Valued at a market cap of $24.8 billion, CenterPoint Energy, Inc. (CNP) is a public utility holding company that delivers both natural gas and electric utility services. The Houston, Texas-based company also owns some power generation capacity and provides home services, including the repair and maintenance of gas & electric equipment.

Companies valued at $10 billion or more are typically classified as “large-cap stocks,” and CNP fits the label perfectly, with its market cap exceeding this threshold, underscoring its size, influence, and dominance within the utilities - regulated electric industry. The company benefits from scale, geographic diversity, and long-term regulatory frameworks. Its specialty is efficiently delivering safe, reliable, and sustainable energy while investing in grid modernization, clean energy initiatives, and advanced infrastructure to support future growth and reliability for its customers.

This utility company is currently trading 3.4% below its 52-week high of $39.39, reached on Aug. 5. Shares of CNP have gained 6.5% over the past three months, underperforming the Dow Jones Industrial Average’s ($DOWI) 9% return during the same time frame.

Nonetheless, in the longer term, CNP has rallied 34.4% over the past 52 weeks, considerably outperforming DOWI's 10.6% uptick over the same time period. Moreover, on a YTD basis, shares of CNP are up 19.9%, compared to DOWI’s 8.2% rise.

To confirm its bullish trend, CNP has been trading above its 200-day and 50-day moving averages over the past year, with some fluctuations. 

On Jul. 24, shares of CNP surged 1.9% after its mixed Q2 earnings release. Due to higher utility revenues, the company’s overall revenue improved 2% year-over-year to $1.9 billion, surpassing consensus estimates. Moreover, it increased its fiscal 2025 and 10-year capital investment plan by $500 million without the anticipated need for incremental equity, further bolstering investor confidence. However, despite the top-line growth, its adjusted EPS fell 19.4% from the year-ago quarter to $0.29, missing analyst expectations by a notable margin of 14.7%. 

CNP has lagged behind its rival, Entergy Corporation’s (ETR) 36.6% rise over the past 52 weeks. However, it has outpaced ETR’s 16.3% uptick on a YTD basis. 

Despite CNP’s recent underperformance, analysts remain moderately optimistic about its prospects. The stock has a consensus rating of "Moderate Buy” from the 16 analysts covering it, and the mean price target of $40.67 suggests a 6.9% potential upside from its current price levels.