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Xcel Energy’s Total Returns Outperformed Its Peers

Vincent Kruger
Xcel Energy’s Total Returns Outperformed Its Peers

Xcel Energy versus Consolidated Edison in 2019(Continued from Prior Part)## Total returnsXcel Energy (XEL) outperformed Consolidated Edison (ED) in terms of total returns in the last several years. We considered dividends paid in a particular period and capital appreciation to calculate the total returns. In the past year, Xcel Energy returned more than 6%, while Consolidated Edison returned -5%. The Utilities Select Sector SPDR ETF (XLU) returned more than 5% during the same period and beat broader markets. Investors turned to relatively safer utilities late last year amid market turmoil due to their higher dividend yields and stable stock movements.## Xcel Energy outperformedIn the last five years, Consolidated Edison returned 70%, while Xcel Energy returned 107% and outperformed utilities at large. Xcel Energy’s relatively higher earnings growth compared to its peers during this period might have played out well. Consolidated Edison’s dividend yield was higher than Xcel Energy in the last five years. We’ll discuss the two utilities’ dividend profiles in the next part of the series. Utilities (XLU) at large returned 65% in the last five years.NextEra Energy (NEE), the biggest utility by market cap, was the top performer regarding total returns. NextEra Energy’s consistent and above-average earnings growth influenced its stock performance and fueled its superior dividend growth in the last few years. NextEra Energy returned more than 150% in the last term. To learn more, read These S&P 500 Utilities Have Delivered the Best Five-Year Returns.Continue to Next PartBrowse this series on Market Realist: * Part 1 - Xcel Energy versus Consolidated Edison in 2019 * Part 3 - Xcel Energy and Consolidated Edison’s Dividend Profiles * Part 4 - Analyzing Xcel Energy and Consolidated Edison’s Valuation