KeyBanc raises target on Expand Energy due to cash return shift and strong ROE trajectory

From Yahoo Finance: 2025-06-23 12:16:00

KeyBanc Capital Markets increased its price target on Expand Energy (NASDAQ: EXE) from $130 to $135 on June 13, maintaining an Overweight rating. Analysts see a “cash return inflection point” for the company, expecting strong ROE. The firm noted Expand’s lack of exposure to pre-2020 reserve issues as a potential driver for stock growth over the next year.

The bullish stance is supported by EPS estimates of $1.65 for 2025, $2.05 for 2026, and $2.40 for 2027. KeyBanc expects a healthy casualty market and conservative underwriting on new losses. The firm highlighted Expand’s tech-powered E&S platform targeting small accounts as a critical driver for rerating potential.

KeyBanc emphasized Expand Energy’s potential for steady mid-teens ROE. The analyst’s positive outlook is based on the company’s lack of exposure to pre-2020 reserve issues and expectations for a relatively healthy casualty market. The firm sees Expand’s tech-powered E&S platform as a key factor driving rerating potential and stock growth.



Read more at Yahoo Finance: KeyBanc Lifts Target on Expand Energy, Sees Cash Return Shift and Strong ROE Path