About 50% of US energy comes from dirty old coal burners. Obama and the EPA want to close them down ,and they will. The CO2 cap will do it ,over the next 20 yrs or so.
Enter EXC,with the largest US fleet of clean ,nuclear plants !
Jim Cramer recs this stock ,a strong "buy". The EXC Shorties are off their trollies!
Nowhere to go but "UP" from here.
Who cares ? Take the opportunity to buy a great stock at LOW prices (or calls) and just sit back for a year or two or more.
The PEPCO buy won't be finalised for another 16 months and the carbon cap won't bite into coal burners for another yr or two. Coal is dead.
Just allow that juicy DIVI of $1200 /yr to accumulate in your account... while you plan your next holiday.
Sounds good. Let's just hope we're both still around 20 years from now :)
Yes,two weeks is nothing.3-5 yrs is more like it.
I expect EXC would out perform over 5 yrs. I intend to hold 20 + yrs. That's what Buffett does.
It only costs you money every time you click on "sell".
it's nice to see that fundies win out,as they should,over the long term.
At approximately 11.21 AM on Friday August 1st 2014, I bought a hypothetical 100 shares each of EXC WEC SO & DUK & placed them in a watch list.
DUK 1OO @ 73.09
EXC 1OO @ 31.78
SO 1OO @ 43.45
WEC 1OO @ 43.75
I picked Wisconsin energy to be the best performer & bought shares in my brokersge account.
Here's my 2nd report (2 weeks)
Returns, starting with the best.
Exelon is still the best performer & I'm eating crow.
Will update every week or two
Have a good weekend
lets blame obama for all our problems..he's the cause, not us.
true,we get the politician we deserve.
I think he has been good on foreign policy ,but very weak on the economy.The markets are pumped up ,but there is no growth. Shipping rates for large ships are flat.
It's just a matter of digging in and waiting for a Republican in the whitehouse.He will bring confidence.
Yes, but, they just bought POM which produces no power at all. This will help EXC crush the margins when it comes to purchasing power. It will all come together nicely.
EXC is a merchant utility which is quite different than a regulated utility in the sense EXC's fortunes are very much tied to the wholesale price of electricity on the open market. EXC's nuclear fleet generates more electricity than the customers they serve require on the regulated side of their business, they sell that excess capacity on the open market to other regulated utilities who do not generate enough electricity to serve their customers. So the open market price of electricity is critical to EXC's earnings and the direction of the stock.
Therefore the true premise of purchasing EXC's stock at these levels is the belief wholesale electricity prices will rise in the future as coal burning power plants continue to be shuttered and natural gas prices rise as the United States ramps up exporting Liquid Natural Gas to areas of great need and higher prices such as Asia and Europe where the price of the commodity is nearly 3 times higher than here in the states. Being coal and natgas are two of the three major sources of electricity generation, nuclear being the third, these changing dynamics will certainly raise the price of electricity in the future which will be a bonanza for EXC's earnings.
Another plus is some form of carbon tax is a certainty as the costs of global warming continues to rise which is a large plus for EXC's carbon free nuclear generation. And because the expense and time to build competing nuclear generation is very high, EXC possesses almost monopoly qualities in this regard. The cost to expand existing nuclear facilities generation is surprising low, another huge plus in the future.
One also has to keep in mind EXC was trading well over $50 a share last time natgas prices approached the prices presently paid in Europe and Asia, and that was when coal was still a huge player. So we have a long ways to run in the larger picture. Good luck to all.
quite a advice posting history. I have held this for a few years...I am selling today I think...if dividends are all it has going that isn't enough for me.
yeah, lets blame obama for all our problems..he's the cause, not us.
Volume dropping fast. Down to a respectable 3mil shares/day from 10 mil.
Soon,the short squeeze will begin .
As long as Barry Obummer is around ,the Fed will be pumping the market...
Hmmm,what to do with my divi?
I figure that the shorts will pay ME $1240.00 bucks this year ,to borrow my 1000 shares.
Thanks again ,shortie!
i have been beaten down enough in my utility portion of my portfolio for long enough and liquidated all 6 utilities and reinvested in other market sectors -
Your loss ,my gain. I am buying the dips.
Long after you have churned your stock in EXC and other elec producers ,they will still be there ,pumping out solid cash divis and growing the share price as the years go by....
on a nonstock note, in March we vacationed in Fredericksburg and on our return home, took a detour and spent an afternoon in Gettysburg. VERY glad we took the time. powerful and majestic. awe inspiring. got back and read 2 books and watched the movie - again. 150th anniversary.
as for EXC, i sold it all yesterday. altho i missed the days run today, i had put proceeds down on WY and ARCC. did rather well there.