Vanguard Utilities ETF
Strong Dollar Will Likely Drag AES Corporation’s 4Q15 Numbers
In 4Q15, AES Corporation is expected to report earnings of $0.33 per share in 4Q15—compared to earnings of $0.41 per share in 4Q14.
Do You Own Analysts’ Favorite Utility Stocks?
Utilities witnessed an even harsher fall amid broader markets’ sell-off. However, utilities outperformed the S&P 500 in 2018.
VPU Versus XLU: Which Utility ETF Is Better?
Utility ETFs have performed well in the last one year. The Vanguard Utilities Fund ETF (VPU) has been no exception to this.
A Look at NiSource’s Capital Investments in 2016
Following the spin-off of its pipeline business, NiSource’s (NI) utility rate base is valued at nearly $8 billion.
XLU: How US Utilities Are Currently Valued
So far, US utilities have had a decent run this year. The Utilities Select Sector SPDR ETF (XLU) has risen more than 14%.
Utility Stocks and Treasury Yields: A Key September Comparison
The ten-year Treasury yield fell from a high of 2.28% to 2.16% in August 2017.
AES Stock Continues to Fall: What Investors Can Expect
While broader utilities are climbing towards a new high, AES (AES) stock continues to fall. It hit a new 52-week low of $10.31 on November 7, 2017.
Will Crude Oil Futures and S&P 500 Move in the Same Direction?
February US crude oil (UWT) (USL) futures contracts rose 0.5% to $61.73 per barrel on January 8. Prices are near the highest level since December 2014.
Treasury Yields Fell Last Week: Positive for Utilities
Utility stocks generally trade inversely to Treasury yields. The ten-year Treasury yield fell from 2.37% to 2.33% last week.
Comparing Utilities and Treasury Yields
The benchmark ten-year Treasury yield trended lower and changed from 2.68% to 2.66% last week.
What’s ahead for NiSource after Its 35% Year-to-Date Rise?
NiSource’s (NI) stock is currently trading at 4% and 16% premiums to its 50-day and 200-day moving averages, respectively.
Crude Oil Futures and Wall Street Extends the Rally
US crude oil futures contracts for February delivery also rose 0.6% to $62.01 per barrel on January 4, 2018—the highest settlement since December 2014.
Comparing Utility Stocks and Treasury Yields
The benchmark ten-year Treasury yields closed at 2.5% last week. Treasury yields and utility stocks usually trade inversely to each other.
Utility Stocks: What Do the Chart Indicators Suggest?
The Utilities Select Sector SPDR ETF (XLU) is trading at $58.1, which is almost 2% and 7% above its 50-day and 200-day moving average levels.
What FirstEnergy’s Chart Indicators Suggest
Utilities have been following a downtrend recently, plummeting more than 10% since early last week.
Here Are the S&P 500 Utility Stocks with the Best Dividends
Slow and stable utility stocks have outperformed broader markets so far this year.
How Institutional Investors Played XLU in Q3 2018
Utilities at large are up almost 3% so far this year, marginally outperforming broader markets. Investors turned to the relatively safe utilities lately amid trade war tensions and a recent broad-market selloff.
Institutional Investors: How They Played S&P 500 Utilities in Q1
Utility stocks—generally called widow and orphan stocks—are one of the poorest performing sectors of the broader markets so far this year.
CenterPoint Energy to Buy Vectren in $6 Billion Deal
On April 23, Houston-based CenterPoint Energy (CNP) announced it would buy natural gas company Vectren (VVC) for $6.0 billion.
What PPL’s Current Valuation Means for the Stock
PPL Corporation (PPL) stock was particularly hit by the recent utilities turmoil. Its valuation fell significantly over the last few months.
How FirstEnergy Stock Ranks against Peers
FirstEnergy (FE) has been one of the top-performing stocks among the S&P 500 Utilities Index (XLU) this year.
S&P 500 Utilities at a 52-Week Low Offer a Big Gain Potential
US utilities have been trading weak for the last few months. The Utilities Select Sector SPDR ETF (XLU) hit its 52-week low of $47.37 on February 6, 2018.
Capacity Utilization Trends across US Industries in December
Capacity utilization and the US economy Among the key macroeconomic indicators published by the Federal Reserve, US industries’ capacity utilization is particularly important for understanding the health of each industry. Changes to this indicator can help forecast any changes to the business cycle, product demand, and workforce demand. Increasing levels of capacity utilization could translate to a higher number […]
Does Southern Company Stock Have an Attractive Valuation?
Southern Company (SO), the second largest rate-regulated utility, is currently trading at an EV-to-EBITDA multiple of 10.5x.
A Look at Capacity Utilization across US Industries in November
In the November capacity utilization report, the manufacturing sector remained strong with 76.4% capacity utilization, the highest level since May 2008.
Reading the Trends in Capacity Utilization across US Industries in October
Among the key macroeconomic indicators published by the Fed, capacity utilization in US industries helps investors forecast business cycle changes.
Why NRG Energy Missed 3Q17 Earnings Estimates
Princeton-based NRG Energy (NRG) reported its third quarter financial results on November 2, 2017.
Earnings Growth Is Key to NextEra Energy’s Outperformance
At $71.0 billion of market capitalization, NextEra Energy (NEE) is the largest utility among US utilities.
Why NextEra Energy Could Continue to Outperform Peers
Investor unease, a slower-than-expected pace of interest rate hikes, and superior yield have pushed up US utility stocks so far this year.
Will the S&P 500 Index Recover from Last Week’s Fall?
The S&P 500 Index (SPY) closed last week at 2425.55, losing 0.65% as compared to its August 11 close.
A Glance at the Progress of the Paris Agreement
Although the United States was part of the Paris Agreement during the Obama administration, participation could be doubtful under the Trump administration.
Why Water Utilities Yield Nearly Half What Electric Utilities Do
Water utilities are now yielding nearly 2%—roughly half the current yield of electric utilities.
A Look at How Funds Are Flowing into and out of VPU
Since July 2016, VPU has experienced net outflows of nearly $320 million.
Why Buy Water Utilities When Electric Utilities Are Yielding Double?
Investors have been preferring water utilities for the past few quarters due to their relatively higher dividend yields and stable stock price movements.
Understanding the Shift in US Power Generation Fuel Mix
Lower natural gas prices, slower electricity demand growth, and incentives for renewables have all fueled the recent power generation transition.
Is NextEra Energy Looking at Oncor Electric Again?
NextEra Energy (NEE), the largest utility by market capitalization, has risen more than 15% since the beginning of the year.
What’s Driving US Electricity Sales Down?
Electricity consumption has fallen as the penetration of efficient equipment has increased. The slowing economy and warm weather also had negative impacts.
Why PG&E Reported Lower Earnings but Beat Estimates in 1Q16
PG&E Corporation’s (PCG) earnings in 1Q16 came in at $0.82 per share against its earnings of $0.87 per share in the same quarter last year.
Why Did Sempra Energy Underperform Utilities?
In 1Q16, utilities have gained more than what they lost last year. Utilities have gained more than 12% while Sempra also rallied more than 10% in 2016.
Can We Expect Higher Dividend Growth from Regulated Utilities?
Utilities are largely trading at a forward yield of about 4%. Their dividend growth is expected to remain in the range of 4%–6%, as their earnings are expected to grow this year.
Southern Company Announced Cost Overrun at Kemper County Plant
Southern Company (SO) continues to focus on its generation facilities for capacity addition. It intends to spend $18 billion over the next three years.
What Is the Outlook for American Electric Power?
American Electric Power’s focus on regulated operations can improve its earnings stability. The stock is currently yielding 3.8% as of January 28, 2016.
Higher Interest Rates Could Be Detrimental to Utilities
Over the past five years, utilities (XLU) have significantly increased their leverage. In fact, this is one of the industries that benefitted from near-zero interest rates.
Southern Company Likely to Meet Fiscal 2015 Guidance
Southern Company (SO) is set to report its quarterly earnings for the period ended December 31, 2015, on February 3, 2016.
SO’s Generation Shifts from Coal to Natural Gas and Nuclear
Southern Company expects its natural gas usage to rise to 52%, while it expects its coal usage to fall to 29% by 2020, compared to 2014 levels.
NextEra Energy Continues to Expand Its Renewable Portfolio
From 2015–2019, NextEra Energy expects to invest $13–$15.8 billion primarily in projects related to capacity addition and transmission reliability.
Transmission May Account for 50% of PEG’s Future Capital Spending
Given the centralized power generation model of Public Service Enterprise Group (PEG), expanding its transmission infrastructure is a necessity in order to grow.
Utilities Climb the Leverage Hill, Credit Ratings Deteriorate
Utilities (XLU) require major funding for infrastructure upgradation and asset maintenance purposes. As a result, they constantly need funds.
Duke Energy: Analyzing the Fuel Mix of the Largest Utility
In 2014, 42% of electricity generated by Duke Energy came from coal. It’s currently shifting its dependence from coal to renewable energy sources.
Analyzing Dominion Resources’ Dividend Payment Trends
Dominion Resources has a dividend yield of 3.7% as of December 8, 2015. Dominion has shown a healthy and steady rise in its dividend payouts since 2008.
How Exelon’s Hybrid Business Model Provides Balanced Revenues
Exelon (EXC) manages end-to-end operations in the power utilities segment through its subsidiaries.