It's been an active year for mergers and acquisitions in the utility sector. We discuss our key takeaways from a major deal that closed ahead of schedule and highlight some of the main themes that will be in play going forward.
Consolidation continues apace in the utility sector, as operators seek to take advantage of frothy stock prices to improve their economies of scale and increase their exposure to growing demand for natural gas.
We update our takes on the various pending acquisitions involving the more than 200 essential-services stocks that we cover in our Utility Report Card.
The recent spate of equity issuance is yet another sign of frothy valuations in the utility sector, but these moves set the stage for future growth. Investors should bide their time and wait for a pullback to buy our favorite utility stocks.
The velocity of money has slowed significantly since the Great Recession, blunting the effectiveness of the Federal Reserve’s efforts to stimulate the economy through quantitative easing and ultra-low interest rates.
The creation of a real estate sector in the S&P 500 validates real estate investment trusts (REIT) as an asset class. But sky-high valuations mean that investors may not want to RSVP to this coming-out party.
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