Look beyond their latest quarterly results

All four of these power and gas utilities reported lower earnings for the second quarter of 2018. Moreover, rising interest rates have hurt their appeal among income-seeking investors. Higher rates will also increase their borrowing costs as they raise funds for new projects.
Even so, most… Read More

Updating Emera Inc.

EMERA INC. $42 (Toronto symbol EMA; Income-Growth Payer Portfolio, Utilities sector; Shares outstanding: 227.8 million; Market cap: $9.6 billion; Dividend yield: 5.4%; Dividend Sustainability Rating: Highest; www.emera.com) owns 100% of Nova Scotia Power, that province’s main electricity supplier. This business supplies 20% of Emera’s earnings. The remaining 80%… Read More

Utilities still appealing despite rising rates

Share prices for these four power producers have dropped recently. That’s mainly because rising interest rates have increased the appeal of bonds for income-seeking investors. As well, higher interest rates will make it more expensive for utilities to refinance their own outstanding bonds.
However, all four… Read More

Focus on their dividends, not interest rates

Rising interest rates have increased the attractiveness of bonds and hurt interest in high-yielding dividend stocks like these four utilities. However, steady cash flows from their high-quality operations will continue to let them keep increasing their payouts.

EMERA INC. $43 (Toronto symbol EMA; Income Portfolio,… Read More

Three top dividend picks for 2018

For 2018, we’ve chosen to highlight three stocks that have a long history of regular dividend payments. Their strong growth prospects also position them to increase those payments over the next few years.

We continue to recommend that income-seeking investors cut their risk with a.. Read More