They are responsive,I called Mr.Herrington and feel very comfortable with their explanation and guidance.the sell rating from a large broker was way out of line based on the current conditions.they need a rate increase which is before the public utility bd and they had to amortize the cost of the new plant in this quarter.that is all the explanation I needed I'm confident that the dividend at this level is sustainable and the price is stable .keep in mind the stock had a 25% jump in one year ,very likely to investors chasing yield. I'll take 4% yield on this stock at this price and be happy to reinvest
noticed insiders acquired and dumped 2/4. short interest 5%. S&P has a FV of $23. Not sure if its size has anything to do with it. Utilities got slammed yesterday, talking heads blamed Greece, Fed, sector rotation, etc. Last year they were the hot sector. Today the group is rebounding somewhat. It will level off. As I am not a trader, lets see next Q numbers. I think I will listen to CC. GL
I've never seen a utility take such a nose dive like this one is. It's a small utility so I guess it's more sensitive to such news?
I feel they are a bit too negative on forward guidance - they seem to be factoring in the worst case scenario here - a hot summer could make things look a lot better.
Bad qtr, EPS a low .26 Lower future guidance due to higher expenses, even with new rates. One or 2 bad storms in 2015 could hurt. Need to watch the payout ratio for the div. UBS downgrade to sell certainly isn't helping. It may be oversold now.
Besides not the best of a report, today's job report might make the FED into action on rates. The whole utility sector is down.