It’s been decades since utility stocks started a year this fast. But while the Dow Jones Utility Average’s 10 percent plus first quarter return is certainly preferable to what we saw last year, we suspect that staying cool after 2019’s hot start will prove critical as the rest of the year unfolds.
Here are a few takeaways from the performance of our three portfolios: Aggressive Holdings, Conservative Holdings and Top 10 DRIPs
First, out of a combined 38 stocks, only one is underwater so far in 2019. That’s Clearway Energy (NYSE: CWEN), which committed the cardinal sin of cutting its dividend. As noted in the March issue, there’s no reason to expect management will fail to restore the old rate in the next couple years, increasing it thereafter by 5 to 8 percent a year.
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Smart investing. Taking advantage of real opportunities and not fads (and knowing the difference). Finding the companies and stocks that will deliver for the long haul, so investing lets you live instead of investing turning into your life. Roger Conrad has dedicated his career to these principles—and that’s what Conrad's Utility Investor delivers.
Roger's favorite utilities for investors seeking superior price appreciation by taking calculated risks.
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Warning: Falling Dividends.
Roger's current take and vital statistics on more than 200 essential-services stocks.