45.75 +0.05 (0.11%)
After hours: 4:46PM EDT
|Bid||45.30 x 100|
|Ask||46.25 x 500|
|Day's Range||45.22 - 45.90|
|52 Week Range||42.38 - 53.51|
|PE Ratio (TTM)||54.40|
|Forward Dividend & Yield||2.32 (5.15%)|
|1y Target Est||N/A|
Treasury yields surged last week on better-than-expected economic data. The ten-year Treasury yield touched 3.0%, which was its highest level since January 2014. The strength in the yields can be seen as negative for stocks, particularly utilities. Utility stocks and Treasury yields generally trade inversely to each other.
Congress hasn't allocated funding explicitly for the Smart Grid since the Obama stimulus package in 2009, the Congressional Research Service noted this month, and without Congressional support, the grid could develop in slow and piecemeal fashion, with increased risk of incompatible parts.
Currently, Xcel Energy (XEL) stock offers a dividend yield of 3.4%, which is much lower than broader utilities’ (XLU) average yield of ~4.2%. Barring a few exceptions, Xcel Energy has always traded at a discounted dividend yield compared to utilities’ average in the last five years. Xcel Energy has raised its dividends per share for the last 15 consecutive years.
Moody's Liquidity-Stress Indicator (LSI) has slipped to 2.6% thus far in April from 2.8% at the end of March, Moody's Investors Service says in its most recent edition of SGL Monitor. The improvement was ...
Dominion Energy (D), the third-largest utility by market capitalization in the S&P 500 Utilities Index (XLU), is trading at a PE (price-to-earnings) valuation multiple of 19x. The stock seems to be trading at a large discount compared to its five-year valuation average of 24x. Duke Energy (DUK) stock, the second-largest utility, is currently trading at a PE multiple of 21x, while renewables titan NextEra Energy (NEE) is trading at a PE multiple of 22x.
Southern Company's (SO) recent dividend hike marks the 282nd consecutive quarter of uninterrupted dividend payment by the utility.
According to Wall Street analysts’ estimates, NextEra Energy (NEE), the biggest utility by market capitalization in the country, has a potential upside of more than ~5% going forward. NextEra Energy has a mean target price of $169.1. Currently, NextEra Energy is trading at $160.20.
Southern Company (SO) expects to increase its earnings per share by 4%–6% annually for the next few years, which is in line with the industry average. The utility’s huge exposure to regulated operations is likely to facilitate stable earnings going forward, which could ultimately support its targeted dividend growth for the next few years. Southern Company’s market performance has been somewhat weak in the last few years, largely due to its power plant snags.
Let’s take a look at Southern Company’s payout ratio. A payout ratio indicates a portion of a company’s profits distributed to shareholders in the form of dividends. In 2017, Southern Company’s payout ratio was 76%.
Although Southern Company’s (SO) dividend yield is higher than many of its peers, it significantly lags behind its peers in terms of dividend growth. Its dividends per share grew 3.4% compounded annually in the last five years. In comparison, the broader utilities (XLU) increased their dividends per share by 4% compounded annually in the same period.
Georgia-based Southern Company (SO) announced on April 16, 2018, that it has raised its quarterly dividend by $0.02 to $0.60 per share. In 2018, it’s expected to pay $2.38 per share, which is more than 3% higher than its total dividends per share last year. As the second-largest regulated utility, Southern Company has one of the longest dividend payment histories among the top utilities in the S&P 500.
Most investors say they want to build the biggest nest egg they can to fund the best possible retirement when that time comes. To that end, here’s a run-down of retirement stocks you should probably already own even before you make working at a job a thing of the past. In most cases dividend — and dividend growth — is in the cards, yet not necessarily at the expense of capital appreciation as well.
US utility stocks have been sluggish for the last few months. Utilities that are sensitive to the interest rate have been on a downward streak since December 2017 mainly due to tax reforms, rate hikes, and valuation concerns. Utilities continued their downtrend last week. The Utilities Select Sector SPDR ETF (XLU) fell more than 1%, while broader markets rose more than 2% during the week.
The Atlanta-based energy company announced three moves inside its C-Suite related to Art P. Beattie's retirement plans.
Southern Company (SO) has grown its dividend for 16 consecutive years and should once again boost its payout sometime in this week.
Utility Southern Co. said late Monday it has increased its dividend by 8 cents a share on an annualized basis to $2.40 a share. That's the 17th straight year that Southern raises its dividend. The company's ...
Sempra Energy (SRE), one of the leading utilities in California, declared a dividend of $0.90 per share in 1Q18, which represented a 9% increase over the previous quarter. This was Sempra Energy’s eighth consecutive annual per-share dividend increase. Sempra Energy is currently trading at a dividend yield of 3.3%—well below the industry average.
American Water Works Company Inc (NYSE: AWK ) announced April 11 an agreement to acquire Pivotal Home Solutions, a unit of Southern Co (NYSE: SO ), for $365 million in cash. Since the announcement, the ...
Southern Company (SO) stock witnessed a massive fall in December 2017, and the stock has since been sluggish. According to the Wall Street analyst consensus, Southern Company stock offers a potential upside of more than 5% for the next one year. It has given a mean price target of $46.1 and it’s presently trading at $43.8.
On April 12, 2018, implied volatility in Southern Company (SO) stock was 19%, close to its 15-day average. Implied volatility signifies investors’ nervousness. Higher volatility is usually associated with a fall in stock prices. Volatility in broader markets significantly came down after fears of a trade war abated recently. Implied volatility in broader markets was at 15%, while broader utilities’ (XLU) volatility was at similar levels.
How Do Southern Company’s Valuations and Ratings Look? Southern Company (SO) stock has been weak for the last few months, largely mirroring broader utilities’ performances. Due to this correction, many utility stocks from the S&P 500 Utilities Index are looking attractive from a valuation perspective.
How Do Southern Company’s Valuations and Ratings Look? The faster-than-expected pace of interest rate hikes could continue to weigh on these defensives going forward. Broader utilities (XLU) are down almost 5% year-to-date and regulated giant Southern Company (SO), one of the laggards among top utilities, has fallen more than 8% in this period.
According to Wall Street analysts’ consensus, Dominion Energy (D) stock offers an alluring estimated upside of more than 16% for the next 12 months. The company has a mean target price of $75.5—compared to its current market price of $64.9.
Dominion Energy’s (D) dividend yield peaked at its historical high largely due to the abrupt fall in its stock in the past few months. Currently, Dominion Energy is trading at a yield of 5.1%, while its five-year historical average dividend yield is ~3.6%.