It has been an up-and-down year for the stock market, and despite their usual slow-and-steady style, the same has been true for utility stocks. Utilities were beaten down in anticipation of a rate hike from Janet Yellen and the Fed. After peaking near $50 in late January, the Utilities Select Sector SPDR ETF (XLU) sank to almost $40 by late June. Such a correlation is logical, of course — investors hungry for yield are far from satiated by 10-year Treasuries.
The yield barely tops 2% right now … less than the 2.2% dividend yield of the overall S&P 500! Meanwhile, utilities are known for their extra-sweet payouts. Put another way, the low-yield environment could be here to stay for a bit — and that bodes well for utility stocks. The proof is in the pudding, too. American Water Works (AWK) and Atmos Energy (ATO) have each gained about 8% over the last month, Aqua America (WTR) and Consolidated Edison (ED) have each improved by 7%, while Public Service Enterprise Group (PEG) has posted 6% gains — also nothing to sneeze at.
Source: InvestorPlace
Related Articles:
- 7 Higher Yield Dividend Growth Stocks
- 8 Select High-Yield S&P 500 Dividend Stocks
- A Winning Investment Strategy
- 7 Dividend Stocks With A 20% Yield In 20 Years
- 5 Industrial Strength Dividend Growth Stocks With Yields In Excess Of 3%
________________________________________________________________
Subscribe to:
Post Comments (Atom)
Popular Posts Last 30 Days
-
Strange but true: seniors fear death less than running out of money in retirement. So what's a retiree to do? You could cut your expense...
-
If you're anticipating a long retirement, you'll want to remain invested in stocks to give your money a chance of outpacing inflatio...
-
If I could teach investors one thing, it would be how to identify and value “Forever Assets.” These businesses constitute the single best wa...
-
When writing this article, I was looking for an ideal list of dividend-paying stocks that consistently raise their dividends each year. In a...
-
One way to identify suitable candidates is to look for stocks with an average dividend yield of 3%, and positive average annual dividend gro...
-
Exxon Mobil Corporation (NYSE:XOM) stock is trading at the same level as it was during the beginning of 2019. Even with company-specific pos...
-
Dividends are profit sharing payments sent out to stockholders. Companies have a variety of reasons for paying them, ranging from simply swe...
-
Dividend-paying stocks from generally low-risk, top notch companies are a brilliant way to create steady and solid income streams to supplan...
-
All bull markets come to an end, and this past decade has been a remarkable one for investors who've escaped largely unscathed from any ...
-
One of the most exciting things about many dividend stocks is that they not only pay regular dividends, but also increase those dividends on...
0 comments
Post a Comment
Post a Comment
Note: Only a member of this blog may post a comment.