Exelon stock falls from near 13-year peak after analyst downgrades, citing BBB uncertainty


Shares of Exelon Corp. EXC, -1.19% pulled back 2.7% in afternoon trading Monday, putting them on track to snap an eight-session win streak, after Mizuho analyst Paul Fremont downgraded the utility services holding company, citing an uncertain outlook for President Biden’s “Build Back Better” plan. The stock had rallied 8.2% during the streak to close Friday at the highest price since February 2009. Mizuho’s Fremont cut his rating to neutral from buy, while pushing up his stock price target to $57 from $55. “While a BBB deal between Senator Manchin and the White House remains possible in the new year, prospects for passage of BBB are far from certain,” Fremont wrote in a note to clients. “We are therefore stepping to the sidelines on [Exelon] shares given added legislative uncertainty.” The stock has rallied 17.7% over the past three months, while the SPDR Utilities Select Sector ETF XLU, -0.99% has advanced 10.4% and the S&P 500 SPX, +0.64% has gained 9.7%.

Source: Marketwatch

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