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North Carolina's utility regulator gives full approval to the settlement with Duke Energy (DUK...

North Carolina's utility regulator gives full approval to the settlement with Duke Energy (DUK +0.7%) over the company's leadership plans. Barclays upgrades shares to Overweight, seeing a material reduction in political and regulatory risk after the settlement. The firm raises its estimates, reflecting its view of management's ability to post earnings growth next year.
Comments (2)
  • We might get a rate increase news event in January. With EOY tax loss selling complete - look for a 2-5% increase in the stock price.
    3 Dec 2012, 04:21 PM Reply Like
  • "Rate increase........" as in Dividend or consumer cost (rate) increase ? I'm confused by your statement. I'm not sure there will be any consumer cost (rate) increase approval in the near future by the Commission(s), especially in NC, SC or Fla. Too much public opposition resulting from the merger fiasco and demonstration of poor management and Board of Directors.

     

    Any increase in dividend is also questionable due to Margin (FCF). Excessive cost over-run and delays related to their Bio project in Indiana and questionable action of Crystal River #3 Nuclear Unit (formally, Progress Energy's albatross) in Florida.

     

    Sure hope I'm wrong, though. Bought @ $61.50. Long, Long on DUK.
    3 Dec 2012, 10:10 PM Reply Like
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