FirstEnergy (FE) Price Target Increased by BofA on Peer Multiple Expansion

FirstEnergy Corp. (NYSE:FE) is included among the 15 Best Dividend Leaders to Buy Right Now.

On March 5, BofA analyst Ross Fowler raised the firm’s price recommendation on FirstEnergy Corp. (NYSE:FE) to $52 from $49. The firm reiterated a Neutral rating on the shares. The analyst cited a higher peer-group valuation multiple as the reason for the revised target.

During the company’s Q4 2025 earnings call, CEO Brian Tierney described 2025 as a transformative year for the business. He said the company executed its strategic plan, achieved several key milestones, and positioned FirstEnergy for long-term growth during what he called one of the most dynamic periods in the utility industry.

Tierney highlighted the company’s newly announced $36B five-year capital investment program. The initiative is aimed at strengthening grid reliability and improving resiliency for customers. He said the plan is expected to support a core earnings per share compounded annual growth rate near the upper end of the company’s 6% to 8% target range between 2026 and 2030.

Discussing financial performance, Tierney said the company reported 2025 GAAP earnings of $1.77 per share, compared with $1.70 per share in 2024. Core earnings reached $2.55 per share, which came in at the top end of the company’s revised and increased guidance range for the year and represented a 7.6% increase from 2024.

He also noted that the company invested about $5.6B in customer-focused capital projects during 2025. According to Tierney, that figure marked a 25% increase from the prior year and came in roughly 12% above the company’s original investment plan. Tierney added that total transmission investments rose about 35% compared with the previous plan, bringing the allocation for that segment to $19B. He said the broader investment program is expected to support around 10% rate base growth across the company through 2030.

FirstEnergy Corp. (NYSE:FE) and its subsidiaries operate in the transmission, distribution, and generation of electricity through three segments: Distribution, Integrated, and Stand-Alone Transmission.

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