|Bid||72.480 x 800|
|Ask||72.490 x 800|
|Day's Range||71.510 - 72.550|
|52 Week Range||61.530 - 85.300|
|Beta (3Y Monthly)||0.25|
|PE Ratio (TTM)||16.04|
|Earnings Date||Nov 5, 2018|
|Forward Dividend & Yield||3.34 (4.66%)|
|1y Target Est||73.29|
NextEra Energy (NEE), the biggest component in the Utilities Select Sector SPDR ETF (XLU), is currently trading at a forward PE multiple of 21x based on its estimated EPS for 2019. Its forward PE multiple is higher than its five-year historical average PE multiple of ~20x. Thus, the stock looks expensive considering its historical average as well as its 8% estimated earnings growth in 2019.
After a fairly positive start, utilities tumbled later last week and closed 1.3% lower. In comparison, the broader markets lost ~4% during the week. The sell-off last week pushed the S&P 500 to a three-month low after fresh trade war tensions weighed mainly on the technology and industrial sectors. The defensives such as utilities fared better as investors turned to safe-haven options, given their higher yields and stable price movements.
The major stock indexes took a pummeling last week over fears that interest rates are rising too quickly. Surprisingly, the utilities sector, which typically moves lower when interest rates rise due to higher funding costs, has outperformed the broader market in October 2018. While the Standard and Poor's 500 index (S&P 500) is down 5% so far this month, the Vanguard Utilities ETF ( VPU) – the poster child of U.S. utilities exchange-traded funds (ETFs) – is trading flat to slightly higher over the same period, and the ETF is up 6.14% over the past three months.
* More than 0.3 billion cubic feet per day (bcfd) of natural gas started to flow to the plant late last week, according to data from Refinitiv. * Cove Point, which started exporting LNG in March, is designed to liquefy about 0.75 bcfd of gas. * One billion cubic feet of gas is enough to fuel about 5 million U.S. homes for a day.
RICHMOND, Va., Oct. 13, 2018 /PRNewswire/ -- A workforce of more than 6,000 personnel, including Dominion Energy employees, contractors, and line workers on loan from neighboring utilities, is making substantial progress in restoring service in the aftermath of Tropical Storm Michael. As of 3 p.m. Saturday, we have restored service to nearly 80 percent of the 600,000 customers who lost power.
RICHMOND, Va., Oct. 12, 2018 /PRNewswire/ -- Dominion Energy will continue to work around the clock and throughout the weekend to restore service to customers who lost power in the wake of Tropical Storm Michael. "We've dedicated more than 6,000 people to this restoration effort, including mutual aid crews from other states that are here to assist us," said Ed Baine, senior vice president – Electric Distribution.
CLEVELAND, Oct. 12, 2018 /PRNewswire/ -- Dominion Energy Ohio reminds customers that an annual professional inspection of their furnace and other natural gas appliances can help ensure year-round safety, comfort and economy. This fall Dominion Energy Ohio is offering home energy assessments for just $50 through its Home Performance with ENERGY STAR® program. This service, administered by CLEAResult, includes a free carbon monoxide (CO) detector, water heater pipe wrap, an energy-saving shower head and kitchen and bathroom faucet aerators.
RICHMOND, Va., Oct. 12, 2018 /PRNewswire/ -- Dominion Energy restoration crews are out in force this morning and will continue to make repairs and restore service to 585,000 customers in Virginia and North Carolina who lost power due to Tropical Storm Michael. The heavy rain and wind damaged electric infrastructure and brought down trees on power lines in several regions served by the company. "As we begin this multi-day restoration effort, we appreciate the patience of our customers and urge them to stay safe and mindful of electric wires that may be hidden by downed trees or flooded streets," said Ed Baine, senior vice president - Electric Distribution.
NextEra Energy (NEE) and Dominion Energy (D) are among the fastest growing utilities. Both of the utilities aim to grow their earnings ~7% annually, while broader utilities are expected to grow ~4% for the next few years. Their superior earnings growth will likely fuel above-average dividend growth as well.
Utility stocks could become more popular soon. Amid the trading volatility of recent days, many of the stock market’s usual best performers made a hard turn downward. Such moves cause many investors to rethink their investing strategies.
Despite the lower yield, NextEra Energy’s (NEE) dividend profile looks attractive, mainly due to its dividend growth. In the last five years, the company has increased its dividends more than 10% compounded annually. Utilities (XLU) at large increased their dividends ~4% compounded annually during the same period.
Utilities generally offer superior dividend yields compared to broader markets. Currently, utilities (XLU) yield ~3.5%, which is a yield premium of ~170 basis points over broader markets and just 20–30 basis points over ten-year Treasury yields. The yield premium to benchmark Treasury yields fell from ~150–200 basis points early this year. The recent strength in Treasury yields could be negative for utilities.
RICHMOND, Va., Oct. 11, 2018 /PRNewswire/ -- Dominion Energy is tracking and preparing for the potential that Hurricane Michael will cause power outages as it makes its way north. This powerful, fast-moving hurricane is expected to blow through the Carolinas and parts of Virginia Thursday evening into Friday morning, with tropical-force winds and torrential rain that can bring down trees and power lines. "We are closely monitoring Hurricane Michael and positioning crews and supplies so we can respond as soon as it's safe to do so," said Ed Baine, senior vice president – Electric Distribution.
* Tokyo Gas Co is not considering raising U.S. liquefied natural gas (LNG) purchase volumes as it seeks to diversify procurement portfolio, its President Takashi Uchida told reporters on Thursday. * The company has started receiving long-term U.S. LNG from Dominion Energy Inc's Cove Point export plant in Maryland earlier this year, and it also has signed agreements to buy LNG from Cameron project in the United States.
When the market turns south -- and it will turn south eventually -- these two boring old companies will help you ride it out.
NextEra Energy (NEE), the biggest constituent of the Utilities Select Sector SPDR ETF (XLU), has a potential upside of 4% based on analysts’ median target price of $178.9 and its current price of $172.4.
Dominion Energy Inc. said Tuesday Chief Financial Officer Mark McGettrick will step down effective Nov. 1, after about 9 1/2 years in the role. He will also retire from the electricity and natural gas utility company on Jan. 1, 2019 after 38 years with the company. James Chapman, currently senior vice president of mergers and acquisitions and treasurer, will succeed McGettrick. Chapman joined Dominion in September 2013. The stock edged up 0.4% in premarket trade. It has lost 10% year to date through Monday, while the SPDR Utilities Select Sector ETF has advanced 2.7% and the S&P 500 has gained 7.9%.
RICHMOND, Va., Oct. 9, 2018 /PRNewswire/ -- Dominion Energy (NYSE:D) today announced that Mark F. McGettrick, executive vice president and chief financial officer, will retire on Jan. 1, 2019, capping a 38-year career at the company. Effective Nov. 1, 2018, McGettrick will step down as chief financial officer. James R. "Jim" Chapman, senior vice president-Mergers & Acquisitions and treasurer, will succeed McGettrick as CFO.
Domestic callers should dial (877) 410-5657. International callers should dial (334) 323-9872. The passcode for the conference call is "Dominion." Participants should dial in 10 to 15 minutes prior to the scheduled start time. Members of the media also are invited to listen. A replay of the conference call will be available beginning about 1 p.m. ET Nov. 5 and lasting until 11 p.m. ET Nov. 12. Domestic callers may access the recording by dialing (877) 919-4059. International callers should dial (334) 323-0140. The PIN for the replay is 89035328. Additionally, a replay of the webcast will be available on the investor information pages by the end of the day Nov. 5. Nearly 6 million customers in 19 states energize their homes and businesses with electricity or natural gas from Dominion Energy (NYSE:D), headquartered in Richmond, Va. The company is committed to sustainable, reliable, affordable, and safe energy and is one of the nation's largest producers and transporters of energy with over $78 billion of assets providing electric generation, transmission and distribution, as well as natural gas storage, transmission, distribution, and import/export services.
Currently, the Utilities Select Sector SPDR ETF (XLU) is trading at $53.63—marginally above its 50-day and 5% above its 200-day moving average levels. XLU’s recent breakout above the 50-day moving average level could be seen as a positive signal. XLU’s 200-day level around $51.18 could act as a crucial support in the short term.
Dividends are one of the best benefits to being a shareholder, but finding a great dividend stock is no easy task. Does Dominion Energy (D) have what it takes? Let's find out.
RICHMOND, Va. and CAYCE, S.C., Oct. 5, 2018 /PRNewswire/ -- Dominion Energy (NYSE:D) and SCANA Corporation (SCG) on Thursday filed a stipulation agreement with the Public Staff of the North Carolina Utilities Commission (NCUC) and an intervenor in the proposed merger between the two companies. SCANA's assets include PSNC Energy, a natural gas utility based in Gastonia, N.C. Remaining necessary approvals include those of the NCUC and of the South Carolina Public Service Commission.
As of October 3, Reuters has compiled data from 14 analysts tracking Dominion Energy (D) stock. Two have rated Dominion as a “strong buy,” and one has rated it as a “buy.” The rest have rated the stock as a “hold.” No analysts have rated Dominion as a “sell.”