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How Did WGL Holdings Perform Compared to Its Peers?

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WGL Holdings and its peers

In this article, we’ll compare WGL Holdings (WGL) to its industry peers:

  • The PE (price-to-earnings) ratios of WGL Holdings, FirstEnergy (FE), Pepco Holdings (POM), Atmos Energy (ATO), and NiSource (NI) are 17.5x, 25.9x, 28.7x, 19.5x, and 22.4x, respectively.

  • The PBV (price-to-book value) ratios of WGL, FirstEnergy, Pepco, Atmos Energy, and NiSource are 2.3x, 1.0x, 1.5x, 1.9x, and 1.6x, respectively.

According to the above findings, WGL’s peers have outperformed it based on PE. However, WGL is ahead of its peers based on PBV.

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ETFs that invest in WGL Holdings

The PowerShares DWA Utilities Momentum ETF (PUI) invests 2.0% of its holdings in WGL. The ETF tracks an index of US utility companies selected and weighted by price momentum.

The SPDR S&P Dividend ETF (SDY) invests 0.77% of its holdings in WGL. The ETF tracks a yield-weighted index of 50 dividend-paying companies from the S&P 1500 Composite Index that have increased their dividends for at least 20 consecutive years.

The WisdomTree SmallCap Dividend ETF (DES) invests 0.73% of its holdings in WGL. The ETF tracks an index of dividend-paying US stocks. The dividend-weighted index is a small-cap (small capitalization) subset of the WisdomTree Dividend Index.

WGL and its ETFs compared

Now let’s look at WGL compared to its ETFs:

  • The year-to-date price movements of WGL, PUI, SDY, and DES are 10.3%, -6.3%, -1.8%, and -5.0%, respectively.
  • The PE ratios of WGL, PUI, SDY, and DES are 17.5x, 19.5x, 20.5x, and 24.6x, respectively.
  • The PBV ratios of WGL, PUI, SDY, and DES are 2.3x, 1.7x, 2.5x, and 1.8x, respectively.

According to the above findings, WGL’s ETFs have outperformed it based on PE. However, WGL Holdings is ahead of its ETFs based on price movement and PBV.

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