Analysts highlight DTE Energy’s 8% CAGR potential from data center deals and 2 GW pipeline as key growth drivers.
Jefferies maintained a Buy rating on DTE Energy (NYSE:DTE) but lowered its price target to $168 from $170. The firm cited the company’s data center agreements and a pending rate case proposal as reducing risk for the stock.
DTE’s data center deals support an 8% or higher compound annual growth rate, while 2 gigawatts in late-stage negotiations could further boost its pipeline. The stock trades at a 4% discount to peers based on price-to-earnings ratios.
DTE serves 2.3 million electricity customers and 1.4 million natural gas customers in Michigan, with investments in decarbonization and infrastructure modernization.