Duke Energy (DUK) Stock Forecast & Price Target

Duke Energy is poised for increased capital expenditures, following the recent filing of its updated Carolinas Resource Plan, which reflects ongoing strategic investments in its operations. The company is projected to achieve an average annual earnings per share (EPS) growth of just above 6.5%, with the potential for management to refine this outlook further in early 2024. Additionally, sustained population growth of approximately 2% in key service areas such as the Carolinas, Florida, and Indiana supports long-term demand for Duke Energy's utility services.

Duke Energy's dividend growth is currently lagging behind its peers, averaging only approximately 2% per year, which is significantly lower than the industry average of around 5.5%. This slower growth indicates potential challenges in generating shareholder returns compared to competitors, raising concerns about the company's ability to maintain investor interest. Furthermore, the broader market sentiment appears to pivot away from defensive positions, indicating an unfavorable environment for utilities like Duke Energy, which may struggle to attract investment in a shifting economic landscape.