Hawaiian Electric Industries (NYSE:HE) Releases Earnings Results, Misses Expectations By $0.08 EPS

Hawaiian Electric Industries (NYSE:HE) posted its quarterly earnings data on Friday. The utilities provider reported $0.13 earnings per share for the quarter, missing the consensus estimate of $0.21 by ($0.08), FiscalAI reports. The firm had revenue of $939.70 million for the quarter, compared to analyst estimates of $745.92 million. Hawaiian Electric Industries had a return on equity of 9.03% and a net margin of 4.19%.During the same period in the prior year, the company earned $0.15 earnings per share.

Here are the key takeaways from Hawaiian Electric Industries’ conference call:

• Wildfire mitigation costs may be securitized rather than primarily added to rate base, potentially lowering customer financing costs. HEI plans to seek a financing order later this year for approximately $350 million of approved WMP spending.
• HEI’s credit profile improved, with S&P upgrading both HEI and Hawaiian Electric to BB- in July, following Moody’s one-notch upgrade in April. The company cited progress in reducing wildfire risk and maintaining approximately $1.3 billion of consolidated liquidity.
• The company resubmitted its rate rebasing request, seeking a total $170 million base-rate increase phased in over two years, including $125 million beginning in 2027. HEI has requested an interim decision by December 2026, while a final decision is expected in April 2027.
• Second-quarter core net income fell to $22.5 million, or $0.13 per share, from $35.4 million, or $0.20, a year earlier. Results were pressured by higher interest expense, vegetation management and maintenance costs, storm response spending, insurance premiums, and other O&M increases.
• HEI is advancing large competitive procurements to meet rising demand and modernize generation, including renewable, storage, and firm-capacity resources. The PUC, however, requested a more thorough demonstration of need before considering HEI’s proposal for up to 500 megawatts of additional firm generation on Oʻahu.

Hawaiian Electric Industries Stock Down 0.7%

Shares of NYSE:HE traded down $0.09 during midday trading on Friday, reaching $12.40. The company had a trading volume of 2,472,910 shares, compared to its average volume of 1,520,704. Hawaiian Electric Industries has a 1-year low of $10.60 and a 1-year high of $17.38. The stock has a market cap of $2.14 billion, a PE ratio of 16.76 and a beta of 0.50. The company has a quick ratio of 1.34, a current ratio of 1.34 and a debt-to-equity ratio of 1.70. The business’s 50 day moving average price is $13.28 and its 200 day moving average price is $14.47.

Analyst Upgrades and Downgrades

A number of equities research analysts recently issued reports on HE shares. Jefferies Financial Group dropped their target price on Hawaiian Electric Industries from $13.75 to $11.75 and set an “underperform” rating on the stock in a research report on Monday, July 6th. Zacks Research downgraded Hawaiian Electric Industries from a “strong-buy” rating to a “hold” rating in a research report on Wednesday, May 6th. Weiss Ratings raised shares of Hawaiian Electric Industries from a “sell (d)” rating to a “sell (d+)” rating in a research note on Monday, July 20th. Wall Street Zen downgraded shares of Hawaiian Electric Industries from a “buy” rating to a “hold” rating in a report on Saturday, April 11th. Finally, Barclays cut their price objective on shares of Hawaiian Electric Industries from $14.00 to $13.00 and set an “equal weight” rating on the stock in a research report on Thursday, June 25th. Two analysts have rated the stock with a Hold rating and two have issued a Sell rating to the company’s stock. According to MarketBeat.com, Hawaiian Electric Industries has a consensus rating of “Reduce” and an average price target of $12.38.

Institutional Inflows and Outflows

Hedge funds have recently bought and sold shares of the stock. Caitong International Asset Management Co. Ltd raised its stake in shares of Hawaiian Electric Industries by 199,800.0% during the 4th quarter. Caitong International Asset Management Co. Ltd now owns 1,999 shares of the utilities provider’s stock worth $25,000 after purchasing an additional 1,998 shares in the last quarter. Northwestern Mutual Wealth Management Co. grew its stake in shares of Hawaiian Electric Industries by 142.2% in the third quarter. Northwestern Mutual Wealth Management Co. now owns 2,325 shares of the utilities provider’s stock valued at $26,000 after buying an additional 1,365 shares in the last quarter. Smartleaf Asset Management LLC grew its stake in shares of Hawaiian Electric Industries by 334.4% in the fourth quarter. Smartleaf Asset Management LLC now owns 2,576 shares of the utilities provider’s stock valued at $32,000 after buying an additional 1,983 shares in the last quarter. Larson Financial Group LLC increased its holdings in Hawaiian Electric Industries by 242.2% during the third quarter. Larson Financial Group LLC now owns 2,741 shares of the utilities provider’s stock worth $30,000 after buying an additional 1,940 shares during the last quarter. Finally, PNC Financial Services Group Inc. raised its position in Hawaiian Electric Industries by 461.8% during the fourth quarter. PNC Financial Services Group Inc. now owns 3,163 shares of the utilities provider’s stock worth $39,000 after acquiring an additional 2,600 shares in the last quarter. 59.91% of the stock is currently owned by institutional investors.

About Hawaiian Electric Industries

Hawaiian Electric Industries, Inc is a diversified holding company operating in the energy and financial services sectors in the state of Hawaii. Its principal subsidiary, Hawaiian Electric Company, provides generation, transmission, distribution and customer service to the island of Oahu, while its Maui Electric and Hawaii Electric Light Company subsidiaries serve Maui, Molokai, Lanai and Hawaii Island. The roots of the electric utility business trace back to 1891 when service first commenced in Honolulu.

Through its subsidiary Hawaii Gas, HEI extends its energy portfolio to include the distribution of natural gas and propane, supporting residential, commercial and industrial customers across the islands.