FE: FE NDR: GenCo or Not, Clearing Up Some Misconceptions…

Research evidence excerpt

FE: FE NDR: GenCo or Not, Clearing Up Some Misconceptions…

Equity Research

Company Update — June 8, 2026

Regulated Electric Utilities

FirstEnergy Corp.

FE NDR: GenCo or Not, Clearing Up Some Misconceptions… Overweight

Price Target: $55.00

Our Call Ticker FE

Upside/(Downside) to Target 18.5%

Our FE CEO/CFO NDR was well attended, and messaging was generally consistent across

the two days. The stock was under some pressure on the 2nd day during our group Price (06/05/2026) $46.42

meetings; we are clearing up some misconceptions following additional mgmt follow-ups. 52 Week Range $39.28 - 52.34

Market Cap (MM) $26,924

While we wouldn’t usually focus so much on one facet of an NDR as so much was Average Daily Value (MM) $232

discussed with FE such as transmission opportunities in PJM; PA, OH, WV regulation; WV Dividend Yield 3.8%

generation opportunities and growth thereafter, with potential updates to guidance, in

our view – this one facet (i.e., WV GenCo) of the story created pressure on shares which we $ (Dec) Q1 Q2 Q3 Q4 FY

do not agree with and a portion of this note is dedicated as such. Maintain our OW rating EPS

and $55 PT. 2026E 0.72 A 0.56 E 0.88 E 0.59 E 2.75 E

2027E 0.74 E 0.61 E 0.92 E 0.68 E 2.95 E

A bit of confusion in the room? We caught up with the mgmt team following our two Source: Company Data, Wells Fargo Securities estimates, and Factset.

days of meetings and understand the disconnect now… we see a clearer pathway NA = Not Available, NC = No Change, NE = No Estimate

forward… We caught up with the mgmt team following our NDR to further clear up some

Shahriar (Shar) Pourreza, CFAmisconceptions around a potential GenCo opportunity in WV which investors inquired

about following prior comments at a competitor conference.