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(03-13-2020, 10:44 AM)fenders53 Wrote: (03-13-2020, 08:57 AM)EricL Wrote: For those interested in water utilities, Essential Utilities, Inc. (WTRG) is trading 30% off 52-week highs and yield 2.5%.
This is the old Aqua America (WTR) that changed its name when it completed the acquisition of natural gas distributor Peoples.
Thanks for the heads up Eric. I sold most of my UTEs at the beginning of this pullback. This is a good entry for WTRG. If the market will go a little red today I'll jump back in. I like the yield better this time.
They might go red Monday. Lol
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(03-13-2020, 12:03 PM)vbin Wrote: (03-13-2020, 10:44 AM)fenders53 Wrote: (03-13-2020, 08:57 AM)EricL Wrote: For those interested in water utilities, Essential Utilities, Inc. (WTRG) is trading 30% off 52-week highs and yield 2.5%.
This is the old Aqua America (WTR) that changed its name when it completed the acquisition of natural gas distributor Peoples.
Thanks for the heads up Eric. I sold most of my UTEs at the beginning of this pullback. This is a good entry for WTRG. If the market will go a little red today I'll jump back in. I like the yield better this time.
They might go red Monday. Lol
Trying to long-term invest here Debbie Downer.  I previously bought the stock way too high and saw the opportunity to roll it down a little when UTEs hung in there awhile. WTRG has always been expensive. IMO this is like getting MSFT for $120 in relative terms. Dirt cheap, nope, great stock that's rarely on sale, yes it is.
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FINALLY got done with my Top Ten article for Seeking Alpha last night, and it was published a short while ago.
Top Ten Utility Stocks For Dividend Growth & Income
Never in my life did I think I'd see utilities moving 10% up or down on a daily basis. It sure made doing a list like this a bit tougher this time around!
Enjoy!
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(03-20-2020, 11:53 AM)EricL Wrote: FINALLY got done with my Top Ten article for Seeking Alpha last night, and it was published a short while ago.
Top Ten Utility Stocks For Dividend Growth & Income
Never in my life did I think I'd see utilities moving 10% up or down on a daily basis. It sure made doing a list like this a bit tougher this time around!
Enjoy!
Haven't read the article yet but I sure will. Excessive valuations turned the UTEs into a casino, but if you buy as low as you can they will be solid. I have been trading them some but heading back to my safe place now.
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I finished updating my utility sector watch list with 2021 earnings estimates, recent dividend increases, and new dividend growth projections for 28 companies.
Includes a link to a downloadable PDF with all of the info in table form.
Many utilities are down 20%, so there are starting to be some decent buys now.
Link: https://dgiforthediy.com/watch-lists/uti...atch-list/
Merry Christmas!
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12-24-2020, 12:46 PM
(This post was last modified: 12-24-2020, 12:47 PM by vbin.)
(12-24-2020, 12:39 PM)EricL Wrote: I finished updating my utility sector watch list with 2021 earnings estimates, recent dividend increases, and new dividend growth projections for 28 companies.
Includes a link to a downloadable PDF with all of the info in table form.
Many utilities are down 20%, so there are starting to be some decent buys now.
Link: https://dgiforthediy.com/watch-lists/uti...atch-list/
Merry Christmas!
Thank you Eric. Did you look at pcg by any chance? It looks very interesting right now. Some big names have taken big stakes recently. They have the state fund available now in case emergencies like wild fires. Thoughts?
Merry Christmas  .
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I haven't seriously looked at PCG since the dividend cut and forest fires. Way too much uncertainty for me considered the craziness that is California politics and environmentalism.
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12-25-2020, 01:08 PM
(This post was last modified: 12-25-2020, 01:23 PM by fenders53.)
(12-24-2020, 12:46 PM)vbin Wrote: (12-24-2020, 12:39 PM)EricL Wrote: I finished updating my utility sector watch list with 2021 earnings estimates, recent dividend increases, and new dividend growth projections for 28 companies.
Includes a link to a downloadable PDF with all of the info in table form.
Many utilities are down 20%, so there are starting to be some decent buys now.
Link: https://dgiforthediy.com/watch-lists/uti...atch-list/
Merry Christmas!
Thank you Eric. Did you look at pcg by any chance? It looks very interesting right now. Some big names have taken big stakes recently. They have the state fund available now in case emergencies like wild fires. Thoughts?
Merry Christmas .
I wouldn't touch it and I'm not just trying to debate. There are a lot of quality Utes that have dipped 10% or more. This basket of my investment dollars is not where I look for unnecessary risk. I'd much rather take that risk to a different sector with more upside potential, potentially explosive upside. I have dabbled in marginal UTEs like PPL in the past. While I made money trading it, quality UTEs is where I prefer to be. Core positions and selling puts when they pull back a few times a year. All of my utility holdings are on Eric's watchlist with the exception of ALE. ALE is the only one I intentionally trade some around a core position. There are days I am the only options activity so it takes some patience to trade a covered call or put but the premiums are good since the utility is a little more volatile than most. I'm not really certain why it is as it's a solid old UTE and it isn't like there is much news very often.
Now I better check Eric's update. It's one of my favorite ongoing blogs/watchlist. Thanks.
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12-25-2020, 02:08 PM
(This post was last modified: 12-25-2020, 02:11 PM by vbin.)
Define risk w.r.t PCG.
Becouse a stock cut div in past doesn't means it's going to stay bad forever. BAC cut div last decade when it was trading at ~$4.
I feel there is tremendous opportunity and value in PCG and worth looking at. These can be multi-bagger bets which are worth researching and playing in the amount you are ready to risk.
Look at the cash flow the company is generating and the emergency fund they have access to. What are the chances that the kind of fire incidents they had will happen again in next 5 or even 10 years?
Why so many giants investing it it? People forget things fast. Current market highs from March lows is an example. What if PCG starts laying doc 3-5 years down the line.
This is a stock I am researching and so far I see a lot of value. Offcourse I could be wrong and that's why would welcome opinion from you folks.
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12-25-2020, 03:36 PM
(This post was last modified: 12-25-2020, 03:37 PM by fenders53.)
Risk WRT PCG? That's easy for me. Unnecessary headwinds that are unpredictable. In a word California. There are about 49 other states I'd rather invest in a utility. If you do it, try to catch it near the bottom which was probably about 50% ago. Businesses that can are beginning to leaving CA and I don't think it's the weather.
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I'm not saying PCG couldn't be a good buy or you can't make money buying or trading it, I'm simply saying it's not what I consider a high quality dividend growth stock. Therefore it's not going to be on a list I put out to followers looking for DGI stocks.
PCG had problems even before the wildfires, as it had a frozen dividend from 2010-2015. So that says to me it wasn't necessarily a one-off event. It now owns a BB- credit rating and operates in a state that is lawsuit happy and with burdensome taxes and regulations.
That doesn't mean it is without value, it just means it's not something I'm interested in messing around with.
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12-26-2020, 11:23 AM
(This post was last modified: 12-26-2020, 11:39 AM by fenders53.)
If I wasn't clear, you absolutely could make a buck trading PCG. Some are already up 50% off the low. 2020 has proven stocks with big issues usually bounce off the bottom. It's my impression that's Eric's list are quality UTEs you could buy and hold for a generally consistently growing dividend, and a decent cap gain if you are even a little bit prudent with your purchase prices. Many on his list do business in regions with reasonable regulatory environments. That really does matter long term. A utility fighting too hard to get fair rate adjustments can languish for years.
Eric, if you get a chance please give ALE a glance as I trust your judgement. Not suggesting you add it to your watch list. It was one of my first buy by mail DRP stocks when it was Minnesota Power and Light. I still keep 100 shares around. I can usually add some income dinking around selling and buying a covered put or call. ALE is way off it's high and trading under historical PE. They have considerable exposure to the iron range BIZ in northern MN. It's about 30% of revenues so they are more cyclical than some UTEs. Currently have a smallish water biz and going greener each year. It's not XEL or DUK for sure, but doesn't seem overly risky on the downside now.
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