Innergex cuts your risk

Article Excerpt

INNERGEX RENEWABLE ENERGY, $16.86, is a buy. The power generator (Toronto symbol INE; Shares outstanding: 133.6 million; Market cap: $2.4 billion; TSINetwork Rating: Extra Risk; Dividend yield 4.2%; www.innergex.com) operates 37 hydroelectric plants, 26 wind farms and four solar power fields. They’re spread across Quebec, Ontario, B.C., Idaho, France and Chile. Innergex keeps growing by building new projects. But it cuts risk for investors by selling the power from its renewable energy projects under long-term guaranteed contracts. That focus continues for investors with its new Hillcrest solar project located in Brown County, Ohio. Innergex has reached a long-term power purchase agreement (“PPA”) with an investment grade rated U.S. corporation. Sales under the PPA will start when the facility reaches commercial operation in 2020. Innergex is suitable for your new buying, with it trading at an inexpensive 9.6 times the forecast 2020 cash flow of $1.75 a share. The stock also offers investors a high 4.2% yield. yield…

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