Here's Why EVRG Stock Deserves a Spot in Your Portfolio Right Now

Evergy, Inc. EVRG is expanding its operations in the transmission market through collaborations, strategic acquisitions and partnerships. The company also aims to add more renewable assets to its portfolio to achieve carbon neutrality by 2045.Let us focus on the reasons that make this Zacks Rank #2 (Buy) stock a strong investment pick in the Zacks Utility-Electric Power industry.EVRG’s Growth OutlookThe Zacks Consensus Estimate for 2025 earnings per share (EPS) has remained unchanged at $4.01, while that for 2026 EPS has increased 0.47% to $4.28 over the past 60 days.The Zacks Consensus Estimate for 2025 revenues is pegged at $5.95 billion, suggesting year-over-year improvement of 1.80%. The consensus mark for 2026 revenues is pinned at $6.23 billion, implying year-over-year growth of 4.59%.EVRG’s long-term (three to five years) earnings growth rate is 5.78%.EVRG’s Capital Return ProgramEVRG has been increasing shareholder value by steadily paying dividends. Currently, the company’s quarterly dividend is 69.5 cents per share, resulting in an annualized dividend of $2.78. EVRG’s current dividend yield is 3.61%, better than the Zacks S&P 500 composite's average of 1.12%.EVRG’s Debt StructureThe Utilities sector is capital-intensive, requiring substantial investments at regular intervals to upgrade, maintain, and expand operations. The usage of new evolving technology also requires investments. The Federal Reserve has lowered the interest rates to a range of 3.75-4%, which will benefit the utilities.Currently, EVRG’s total debt to capital is 55.84%, better than the industry’s average of 59.51%.EVRG’s Times Interest Earned RatioEvergy’s times interest earned ratio (TIE) at the end of the third quarter of 2025 was 2.5. The TIE ratio is a key solvency metric that indicates how effectively a company can meet its long-term debt obligations, showing the extent to which its operating earnings are sufficient to cover interest payments.EVRG’s Share Price PerformanceOver the past year, EVRG’s shares have risen 18.8%, outperforming the industry’s growth of 15.6%. Image Source: Zacks Investment ResearchOther Stocks to ConsiderA few other top-ranked stocks from the same industry are Ameren Corporation AEE, Entergy Corporation ETR and Edison International EIX, each carrying a Zacks Rank #2 at present. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.AEE’s long-term earnings growth rate is 8.52%. The Zacks Consensus Estimate for 2025 EPS is pegged at $4.99, which suggests year-over-year growth of 7.78%.ETR’s long-term earnings growth rate is 10.21%. The Zacks Consensus Estimate for 2025 EPS is pegged at $3.90, which suggests year-over-year growth of 6.85%. EIX’s long-term earnings growth rate is 10.93%. The Zacks Consensus Estimate for 2025 EPS is pegged at $6.10, which suggests year-over-year growth of 23.73%.  Beyond Nvidia: AI's Second Wave Is HereThe AI revolution has already minted millionaires. But the stocks everyone knows about aren't likely to keep delivering the biggest profits. Little-known AI firms tackling the world's biggest problems may be more lucrative in the coming months and years.See "2nd Wave" AI stocks now >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Ameren Corporation (AEE): Free Stock Analysis Report Entergy Corporation (ETR): Free Stock Analysis Report Edison International (EIX): Free Stock Analysis Report Evergy Inc. (EVRG): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).Zacks Investment ResearchWeiter zum vollständigen Artikel bei Zacks Weiter zum vollständigen Artikel bei Zacks