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Off-Radar NiSource Keeps Optionality For Electric Generation

Jan. 04, 2022 8:46 AM ETNiSource Inc. (NI)ES, NEE2 Comments


  • NiSource is a $10.8 billion holding company for six utilities, five of which are local distribution companies (LDCs) supplying natural gas and one which supplies both gas and electricity.
  • The company offers a 3.2% dividend, a low beta, long-term growth from an established, industrial customer base, and nearby natural gas supply.
  • Following energy insecurity events like the European natural gas shortage and Winter Storm Uri, NiSource is appropriately maintaining optionality on coal unit shutdowns to ensure adequate reliability and replacement generation.
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Gas and electric energy types

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NiSource Inc. (NYSE:NI) comprises five Columbia Midwestern and mid-Atlantic gas local distribution utility companies (LDCs) and one gas and electric utility, NIPSCO. The company offers investors a 3.2% dividend and a stable, low beta of 0.32.

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Analyst’s Disclosure: I/we have a beneficial long position in the shares of NEE either through stock ownership, options, or other derivatives. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.

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