
Ticker: CDUUF, Buy below $25.
Canadian Utilities is a globally diversified utilities company headquartered in Canada.
Why I Would Buy
- Dividend – 5. 5% yield, <60% payout ratio.
- Credit Rating – Investment grade long-term credit ratings (A- S&P, A DBRS).
- Defensive Industry – Power generation, electric powerlines, energy pipelines, water infrastructure etc.
What Could Go Wrong
- Expensive – Forward P/E 17+.
- Earnings Decline – YoY decline in earnings
- Expanding Float – Share count increasing.
Disclosure: I am long CDUUF, please read additional disclosures here before taking any action based on this post.