All articles tagged with #utility stocks
UBS has identified the best energy and utility stocks to own for the remainder of the year, providing investors with strategic recommendations to optimize their portfolios in these sectors.
The utility sector is currently undervalued, making it an opportune time for long-term dividend investors to consider stocks like NextEra Energy, Black Hills, and Northwest Natural, all of which offer historically high yields. NextEra Energy boasts a 10% annualized dividend growth rate and a unique business model, while Black Hills, a Dividend King, offers a 4.7% dividend yield and strong regional presence. Northwest Natural, another Dividend King, presents a 5.3% dividend yield and a 67-year streak of annual dividend increases, despite predicting a temporary earnings dip in 2024. Each utility caters to different types of income investors, providing potential value for portfolios in April.
Utility stocks are experiencing a decline as interest rates rise, causing investors to worry about the sector's stability and potential for lower returns. This drop in utility stocks reflects the broader market volatility and uncertainty surrounding the impact of rising rates on various industries.