy Expands Tree Planting Initiative for Greener Communities
- Significant Tree Planting: In 2025, FirstEnergy collaborated with employees and community partners to plant over 30,000 trees, exceeding its annual goal and demonstrating a strong commitment to environmental sustainability.
- Growth Plans Ahead: For 2026, FirstEnergy aims to plant and donate more than 26,000 additional trees, continuing a tree planting initiative that began in 2020, thereby enhancing community greening efforts.
- Enhanced Community Engagement: By partnering with local communities, FirstEnergy not only improves environmental quality but also fosters a sense of involvement among employees and residents, strengthening the relationship between the company and the community.
- Long-term Environmental Strategy: This tree planting initiative contributes to better air quality and ecological health, reflecting FirstEnergy's long-term strategic goals in sustainability and reinforcing its leadership position in the green economy.
See More
Potomac Edison Launches Electric School Bus Program
- Program Background: Potomac Edison has received approval from the Maryland Public Service Commission to launch an $11.1 million pilot program aimed at assisting local school systems in transitioning to cleaner, zero-emission school buses, expected to start in early 2026 and run for five years or until funds are exhausted.
- Financial Support: The program will cover the cost difference of approximately $250,000 between diesel and electric buses, along with expenses for charging equipment and electrical upgrades, significantly reducing the initial investment burden on school systems and accelerating the adoption of electric buses.
- Environmental Impact: This initiative not only helps Maryland public schools comply with the Climate Solutions Now Act but also promotes healthier transportation options, improves community air quality, and provides students with quieter rides, leading to long-term savings for school districts.
- Technological Innovation: Potomac Edison will also explore how electric buses can support grid reliability through vehicle-to-grid (V2G) technology, presenting a promising opportunity that could benefit customers across the service area and enhance the company's strategic position in the renewable energy sector.
See More
Potomac Edison Launches Electric School Bus Program
- Program Background: Potomac Edison has received approval from the Maryland Public Service Commission to launch an $11.1 million pilot program aimed at assisting local school systems in transitioning to cleaner, zero-emission school buses, expected to commence in early 2026.
- Financial Support: The program will cover the cost difference of approximately $250,000 between diesel and electric buses, along with expenses for charging equipment and electrical upgrades, significantly reducing the initial investment burden for schools and facilitating the implementation of sustainable transportation.
- Technological Innovation: The initiative will test vehicle-to-grid (V2G) technology, allowing electric school buses to feed stored energy back to the grid when not in use, thereby enhancing grid reliability, particularly during emergencies, and improving power stability in the service area.
- Long-term Impact: By providing technical and administrative support, Potomac Edison will assist school systems in identifying charging locations, installing necessary equipment, and training personnel, ensuring the smooth integration of electric buses and advancing Maryland's clean transportation goals.
See More
FirstEnergy Upgrades New Jersey Power Grid
- Grid Upgrade Project: FirstEnergy is investing approximately $30 million in significant upgrades to the power grid in northern New Jersey, aimed at providing more reliable service to nearly 25,000 homes and businesses, with completion expected in spring 2026.
- Infrastructure Enhancement: Newly installed utility poles and modernized wiring will replace outdated equipment from the 1970s, enhancing 10 miles of power lines to reduce outages and accelerate service restoration when issues arise.
- Future Demand Preparedness: The upgrades are likened to upgrading from a two-lane road to a four-lane highway, increasing the system's capacity to meet growing energy demands and ensuring stable power supply during adverse weather conditions.
- Long-term Investment Plan: This project is part of FirstEnergy's Energize365 initiative, which plans to invest $28 billion between 2025 and 2029 to build a smarter, more resilient grid that meets the evolving needs of the service area.
See More
FirstEnergy Upgrades New Jersey Power Grid for Reliability
- Grid Upgrade Initiative: FirstEnergy is undertaking significant upgrades to the power grid in northern Monmouth County, aimed at enhancing the reliability of the electric system, which is expected to benefit nearly 25,000 homes and businesses.
- Equipment Replacement: At the heart of the project is the replacement of equipment originally installed in the 1970s, which will improve the stability and safety of power supply by modernizing outdated facilities for more efficient service.
- Service Area Coverage: The upgrade work will cover towns such as Marlboro, Holmdel, Matawan, Aberdeen, and Middletown, strengthening the electrical infrastructure in these areas to meet the growing demand for electricity.
- Long-term Strategic Importance: Through this grid upgrade, FirstEnergy not only enhances service quality but also prepares for future electricity demand growth, further solidifying its competitive position in the New Jersey market.
See More
Analysis of FirstEnergy's Dividend and Volatility
- Dividend Yield Expectation: FirstEnergy Corp's latest dividend yield is projected at 3.8%, and its sustainability must be assessed in conjunction with the company's profitability volatility, which impacts investor return expectations and decisions.
- Historical Volatility Analysis: With a trailing twelve-month volatility of 20% based on the last 250 trading days' closing prices, this provides investors with a foundation to evaluate risk versus reward, aiding in the decision to sell covered calls at the $50 strike.
- Options Trading Dynamics: On Monday, the put volume among S&P 500 components reached 1.19 million contracts, while call volume was at 2.27 million, resulting in a put:call ratio of 0.52, indicating a market preference for calls, reflecting investor optimism regarding price increases.
- Options Market Trends: The current put:call ratio is below the long-term median of 0.65, suggesting that investors are more inclined to purchase call options, which may indicate a shift in market sentiment and a positive outlook for FirstEnergy's stock price.
See More
FirstEnergy Expands Tree Planting Initiative for Greener Communities
- Significant Tree Planting: In 2025, FirstEnergy collaborated with employees and community partners to plant over 30,000 trees, exceeding its annual goal and demonstrating a strong commitment to environmental sustainability.
- Growth Plans Ahead: For 2026, FirstEnergy aims to plant and donate more than 26,000 additional trees, continuing a tree planting initiative that began in 2020, thereby enhancing community greening efforts.
- Enhanced Community Engagement: By partnering with local communities, FirstEnergy not only improves environmental quality but also fosters a sense of involvement among employees and residents, strengthening the relationship between the company and the community.
- Long-term Environmental Strategy: This tree planting initiative contributes to better air quality and ecological health, reflecting FirstEnergy's long-term strategic goals in sustainability and reinforcing its leadership position in the green economy.
See More
Potomac Edison Launches Electric School Bus Program
- Program Background: Potomac Edison has received approval from the Maryland Public Service Commission to launch an $11.1 million pilot program aimed at assisting local school systems in transitioning to cleaner, zero-emission school buses, expected to start in early 2026 and run for five years or until funds are exhausted.
- Financial Support: The program will cover the cost difference of approximately $250,000 between diesel and electric buses, along with expenses for charging equipment and electrical upgrades, significantly reducing the initial investment burden on school systems and accelerating the adoption of electric buses.
- Environmental Impact: This initiative not only helps Maryland public schools comply with the Climate Solutions Now Act but also promotes healthier transportation options, improves community air quality, and provides students with quieter rides, leading to long-term savings for school districts.
- Technological Innovation: Potomac Edison will also explore how electric buses can support grid reliability through vehicle-to-grid (V2G) technology, presenting a promising opportunity that could benefit customers across the service area and enhance the company's strategic position in the renewable energy sector.
See More
Potomac Edison Launches Electric School Bus Program
- Program Background: Potomac Edison has received approval from the Maryland Public Service Commission to launch an $11.1 million pilot program aimed at assisting local school systems in transitioning to cleaner, zero-emission school buses, expected to commence in early 2026.
- Financial Support: The program will cover the cost difference of approximately $250,000 between diesel and electric buses, along with expenses for charging equipment and electrical upgrades, significantly reducing the initial investment burden for schools and facilitating the implementation of sustainable transportation.
- Technological Innovation: The initiative will test vehicle-to-grid (V2G) technology, allowing electric school buses to feed stored energy back to the grid when not in use, thereby enhancing grid reliability, particularly during emergencies, and improving power stability in the service area.
- Long-term Impact: By providing technical and administrative support, Potomac Edison will assist school systems in identifying charging locations, installing necessary equipment, and training personnel, ensuring the smooth integration of electric buses and advancing Maryland's clean transportation goals.
See More
