The downgrade was not due to quality or operations but over valuation. WEC sells at 17.5X this years earnings, but only has a growth rate of about 5%. The dividend hs been holding the stock up, but as interest rates rise, and they will, the comparative advantage that WEC has will go down. UBS is saying based on earnings growth now and in the future that WEC is overpriced. I am an owner for the dividend and am surprised that it is as high as it is. I own enough growth stocks that I am not selling because it adds stability to my overall holdings that bonds would ordinarily do if not for the FED.
Agree with what you have said. i have been a long term holder of WEC since the 90's and have been reinvesting dividends all the way.
The problem I have with the brokerages has always been their "free advice to the masses" for various reasons. Over and over I have seen these guys and gals announce their negative opinions on a stock after it ran up 70 to 100%. Of course, they rarely tell you to buy when it was 30 bucks cheaper but slam it when it makes it run. Ulterior moives? Hmmm...I know what my opinion is. The worlds biggest casino is alive and well.