We use cookies to analyze site traffic and improve your experience.
By accepting, you consent to the use of analytics cookies.

NJR:NYSENewJersey Resources Corporation Analysis

Data as of 2026-06-17 - not real-time

$54.75

Latest Price

5/10Risk

Risk Level: Medium

Executive Summary

New Jersey Resources trades around $54.75, well above its DCF‑derived fair value of $30.5, yet analysts project a median target near $61, implying modest upside. The stock delivers a solid 3.48% dividend yield with a 55.6% payout ratio, supported by stable operating margins (~32%) and modest revenue growth (~2.9%). Recent earnings beat, an upgraded price target to $63, and a strategic push into clean‑energy projects underscore growth potential, while a negative beta (~‑0.25) and moderate 30‑day volatility (~19.6%) suggest limited market‑wide risk.
The balance of strong dividend sustainability, regulatory‑backed utility earnings, and emerging clean‑energy initiatives positions NJR as a blend‑oriented, income‑focused play, though current pricing appears stretched relative to intrinsic estimates, warranting a cautious stance pending further valuation convergence.

Market Outlook

Short Term

< 1 year
Neutral
Model confidence: 6/10

Key Factors

  • Price near technical support (~$53) with bearish MACD histogram
  • RSI in neutral range (~45) indicating limited upside momentum
  • Stable trading volume reducing short‑term price volatility

Medium Term

1–3 years
Positive
Model confidence: 8/10

Key Factors

  • Analyst upgrade and raised price target to $63 reflecting earnings beat
  • Growing clean‑energy venture pipeline and regulatory milestones
  • Attractive dividend yield and payout ratio supporting cash‑flow confidence

Long Term

> 3 years
Neutral
Model confidence: 7/10

Key Factors

  • Regulated utility backbone providing predictable revenue streams
  • Decarbonization strategy aligning with long‑term energy transition trends
  • High leverage (debt‑to‑equity >140) may limit future capital flexibility

Key Metrics & Analysis

Financial Health

Revenue Growth2.90%
Profit Margin15.67%
P/E Ratio16.2
ROE13.32%
ROA4.25%
Debt/Equity142.14
P/B Ratio2.1
Op. Cash Flow$641.6M
Free Cash Flow$-306034624
Industry P/E20.7

Technical Analysis

TrendNeutral
RSI45.7
Support$52.96
Resistance$58.57
MA 20$55.52
MA 50$55.94
MA 200$50.55
MACDBearish
VolumeStable
Fear & Greed Index92.13

Valuation

Fair Value$30.52
Target Price$60.14
Upside/Downside9.85%
GradeOvervalued
TypeBlend
Dividend Yield3.48%

Risk Assessment

Beta-0.25
Volatility19.65%
Sector RiskLow
Reg. RiskMedium
Geo RiskLow
Currency RiskLow
Liquidity RiskMedium

This analysis may contain inaccuracies and is provided for informational and research purposes only. It is not personal investment advice, a recommendation, or an instruction to buy, sell, or hold any asset.