Nisource Inc. (NI)

Price$40.58Cached quoteAs of 2026-09-19 15:43 UTC

AI: Fair-priced

Price checkThe shares look fairly priced because strong growth prospects offset heavy debt and financing needs.

NiSource closed at $41.63 on August 19, 2026, the latest completed session before this review. Using June's 479.5 million shares gives a market value near $20.0 billion. Management's 2026 adjusted earnings guidance of $2.02-$2.07 per share puts the stock near 20 times expected earnings. June book value was about $20 per share, so investors pay roughly twice reported equity. That is a premium utility valuation, but management's 9%-10% long-term earnings-growth target makes it defensible if financing costs remain controlled.

Big pictureRegulated utility earnings are dependable, but rapid infrastructure growth consumes more cash than operations currently produce.

Net income rose from a small loss in 2020 to $930 million in 2025, while operating cash flow more than doubled to $2.36 billion. However, 2025 capital spending was $2.78 billion, exceeding operating cash flow, and the first half of 2026 showed the same pattern: $1.12 billion of operating cash flow against $1.90 billion of capital spending. This is normal for a fast-growing regulated utility because approved investments create future earnings, but it means dividends and expansion depend heavily on continued access to debt and equity funding.

Business strengthRegulated customer demand provides stability, while rising debt and share issuance dilute that defensive strength.

NiSource serves nearly four million regulated gas and electric customers, giving revenue substantial protection from ordinary economic cycles. Yet June debt reached $16.30 billion, compared with only $70 million of cash, and debt has climbed from $9.72 billion in 2020. Shares outstanding also increased from 391.8 million to 479.5 million, about 22%, showing that growth has required meaningful equity financing. There are effectively no recurring buybacks to offset dilution. The quarterly dividend is $0.30 per share, providing roughly a 2.9% annual yield at the observed price.

What could change the storyData-center demand could accelerate earnings, while expensive financing would reduce returns from the investment boom.

The bull case is northern Indiana's data-center buildout. NiSource now plans $28.6 billion of investment from 2026 through 2030, including $7.6 billion tied to strategic data-center infrastructure, supporting expected rate-base growth of 9%-11% and adjusted earnings growth of 9%-10% through 2033. Amazon and Alphabet agreements also promise about $1.4 billion of savings for existing customers. The bear case is financing: debt is already high and free cash flow is negative. Higher borrowing costs, additional share issuance or regulatory limits on allowed returns could materially reduce per-share benefits.

AI: News

Second-quarter profit fellQuarterly earnings declined despite intact long-term guidance, reminding investors that rapid growth carries near-term costs.

On August 5, 2026, NiSource reported second-quarter net income available to common shareholders of $45.5 million, or $0.09 per diluted share, versus $102.2 million and $0.22 a year earlier. Adjusted earnings were $0.16 per share versus $0.22. Management nevertheless reaffirmed 2026 adjusted earnings guidance of $2.02-$2.07 and 9%-10% annual growth through 2033. Shares fell 3.64% to $42.91 that day on unusually heavy volume, consistent with disappointment around the quarter, though price timing alone cannot establish full causation.

Data-center approvals securedRegulators approved major technology-customer agreements, reducing uncertainty around NiSource's fastest-growing investment opportunity.

On June 23, 2026, NiSource said regulators had approved key arrangements supporting its Amazon and Alphabet data-center strategy in northern Indiana. The agreements are expected to generate approximately $1.4 billion of savings for existing NIPSCO customers while allowing dedicated infrastructure investment for large technology loads. The approvals matter because regulatory cost recovery is central to utility economics: they make the planned data-center investments more executable while reducing the risk that ordinary customers must absorb costs created by new large-load users.

Tech power deals signedAlphabet and Amazon agreements gave NiSource a major new source of long-term electricity demand.

On April 16, 2026, NiSource announced a long-term power agreement with an Alphabet subsidiary for a large northern Indiana data center and expanded its existing Amazon agreement to accelerate power delivery. Alphabet service was expected to begin during summer 2026. NiSource's generation model is designed to dedicate resources to these large customers without shifting their costs onto existing customers. Shares rose roughly 3% after hours, a reaction consistent with investors assigning greater value to the data-center growth opportunity.

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Financial statements

	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015	2014	2013	2012	2011	2010	2009	2008
Revenue	$6.52B	$5.28B	$5.35B	$5.74B	$4.73B	$4.47B	$5.05B	$4.99B	$4.73B	$4.39B	$4.65B	$5.27B	$4.63B	$5.03B	$5.75B	$6.37B	$6.65B	$8.88B
Gross profit	$4.94B	$4.15B	$3.81B	$3.63B	$3.34B	$3.36B	$5.21B	$5.11B	$4.87B	$4.49B	$4.65B	$2.90B	$2.66B	$3.51B	$3.45B	$3.41B	$3.33B	$3.25B
Gross margin	75.71%	78.57%	71.33%	63.22%	70.57%	75.20%	103.08%	102.47%	103.05%	102.28%	100.00%	54.99%	57.56%	69.85%	59.95%	53.48%	50.12%	36.56%
Operating expenses	$4.81B	$4.00B	$4.21B	$4.58B	$3.89B	$4.13B	$4.32B	$4.99B	$3.95B	$3.63B	$3.85B	$2.11B	$1.96B	$2.51B	$2.55B	$2.53B	$2.55B	$2.34B
Operating income	$1.84B	$1.46B	$1.30B	$1.27B	$1.01B	$550.8M	$890.7M	$124.7M	$921.2M	$866.1M	$799.9M	$789.1M	$698.1M	$1.04B	$914.4M	$891.8M	$800.0M	$919.0M
Operating margin	28.14%	27.55%	24.22%	22.06%	21.28%	12.31%	17.63%	2.50%	19.47%	19.72%	17.20%	14.97%	15.09%	20.67%	15.90%	14.00%	12.03%	10.35%
EBITDA	$3.00B	$2.50B	$2.20B	$2.09B	$1.76B	$1.28B	$1.61B	$724.3M	$1.49B	$1.41B	$1.32B	$1.28B	$1.17B	$1.60B	$1.45B	$1.49B	$1.39B	$1.49B
EBITDA margin	46.04%	47.30%	41.21%	36.36%	37.10%	28.54%	31.82%	14.51%	31.53%	32.17%	28.47%	24.20%	25.26%	31.84%	25.21%	23.33%	20.90%	16.73%
Net income	$929.5M	$760.4M	$714.3M	$804.1M	$584.9M	−$17.6M	$383.1M	−$50.6M	$128.5M	$331.5M	$286.5M	$530.0M	$532.1M	$416.1M	$299.1M	$282.6M	$217.0M	$79.0M
Net profit margin	14.25%	14.39%	13.36%	14.01%	12.36%	−0.39%	7.58%	−1.01%	2.72%	7.55%	6.16%	10.05%	11.50%	8.27%	5.20%	4.44%	3.26%	0.89%
Basic EPSper basic share	$1.96	$1.63	$1.59	$1.84	$1.35	-$0.19	$0.88	-$0.18	$0.39	$1.03	$0.90	$1.68	$1.70	$1.43	$1.06	$1.02	$0.79	$0.29
Diluted EPSper diluted share	$1.95	$1.62	$1.48	$1.70	$1.27	-$0.19	$0.87	-$0.18	$0.39	$1.02	$0.90	$1.67	$1.70	$1.39	$1.03	$1.01	$0.78	$0.29

Review official source filings ↗

Owners

Reported shareholders

Reference date Jun 30, 2026

11.46%of listed shares

BlackRock, Inc.54.96M shares · Jun 30, 2026

View holders

Top 20 reported holders of NI
Holder	% owned
BlackRock, Inc.	11.46%54.96M shares
VANGUARD CAPITAL MANAGEMENT LLC	6.54%31.35M shares
T. Rowe Price Investment Management, Inc.	6.22%29.84M shares
STATE STREET CORP	5.76%27.62M shares
VANGUARD PORTFOLIO MANAGEMENT LLC	5.65%27.07M shares
GEODE CAPITAL MANAGEMENT, LLC	2.69%12.92M shares
DEUTSCHE BANK AG\	2.52%12.08M shares
FMR LLC	2.12%10.17M shares
JENNISON ASSOCIATES LLC	1.93%9.24M shares
Invesco Ltd.	1.62%7.79M shares
NORGES BANK	1.62%7.79M shares
JPMORGAN CHASE & CO	1.45%6.96M shares
FRANKLIN RESOURCES INC	1.24%5.93M shares
MORGAN STANLEY	1.16%5.58M shares
Newport Trust Company, LLC	1.13%5.42M shares
Pictet Asset Management Holding SA	1.04%5M shares
COHEN & STEERS, INC.	1.03%4.94M shares
CHARLES SCHWAB INVESTMENT MANAGEMENT INC	0.94%4.52M shares
Soroban Capital Partners LP	0.94%4.49M shares
NORTHERN TRUST CORP	0.92%4.42M shares

Percentages use 479.5M shares of this listed class outstanding on Jun 30, 2026.

Gray completes the 100% scale. Reported positions may overlap; holders have different reporting dates.

Source: SEC Form 13F ↗Updated Sep 29, 2026 · Quarterly data

Insider buys & sells

Jul 1, 2024–Jun 30, 2026

Buys0$0.00 disclosed value

Sells (SEC code S)17$6.32M disclosed value

Transaction	Insider	Type	Shares	Price	Value	Owned after
May 22, 2026Form 4	Berman Melanie B.EVP Administration & CHRO	SellCommon Stock	15.0K	$47.68	$715.2K	36.0K
May 21, 2026Form 4	Yates Lloyd MDirector and President & CEO	SellCommon Stock	19.9K	$47.73	$950.1K	519.6K
May 20, 2026Form 4	BIRMINGHAM MELODYEVP & Grp President, Utilities	SellCommon Stock	2.5K	$47.43	$118.6K	116.0K
May 14, 2026Form 4	BIRMINGHAM MELODYEVP & Grp President, Utilities	SellCommon Stock	10.0K	$47.19	$471.9K	117.9K
Feb 18, 2026Form 4	Gode GunnarSVP Chief Accting&Tax Officer	SellCommon Stock	2.2K	$46.00	$100.0K	29.3K

Review ownership filings at SEC.gov ↗

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Nisource Inc. (NI)

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