Dividends4Life: 3 Safe, Reliable Utility Stocks

3 Safe, Reliable Utility Stocks

Posted by D4L | Tuesday, November 18, 2014 | | 0 comments »

Let the solar freaks crow all they want. Neither fossil fuels nor standard electricity are going anywhere. There’s a reason solar and wind combined produce a small fraction of the nation’s electricity, and that’s because they don’t work terribly well. Some people think investing in utility stocks is a mistake because they are too sensitive to interest rates. Most utility stocks have a lot of debt they use to create and maintain their networks, and the fear is that rising rates on that debt will harm the company’s cash flow.

Sure, utility stocks can have expensive “one-time” charges like damage from weather or the occasional chemical clean-up. But ultimately, the best ones generates reliable cash flow and have a good dividend yield, and that’s why we like them: National Grid (NGG), ITC Holdings (ITC) and Entergy (ETR).

Source: InvestorPlace

Related Articles:
- 6 Dividend Stocks With A Low P/B Ratio
- Are Storm Clouds Gathering For These 5 High-Yielding Securities?
- Why Dividends Matter
- 6 Stocks Currently Trading Below their Fair Value
- The Perfect Dividend Stock

Click here to have future posts delivered to you for free!

_____________________________________________________________________

0 comments

Post a Comment

~

Latest From Dividend Growth Stocks

Popular Posts Last 30 Days