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Strategies & Market Trends : Value Investing

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To: elmatador who wrote (31296)9/17/2008 10:56:01 AM
From: Paul Senior  Read Replies (8) of 78747
 
Adding to position in Brazilian utility, CPFL Energia S.A. ([t]CPL[/t]).

I don't understand why the one analyst (per Yahoo) has earnings dropping next year and following year. The utility is in a region of growing business development and growing public demand. A negative might be that the utility provides energy through its hydroelectric plants, and (I've read) there may be a water shortage/drought in some areas of Brazil.

Company says its policy is to pay out a substantial portion of its earnings in semiannual dividends.

Current yield is over 10%, if stock and earnings hold up.
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