jarco

Electric Utilities: Now a Screaming Buy?

As a long time follower and investor in public utilities, I find most of the posted comments both of interest and amusing.

The key utility interest of the last decade (or more) was consolidation, followed by operating efficiencies similar to what's occured in many US companies. Outsourcing construction also contributed. Thus, contrary to many "followers", several electric utilities have become cash machines. Yes, they still borrow heavily but those living in a progressive regulatory environments are able to guarantee ROI at very attractive rates. This assures stability, growing dividends, and a must own for retired or soon to be retired investors. And a growing bunch they are. Ownership demand fuels modest price increases which when coupled with relatively high dividends spells success.