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Strategies & Market Trends : Value Investing

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From: Paul Senior3/30/2009 8:11:12 PM
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BKH. Very difficult times for people of N. Dakota -- the flooding, the blizzard now. People in S. Dakota not immune. SD utility Black Hills Corp [t]BKH[/t] though looks to me to be a survivor. I'm taking a few shares now with a view to building a small position.

Stock below tangible book value. Div. yield about 8%. 39 consecutive annual increases in the dividend. Although, because the latest increase is only .005 per quarter, it seems to me they may be struggling to maintain their outstanding record of dividend increases.

blackhillscorp.com

si.advfn.com^BKH

When electric utilities were trading at p/e's of 15 (not too long ago), I wasn't much interested. Now that they are under 10x, I'm more willing to consider. I'll build a small package if there's not adverse news coming out of the sector. (I recently added to MIR.) Fwiw, my biggest utility positions (electric) are still Brazil-related.
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