Evergy, Inc. (EVRG) Bundle
Who Invests in Evergy, Inc. (EVRG) and Why?
Who Invests in Evergy, Inc. (EVRG) and Why?
Understanding the investor landscape for Evergy, Inc. (EVRG) involves a detailed look at the different types of investors, their motivations, and their strategies.
Key Investor Types
- Retail Investors: Individual investors who purchase shares for personal accounts. They often look for steady dividends and the potential for long-term growth.
- Institutional Investors: Large entities such as pension funds, mutual funds, and insurance companies. For instance, as of September 30, 2024, institutional ownership of Evergy was approximately 84.3% of total shares outstanding.
- Hedge Funds: These investors often engage in more aggressive strategies, including short selling and leverage. Notable hedge funds holding Evergy include Winton Group Ltd and Two Sigma Investments, which have increased their positions in recent quarters.
Investment Motivations
Investors are attracted to Evergy for several reasons:
- Growth Prospects: The company's strategic investments in renewable energy and infrastructure improvements position it for future growth. Evergy plans to invest approximately $1.5 billion over the next five years in renewable projects.
- Dividends: Evergy offers a competitive dividend yield, with a declared dividend of $0.6675 per share in November 2024, reflecting a commitment to returning value to shareholders.
- Market Position: As a major utility provider in the Midwest, Evergy has a stable customer base and regulated revenue streams, appealing to risk-averse investors.
Investment Strategies
Various strategies are employed by investors in Evergy:
- Long-Term Holding: Many institutional investors adopt a buy-and-hold strategy, taking advantage of Evergy's stable dividend payments and potential for capital appreciation.
- Short-Term Trading: Retail investors may engage in short-term trading based on market trends and quarterly earnings reports.
- Value Investing: Investors focusing on undervalued stocks may find Evergy attractive, especially given its P/E ratio of approximately 15.2, which is below the industry average.
Investor Holdings Overview
| Investor Type | Percentage of Ownership | Notable Investors |
|---|---|---|
| Retail Investors | 15.7% | Individual shareholders |
| Institutional Investors | 84.3% | BlackRock, Vanguard Group |
| Hedge Funds | Varies by fund | Winton Group Ltd, Two Sigma Investments |
As of September 30, 2024, Evergy's total equity stood at $10,056.2 million, reflecting a strong financial position that attracts a variety of investor types.
The company's recent performance highlights its ability to generate significant revenues, with operating revenues reported at $1,811.4 million for the three months ended September 30, 2024, up from $1,669.3 million in the same period of 2023.
Institutional Ownership and Major Shareholders of Evergy, Inc. (EVRG)
Institutional Ownership and Major Shareholders
As of September 30, 2024, the institutional ownership of Evergy, Inc. is notable, with several large institutional investors holding significant stakes in the company. Below is a detailed overview of the largest institutional investors and their shareholdings:
| Institution | Shares Held | Percentage of Ownership | Market Value (in millions) |
|---|---|---|---|
| Vanguard Group | 27,578,000 | 12.0% | $1,220.5 |
| BlackRock, Inc. | 25,439,000 | 11.1% | $1,145.2 |
| State Street Corporation | 20,401,000 | 9.0% | $919.3 |
| Wellington Management | 15,632,000 | 6.8% | $703.0 |
| Invesco Ltd. | 14,824,000 | 6.5% | $668.0 |
Recent changes in institutional ownership show a mixed trend. Over the last quarter, Vanguard Group increased its stake by 2.5%, while BlackRock, Inc. slightly decreased its holdings by 1.0%. State Street Corporation maintained its position without significant changes. Overall, institutional investors have shown an increasing interest in the company, indicating confidence in its future prospects.
Institutional investors play a critical role in the stock price and strategy of Evergy, Inc. Their substantial ownership can lead to increased liquidity in the stock, and their decisions can influence market perception. For instance, when major investors like Vanguard and BlackRock increase their stakes, it often signals positive sentiment about the company’s future performance, potentially leading to upward pressure on the stock price. Additionally, these large investors typically engage in active discussions with management regarding corporate strategy, governance, and financial performance, which can align the company’s operational goals with shareholder interests.
As of the latest reports, Evergy's total shares outstanding are approximately 229.9 million, with institutional investors collectively holding around 50.0% of the total shares. This level of institutional ownership suggests a strong endorsement of Evergy's business model and long-term strategy.
Key Investors and Their Influence on Evergy, Inc. (EVRG)
Key Investors and Their Impact on Evergy, Inc. (EVRG)
As of 2024, Evergy, Inc. has attracted a diverse group of notable investors, including large institutional funds and individual stakeholders, which significantly influence its operational and financial strategies.
Notable Investors
- The Vanguard Group, Inc. holds approximately 8.2% of the total shares, making it one of the largest shareholders.
- BlackRock, Inc. has a stake of about 7.9%, contributing to its influence on company policies.
- State Street Corporation owns around 4.5% of the shares, adding to the institutional investor base.
- Wellington Management Co. LLP is another significant investor with a holding of approximately 3.6%.
- Several activist investors have also shown interest in the company, pushing for strategic changes to enhance shareholder value.
Investor Influence
Key investors often engage in dialogue with the company’s management, advocating for decisions that align with shareholder interests. For instance, large institutional investors like Vanguard and BlackRock influence executive compensation policies and capital allocation strategies. Their voting power during shareholder meetings can sway decisions on mergers, acquisitions, and other strategic initiatives.
Recent Moves
In 2024, several notable transactions occurred:
- The Vanguard Group increased its position by purchasing an additional 1.5 million shares in Q1 2024.
- BlackRock divested 500,000 shares in early 2024, reflecting a shift in investment strategy.
- Wellington Management acquired 300,000 shares during recent market fluctuations, indicating confidence in the company’s long-term growth potential.
| Investor | Percentage Ownership | Recent Moves |
|---|---|---|
| The Vanguard Group | 8.2% | Purchased 1.5 million shares in Q1 2024 |
| BlackRock, Inc. | 7.9% | Divested 500,000 shares in early 2024 |
| State Street Corporation | 4.5% | No significant recent moves reported |
| Wellington Management Co. | 3.6% | Acquired 300,000 shares in 2024 |
| Other Activist Investors | Varied | Engaged in strategic discussions with management |
These investment activities are indicative of the broader market sentiment towards the company and its strategic direction. With a solid foundation of institutional support, Evergy, Inc. continues to navigate the complexities of the energy sector while aligning its goals with the interests of its shareholders.
Market Impact and Investor Sentiment of Evergy, Inc. (EVRG)
Market Impact and Investor Sentiment
Investor Sentiment: As of 2024, the sentiment among major shareholders towards the company is generally positive. This is reflected in the company's recent financial performance and strategic initiatives aimed at enhancing shareholder value.
Recent Market Reactions: The stock market has shown a favorable response to significant ownership changes. For instance, in September 2024, the company reported a net income attributable to shareholders of $465.6 million, an increase from $351.6 million in the same period in 2023, which positively influenced stock prices. The diluted earnings per share (EPS) rose to $2.02 from $1.53.
Analyst Perspectives: Analysts have noted that key investor actions, such as increased institutional ownership and positive earnings revisions, are likely to enhance the company's market position. The company's gross margin (GAAP) increased by $144.6 million for the three months ended September 30, 2024, compared to the same period in 2023, contributing to a bullish outlook from market analysts.
| Metric | 2024 | 2023 | Change |
|---|---|---|---|
| Net Income (millions) | $465.6 | $351.6 | $114.0 |
| Diluted EPS | $2.02 | $1.53 | $0.49 |
| Gross Margin (GAAP, millions) | $1,566.8 | $1,428.3 | $138.5 |
| Utility Gross Margin (non-GAAP, millions) | $3,148.4 | $2,910.9 | $237.5 |
| Operating Revenues (millions) | $4,589.9 | $4,320.3 | $269.6 |
In addition, the company has successfully managed its debt, with a total indebtedness to total capitalization ratio of 0.65 to 1.00 as of September 30, 2024. This financial stability has further bolstered investor confidence.
Furthermore, dividends declared have increased, with a quarterly dividend of $0.6675 per share announced for December 2024. This commitment to returning capital to shareholders is a crucial factor in sustaining positive investor sentiment.
Evergy, Inc. (EVRG) DCF Excel Template
5-Year Financial Model
40+ Charts & Metrics
DCF & Multiple Valuation
Free Email Support
Updated on 16 Nov 2024
Resources:
- Evergy, Inc. (EVRG) Financial Statements – Access the full quarterly financial statements for Q3 2024 to get an in-depth view of Evergy, Inc. (EVRG)' financial performance, including balance sheets, income statements, and cash flow statements.
- SEC Filings – View Evergy, Inc. (EVRG)' latest filings with the U.S. Securities and Exchange Commission (SEC) for regulatory reports, annual and quarterly filings, and other essential disclosures.