Over four decades from the mid-1960s through the mid 2000s, US electricity demand more than quadrupled. Since the Financial Crisis of 2008, however, consumption has basically flat-lined.
Since electric utilities make their living generating and distributing electricity, it would be reasonable to assume this is bad news. The truth is the sector’s health and growth prospects have never been better.
That’s very much reflected in the strong performance of utility stocks shown in our graph “A New All-Time High.” And lest anyone credit those gains to Federal Reserve’s decision to quit monetary tightening, consider the iShares Utilities Select Sector SPDR (NYSE: XLU) shown has returned more than 50 percent since the Fed’s first rate increase in December 2015.
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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.