Prudential Financial Inc. has significantly reduced its stake in Avista Corporation (NYSE: AVA) by 32.7% during the second quarter of 2024. According to its latest filing with the Securities and Exchange Commission (SEC), the financial services firm now owns 444,305 shares of the utilities provider after selling 215,691 shares. This reduction leaves Prudential with a 0.55% ownership in Avista, valued at approximately $16.86 million at the end of the quarter.
Several other institutional investors have also adjusted their holdings in Avista. For instance, Cetera Investment Advisers increased its stake by 9.1% in the first quarter, acquiring an additional 2,617 shares, bringing its total ownership to 31,339 shares valued at $1.31 million. Similarly, Zurcher Kantonalbank Zurich Cantonalbank expanded its position by 5.2%, owning 21,290 shares now worth approximately $891,000.
Another notable change came from LPL Financial LLC, which enhanced its position by a remarkable 42.3%, resulting in ownership of 50,210 shares valued at about $2.1 million. In contrast, Mackenzie Financial Corp entered the fray with a new stake valued at $390,000. The most staggering increase was reported by Picton Mahoney Asset Management, which lifted its holdings by an astonishing 129,436.7%, now owning 38,861 shares worth $1.63 million. Institutional investors currently hold 85.24% of Avista’s stock.
Analysts Weigh In on Avista’s Performance
Recent reports from several equities research analysts have assessed Avista’s stock performance. Mizuho set a price target of $42.00 for Avista in a report dated November 6, 2024. Meanwhile, Wells Fargo & Company upgraded its rating to “hold” on October 28, 2024. Jefferies Financial Group also raised its price target from $40.00 to $41.00, maintaining a “hold” rating. Currently, three research analysts have rated Avista with a “hold” rating, and the company has a consensus rating of “hold” with an average price target of $40.33, according to MarketBeat.
In related insider transactions, Vice President David J. Meyer sold 1,367 shares on September 5, 2024, at an average price of $36.72 per share, totaling $50,196.24. Following this transaction, Meyer holds 8,394 shares valued at approximately $308,227.68, reflecting a decrease of 14% in his ownership. Conversely, Senior Vice President Bryan Alden Cox purchased 3,671 shares on September 16, 2024, at an average price of $35.55 per share, for a total cost of $130,504.05. Cox’s acquisition increased his holdings by 58.1%, resulting in ownership of 9,989 shares valued at around $355,108.95. Currently, company insiders own 0.94% of Avista’s stock.
Avista’s Financial and Market Performance
As of Thursday, the NYSE AVA opened at $41.47. The company’s moving averages indicate a 50-day average of $38.79 and a 200-day average of $37.96. Financial metrics reveal a quick ratio of 0.68, a current ratio of 1.00, and a debt-to-equity ratio of 1.06. Avista’s market capitalization stands at $3.37 billion, with a price-to-earnings (PE) ratio of 18.68 and a price-to-earnings-growth (PEG) ratio of 2.14. The stock has seen a 12-month low of $34.80 and a high of $43.09.
On November 5, 2024, Avista announced its earnings results, reporting an earnings per share (EPS) of $0.36 for the quarter, surpassing the consensus estimate of $0.27 by $0.09. The company achieved a net margin of 9.13% and a return on equity of 6.86%. Compared to the previous year, Avista’s quarterly revenue increased by 2.6%. For fiscal year 2025, Avista provided guidance of EPS between $2.520 and $2.720, with analysts projecting an EPS of $2.30 for the current fiscal year.
In addition to its financial results, Avista has recently declared a quarterly dividend of $0.49, payable on December 15, 2024, to shareholders of record on November 24, 2024. This dividend represents an annualized payout of $1.96 and a yield of 4.7%, with a dividend payout ratio of 83.40%.
Avista Corporation operates as an electric and natural gas utility company, providing essential services across eastern Washington, northern Idaho, and parts of Oregon. Its diverse operations include both distribution and generation of electricity, ensuring steady service to its customers.
