Value Investing Message Board

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Strategies & Market Trends : Value Investing

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next

To: E_K_S who wrote (34503)	5/16/2009 2:59:18 PM
From: Spekulatius	Read Replies (1) of 78742

E_K_S re Utilities: I wonder why you think they are not a good inflation hedge. The regulated ones are essentially cost plus type business models . NG is as cheap as it's going to get and it's NG (plus the spark margin) that determines the power prices because NG power plants are the big wing producer. As far as baseload is concerned power generated by coal has nowhere to go than up because of cap and trade and tougher environmental standards. So unless utilities are squeezed by regulators, the revenues of utilities should rise faster than inflation plus the rate of demand growth.

Report TOU Violation

Share This Post

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next