Company profile

Ticker
CNP, CNP+B
Exchange
CEO
David J. Lesar
Employees
Incorporated
Location
Fiscal year end
Industry (SIC)
Former names
RELIANT ENERGY REGCO INC
SEC CIK
IRS number
740694415

CNP stock data

(
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Calendar

6 Aug 20
22 Sep 20
31 Dec 20

News

Quarter (USD) Jun 20 Mar 20 Sep 19 Jun 19
Revenue
Cost of revenue
Operating income
Operating margin
Net income
Net profit margin
Cash on hand
Change in cash
Diluted EPS
Annual (USD) Dec 19 Dec 18 Dec 17 Dec 16
Revenue
Cost of revenue
Operating income
Operating margin
Net income
Net profit margin
Cash on hand
Change in cash
Diluted EPS

Financial data from company earnings reports.

Date Owner Security Transaction Code 10b5-1 $Price #Shares $Value #Remaining
17 Aug 20 Gregory E. Knight Common Stock Grant Aquire A No 0 25,802 0 40,417
28 Jul 20 Lynne Louise Harkel-Rumford Common Stock Grant Aquire A No 0 2,605 0 29,020
28 Jul 20 Monica Karuturi Common Stock Grant Aquire A No 0 4,713 0 19,710
85.3% owned by funds/institutions
13F holders
Current Prev Q Change
Total holders 510 523 -2.5%
Opened positions 77 78 -1.3%
Closed positions 90 118 -23.7%
Increased positions 149 190 -21.6%
Reduced positions 201 179 +12.3%
13F shares
Current Prev Q Change
Total value 8.82B 6.42B +37.3%
Total shares 464.46M 412.31M +12.6%
Total puts 15.21M 1.51M +909.4%
Total calls 1.17M 1.25M -6.3%
Total put/call ratio 13.0 1.2 +977.2%
Largest owners
Shares Value Change
Vanguard 60.74M $1.13B -0.3%
BLK BlackRock 44.42M $829.41M +2.4%
STT State Street 31.24M $583.22M +2.8%
FMR 29.28M $546.71M +88.9%
Nuveen Asset Management 22.08M $412.24M +627.9%
N Price T Rowe Associates 21.67M $404.58M -45.4%
Boston Partners 14.93M $278.92M +6503.8%
Capital Research Global Investors 10.19M $190.23M NEW
Massachusetts Financial Services 9.59M $179.09M +27.5%
Geode Capital Management 8.6M $160.29M +8.8%
Largest transactions
Shares Bought/sold Change
Nuveen Asset Management 22.08M +19.05M +627.9%
N Price T Rowe Associates 21.67M -17.99M -45.4%
Boston Partners 14.93M +14.71M +6503.8%
FMR 29.28M +13.78M +88.9%
DB Deutsche Bank 1.11M -10.43M -90.4%
Capital Research Global Investors 10.19M +10.19M NEW
Citadel Advisors 1.72M -9.06M -84.1%
BX Blackstone 7.59M +7.59M NEW
Renaissance Technologies 244.3K -7.44M -96.8%
Epoch Investment Partners 0 -7.44M EXIT

Financial report summary

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Risks
  • CenterPoint Energy is a holding company with no operations or operating assets of its own. As a result, CenterPoint Energy depends on the performance of and distributions from its subsidiaries and from Enable to meet its payment obligations and to pay dividends on its common and preferred stock, and provisions of applicable law or contractual restrictions could limit the amount of those distributions.
  • The imposition of certain ring-fencing measures at Houston Electric could adversely affect CenterPoint Energy’s cash flows, credit quality, financial condition and results of operations.
  • Changes in the method of determining LIBOR, or the replacement of LIBOR with an alternative reference rate, may adversely affect the cost of capital related to outstanding debt and other financial instruments.
  • An impairment of goodwill, long-lived assets, including intangible assets, equity method investments and an impairment or fair value adjustment to CenterPoint Energy’s Enable Series A Preferred Unit investment could reduce our earnings.
  • Changing demographics, poor investment performance of pension plan assets and other factors adversely affecting the calculation of pension liabilities could unfavorably impact our results of operations, liquidity and financial position.
  • The costs of providing health care benefits to our employees and retirees may increase substantially and adversely affect our results of operations and financial condition.
  • The use of derivative contracts in the normal course of business by the Registrants or Enable could result in financial losses that could negatively impact the Registrants’ results of operations and those of Enable.
  • If CenterPoint Energy redeems the ZENS prior to their maturity in 2029, its ultimate tax liability and redemption payments would result in significant cash payments, which would adversely impact its cash flows. Similarly, a significant amount of exchanges of ZENS by ZENS holders could adversely impact CenterPoint Energy’s cash flows.
  • Dividend requirements associated with the Series A Preferred Stock and the Series B Preferred Stock that CenterPoint Energy issued to fund a portion of the Merger subject it to certain risks.
  • Rate regulation of Houston Electric’s and Indiana Electric’s businesses may delay or deny their ability to earn an expected return and fully recover their costs.
  • Disruptions at power generation facilities owned by third parties could interrupt Houston Electric’s sales of transmission and distribution services.
  • Houston Electric’s and Indiana Electric’s revenues and results of operations are seasonal.
  • Indiana Electric’s execution of its IRP and its regulated power supply operations are subject to various risks, including timely recovery of capital investments, increased costs and facility outages or shutdowns.
  • Houston Electric and Indiana Electric, as a member of ERCOT and MISO, respectively, could be subject to higher costs for system improvements, as well as fines or other sanctions as a result of mandatory reliability standards.
  • Houston Electric’s receivables are primarily concentrated in a small number of REPs, and any delay or default in such payments could adversely affect Houston Electric’s cash flows, financial condition and results of operations.
  • Rate regulation of NGD may delay or deny its ability to earn an expected return and fully recover its costs.
  • Access to natural gas supplies and pipeline transmission and storage capacity are essential components of reliable service for NGD’s customers.
  • NGD and CES are subject to fluctuations in notional natural gas prices as well as geographic and seasonal natural gas price differentials, which could affect the ability of their suppliers and customers to meet their obligations or otherwise adversely affect their liquidity, results of operations and financial condition.
  • A decline in CERC’s credit rating could result in CERC having to provide collateral under its shipping or hedging arrangements or to purchase natural gas, which consequently would increase its cash requirements and adversely affect its financial condition.
  • NGD’s and CES’s revenues and results of operations are seasonal.
  • The states in which NGD provides service may, either through legislation or rules, adopt restrictions regarding organization, financing and affiliate transactions that could have significant adverse impacts on NGD’s ability to operate.
  • NGD and CES must compete with alternate energy sources, which could result in less natural gas marketed and have an adverse impact on our results of operations, financial condition and cash flows.
  • Infrastructure Services’ and ESG’s operations could be adversely affected by a number of factors.
  • ESG’s business has performance and warranty obligations, some of which are guaranteed by CenterPoint Energy.
  • CenterPoint Energy’s cash flows will be adversely impacted if it receives less cash distributions from Enable than it currently expects or if it reduces its ownership in Enable.
  • The amount of cash Enable has available for distribution to CenterPoint Energy on its common units and the Enable Series A Preferred Units depends primarily on its cash flow rather than on its profitability, which may prevent Enable from making distributions, even during periods in which Enable records net income.
  • Enable is required to, or may at its option, redeem the Enable Series A Preferred Units in certain circumstances, and Enable may not have sufficient funds to redeem the Enable Series A Preferred Units if required to do so.
  • CenterPoint Energy is not able to exercise control over Enable, which entails certain risks.
  • Although CenterPoint Energy jointly controls Enable with OGE, CenterPoint Energy may have conflicts of interest with Enable that could subject it to claims that CenterPoint Energy has breached its fiduciary duty to Enable and its unitholders.
  • Enable is subject to various operational risks, all of which could affect Enable’s ability to make cash distributions to CenterPoint Energy.
  • Enable conducts a portion of its operations through joint ventures, which subject it to additional risks that could adversely affect the success of these operations and Enable’s financial position, results of operations and ability to make cash distributions.
  • Under certain circumstances, Enbridge Inc. could have the right to purchase Enable’s ownership interest in SESH at fair market value.
  • Enable’s ability to grow is dependent in part on its ability to access external financing sources on acceptable terms.
  • Enable’s debt levels may limit its flexibility in obtaining additional financing and in pursuing other business opportunities.
  • Enable’s credit facilities contain operating and financial restrictions, including covenants and restrictions that may be affected by events beyond Enable’s control, which could adversely affect its financial condition, results of operations and ability to make distributions.
  • Enable’s businesses are exposed to various regulatory risks.
  • The success of the Merger depends, in part, on CenterPoint Energy’s ability to realize anticipated benefits and conduct an effective integration process.
  • Cyber-attacks, physical security breaches, acts of terrorism or other disruptions could adversely impact our or Enable’s reputation, results of operations, financial condition and/or cash flows.
  • Failure to maintain the security of personally identifiable information could adversely affect us.
  • We are subject to operational and financial risks and liabilities arising from environmental laws and regulations.
  • Our insurance coverage may not be sufficient. Insufficient insurance coverage and increased insurance costs could adversely impact our results of operations, financial condition and cash flows.
  • Our results of operations, financial condition and cash flows may be adversely affected if we are unable to successfully operate our facilities or perform certain corporate functions.
  • Our and Enable’s success depends upon our and Enable’s ability to attract, effectively transition, motivate and retain key employees and identify and develop talent to succeed senior management.
  • Failure to attract and retain an appropriately qualified workforce could adversely impact our and Enable’s results of operations.
  • Climate change legislation and regulatory initiatives could result in increased operating costs and reduced demand for our or Enable’s services, including certain local initiatives to prohibit new NGD service and increase electrification initiatives.
  • Climate changes could adversely impact financial results from our and Enable’s businesses and result in more frequent and more severe weather events that could adversely affect the results of operations of our businesses.
  • NGD and Enable may incur significant costs and liabilities resulting from pipeline integrity and other similar programs and related repairs.
  • Aging infrastructure may lead to increased costs and disruptions in operations that could negatively impact our financial results.
  • The operation of our facilities depends on good labor relations with our employees.
  • Our businesses will continue to have to adapt to technological change and may not be successful or may have to incur significant expenditures to adapt to technological change.
  • Our or Enable’s potential business strategies and strategic initiatives, including merger and acquisition activities and the disposition of assets or businesses, may not be completed or perform as expected.
  • We are involved in numerous legal proceedings, the outcomes of which are uncertain, and resolutions adverse to us could negatively affect our financial results.
  • The Registrants could incur liabilities associated with businesses and assets that they have transferred to others.
  • We are exposed to risks related to reduction in energy consumption due to factors such as unfavorable economic conditions in our service territories and changes in customers’ perceptions from recent incidents of other utilities involving natural gas pipelines.
Management Discussion
  • 2019 Compared to 2018.  The Houston Electric T&D reportable segment reported operating income of $624 million for 2019, consisting of $590 million from the TDU and $34 million related to the Bond Companies. For 2018, operating income totaled $623 million, consisting of $568 million from the TDU and $55 million related to the Bond Companies.
  • Lower depreciation and amortization expenses related to AMS of $28 million were offset by a corresponding decrease in related revenues.
  • 2018 Compared to 2017.  The Houston Electric T&D reportable segment reported operating income of $623 million for 2018, consisting of $568 million from the TDU and $55 million related to the Bond Companies. For 2017, operating income totaled $636 million, consisting of $561 million from the TDU and $75 million related to the Bond Companies.
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