Finally listened to all the year end earnings reports. The industry is truly moving fast. I listened to ALE-XEL-WEC calls back to back lol.
I was particularly impressed with WEC. They may exceed their 7% growth rate goal (EPS and DIV) by next year. I like their management and they exude confidence they can capitalize on the near term changes in energy policy. I think I like the risk reward vs NEE at this time due to valuation. They have no intention of eliminating natural gas from their Northland mix without a huge technological advancement that is likely a decade away or more.
XEL is in good shape as well. Both expecting to hit 70% of their 2050 goal by 2030. That is considerably ahead of schedule. They are purchasing some wind assets from ALE this quarter. 5-7% growth projections. Same on natty gas. I think they were both reading the same slide with the identical concerns.
Token move towards EV infrastructure in progress. XEL and WEC both stated supporting industry fleet vehicle recharging was a near-term project if it picks up momentum with their industrial customers.
I was less inspired by ALE immediate future. Their region's economy (regulated portion) is just not going to awaken from Covid quite as fast. I got the impression 5% growth was going to be a challenge. They are already at 50% renewables though and intend 70% by 2030. They have no solar yet but that is clearly their next move. This will probably be the only UTE I'll continue to attempt to trade as it is volatile within a modest range. Not meaningfully building this position unless it pulls back hard.
My DUK and XEC positions may be transferred to the above. I need to do a deeper dive into AEP as that position is pretty large. They are nowhere near as far down the transition path to renewables last time I researched.
I was particularly impressed with WEC. They may exceed their 7% growth rate goal (EPS and DIV) by next year. I like their management and they exude confidence they can capitalize on the near term changes in energy policy. I think I like the risk reward vs NEE at this time due to valuation. They have no intention of eliminating natural gas from their Northland mix without a huge technological advancement that is likely a decade away or more.
XEL is in good shape as well. Both expecting to hit 70% of their 2050 goal by 2030. That is considerably ahead of schedule. They are purchasing some wind assets from ALE this quarter. 5-7% growth projections. Same on natty gas. I think they were both reading the same slide with the identical concerns.
Token move towards EV infrastructure in progress. XEL and WEC both stated supporting industry fleet vehicle recharging was a near-term project if it picks up momentum with their industrial customers. I was less inspired by ALE immediate future. Their region's economy (regulated portion) is just not going to awaken from Covid quite as fast. I got the impression 5% growth was going to be a challenge. They are already at 50% renewables though and intend 70% by 2030. They have no solar yet but that is clearly their next move. This will probably be the only UTE I'll continue to attempt to trade as it is volatile within a modest range. Not meaningfully building this position unless it pulls back hard.
My DUK and XEC positions may be transferred to the above. I need to do a deeper dive into AEP as that position is pretty large. They are nowhere near as far down the transition path to renewables last time I researched.