Consolidated Edison, Inc.

  • Will Higher Interest Rates Doom Utilities?

    By Bob Ciura - August 16, 2013 | Tickers: ED, DUK, SO

    Utilities are highly valued by their investors for their reliable, if unspectacular, growth. Utilities are routinely called ‘widow-and-orphan’ stocks, meaning they’re commonly held for their hefty dividend yields and low volatility.

    However, the past few months have seen more volatility in utility stocks than many investors would like. Much of it stems from fear of the Fed taper, in which the winding down of the central bank’s monthly more »

  • Watch These Stocks at Goldman Sachs Power & Utility Conference

    By John Macris - July 31, 2013 | Tickers: ATO, ED, XLU, WEC

    Goldman Sachs is hosting its 12th annual Power & Utility Conference in New York on Thursday, August 8. The one-day event will focus on a variety of topics surrounding the power & utility business, including capital allocation, growth in a regulatory environment, and demand trends across the power, natural gas, and water markets.

    The Select Sector Utilities SPDR (NYSEMKT: XLU) is a benchmark for the power & utility industry. The ETF has underperformed more »

  • Disruptive Technology: The Sun - Part 2

    By Wes Patoka - July 19, 2013 | Tickers: WTR, ED, WMT

    Previously, I’ve discussed how utilities could become just secondary power sources, but is all hope lost? Some companies have seen the writing on the wall and started shifting their business models in subtle ways, so they can embrace the unthinkable - lower demand for electricity from them. 

    Peak time opportunity

    SolarCity has been converting customers into competitors for utilities, but there is a flip side to this whole equation. SolarCity more »

  • Can This Company Power Your Portfolio’s Yield Higher?

    By Chad Henage - July 19, 2013 | Tickers: ED, DUK, TEG, SO

    Investors buy stock in certain industries with some built in expectations. The utility sector attracts a lot of attention because these companies offer high yields and relatively low risk. However, as investors learned over the last few years, not all yields are created equal. Some companies had to face the harsh reality that they couldn’t afford their payouts. Investors in Duke Energy (NYSE: DUK) have been rewarded handsomely in more »

  • I'd Buy One of These Three Electric Utilities Companies Today

    By Phillip Woolgar - July 18, 2013 | Tickers: AEE, CPN, ED

    The summer heat is giving me a burning desire for electric utilities companies. Before I invest, however, I want to make sure that my investment will keep my portfolio warm and cozy for many years ahead. That's why I've taken a look at the demand for electricity in the areas where these three firms operate, as well as the firms' regulatory relations, before deciding whether to purchase a more »

  • An Opportunity To Make 18% a Year On a Utility Stock

    By Shmulik Karpf - July 2, 2013 | Tickers: ED, DUK, EXC

    Exelon Corporation (NYSE: EXC), a utility services holding company, engages in the energy generation and distribution business in the United States. Exelon is one of the "cleanest" power producers in the country. About half its fleet is nuclear, a quarter is natural gas, and nearly 10% is hydro, wind, and solar. 

    The Opportunity

    Shares of this energy giant have been declining recently. This decline is partly attributed to an overall more »

  • Utilities Are Still Dependable

    By Faizan Chudhry - June 30, 2013 | Tickers: AEP, ED, DUK

    In the recent low-yield environment, utility stocks have remained popular among the income seeking investors due to their attractive dividend yields. Lately, however, fear of the Fed tapering quantity easing has pushed yields up, causing utility stocks to underperform against the broad market. As the Fed tapering is linked to positive economic data, I believe that monetary easing will be prolonged for a longer period of time than currently signaled more »

  • Is Southern Company a Buy?

    By Bob Ciura - June 12, 2013 | Tickers: AEP, ED, SO

    Utility stocks are the very definition of slow-and-steady investing. Their businesses provide a product that is a necessity of human society and the companies in the industry operate in a highly regulated environment. For decades, investors have counted on the steady profits and reliable dividends paid by utilities, and for those reasons, utilities have been given the “widow-and-orphan stock” moniker.

    In recent years, utility investors have been doubly rewarded in more »

  • These 4 Numbers Prove Who Is The Best In This Industry

    By Chad Henage - June 12, 2013 | Tickers: ED, DUK, EXC, SO

    Today’s low interest rate environment is causing some stocks to rise because they offer investors a superior yield to what they can get elsewhere. If there is one sector of the market that worries me, it’s the utilities industry. Investors seem to have forgotten that utilities usually act like interest rate cyclicals, and when interest rates inevitably rise, these stocks could take a beating. That being said, many more »

  • There Are 4 Reasons to Avoid This Stock

    By Chad Henage - June 11, 2013 | Tickers: ED, DUK, EXC, SO

    I know that collecting an over 4% yield in this environment seems tempting. I know that CDs don’t pay much of anything, and savings and money market accounts pay even less. However, it seems that some investors are just buying the first option they come across instead of researching their options. Consolidated Edison (NYSE: ED) is the perfect example of a company that is not performing terribly, but it more »

  • 5 Reasons Another Dividend Cut Is Likely

    By Chad Henage - June 11, 2013 | Tickers: ED, DUK, EXC, SO

    This is not a drill; please proceed in an orderly fashion away from this stock. I wish there was an announcement like this to warn investors when they are about to buy a stock that isn’t going to make them money. However, until someone devises a system to warn investors, we can only go by the numbers, and sometimes our gut feelings about a company. What I’m here more »

  • Are We Sure This Is Progress?

    By Chad Henage - June 11, 2013 | Tickers: ED, DUK, TEG, SO

    When investors hear about a merger of two powerful companies, they usually expect that there will be some short term pain, but long-term gain. However, once in a while, a merger doesn’t go as expected and investors are left wondering what went wrong? Unfortunately, it seems this might be happening with Duke Energy (NYSE: DUK). Duke merged with Progress Energy to create an energy powerhouse. However, the cost wasn more »

  • After A Utility Sell-Off These Three Stocks Could Be Next

    By Sammy Pollack - May 30, 2013 | Tickers: ED, D, JNJ, PEG, RAI, HSY

    Over the past month, as shown by the chart below, despite all-time highs in equity indices, utility stocks have been under selling pressure. 

    ED data by YCharts

    This should not come as a complete surprise given the defensive nature of the industry. However, it should be noted that prior to this recent sell-off the utility sector had been among market leaders, not laggards. There are a few reasons behind the more »

  • This Sector Looks Fully Valued

    By Bob Ciura - May 13, 2013 | Tickers: ED, DUK, SO

    Utilities are the classic “widow-and-orphan” stocks—meaning they are slow and steady providers of dependable income. Lately, these stocks have been anything but slow and steady. Many stocks in the sector have enjoyed huge run-ups in price over the last few years and are now sitting near multi-year highs.

    Not to rain on the parade, but it’s worth noting that there is a price to be paid for such more »

  • The Misleading Effects of Beta

    By Rupert Hargreaves - May 13, 2013 | Tickers: BAC, ED, GIS, CB

    Using beta can help an investor quickly construct a portfolio that is highly resistant or highly correlated to the general market, protecting defensive investors from negative movements in the market, or helping aggressive investors buy into stocks that will follow the market upwards.

    Due to the nature of the beta calculation and the volume of data required, many investors will not calculate the figure themselves and instead look it up more »

  • Are These Dividend Stocks Overvalued?

    By Mark Morelli - May 2, 2013 | Tickers: T, ED, INTC, PG

    My, how the tables have turned.

    In the waning days of the dot.com bubble of the late 1990's and early 2000's tech stocks were considered way overpriced. Some had P/Es over 100 and drove the overall market to an incredibly high valuation.

    Today a new group of stocks are considered by a number of analysts to be overpriced. Defensive and low-growth telecoms, utilities and consumer staples more »

  • The Grid and the Green Energy Threat

    By Wes Patoka - April 30, 2013 | Tickers: ED, DUK, MGEE, SCTY

    Utility companies have traditionally been the only way for a consumer to join the 21st century and use electricity in their homes. As time marches forward, consumers have more choices surrounding how to get electricity for their homes.

    There's an argument to be made that the solar systems of companies like SolarCity’s (NASDAQ: SCTY) and consumer-purchased windmills will be the way of the future. Will we be more »

  • Five Stocks That Look Especially Vulnerable to Activist Investors

    By Mike Thiessen - April 29, 2013 | Tickers: AEE, CAG, ED, FITB, TYC

    Recently, the New York Times reported on a detailed Rotary Gallop analysis that identified publicly traded companies that could be vulnerable to takeovers by activist investors. Although the analysis did not attempt to predict the likelihood of a takeover in any specific circumstance, it did comment on the likelihood of a theoretical takeover attempt's success. 

    The report found five particularly vulnerable companies: ConAgra Foods (NYSE: CAG), Consolidated Edison (NYSE: EDmore »)

  • Safe Dividend Paying Utility Stocks Part 1

    By Reuben Brewer - April 22, 2013 | Tickers: AEP, ED, NU

    Each month Citi creates a list of safe dividend paying companies. Barron's recently published the list. It included a number of utilities that income investors would do well to consider, including Northeast Utilities (NYSE: NU)Consolidated Edison (NYSE: ED), and American Electric Power (NYSE: AEP).

    The Citi list

    Each month, Citi publishes a list of “safe” dividend companies. The most recent incarnation contains six electric utilities. While it's more »

  • Retirement Mantra: Diversify with Dividend Growth and Reinvestment

    By George Schneider - March 20, 2013 | Tickers: AINV, T, ED, KMP, MCD

    Why diversify your portfolio? Why diversify into companies that show us the money by consistently increasing their dividends? Why reinvestment these ever growing dividends into the very same companies we’ve already diversified into?

    All of these questions can be answered with another question: would you like to retire with a growing stream of income that will protect your purchasing power throughout your retirement years?

    If you answered “yes” to more »

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