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Strategies & Market Trends : Value Investing

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To: Steve Felix who wrote (34999)8/5/2009 1:50:05 PM
From: E_K_S  Read Replies (1) of 78748
 
Hi Steve - I am looking at PPL too but would like a slightly lower entry point (at $27.60 it would yield 5%). I am trying to buy these utilities at PEs below 10 and sell them when they are above 12 just using a broad based measure of value. The same is true for yields. I want to own them with yields of 5% or higher and consider selling them when the yield drops below 4%.

This is the list I have compiled:
finance.yahoo.com

I am excluding AEE based on my June 19, 2009 review
Message 25705905

On July 24, 2009, the company applied for an 18% rate hike which will probably nor get approved in full. So, AEE is off my list for the time being.

Many of these have rallied 20% or more from their earlier lows only 120 days ago. PPL seems to be a laggard and has the potential for a double from current prices.

I agree w/ your observation "... seems like a good place to park a few bucks..." especially as my credit union only yields 1.6% and these utility dividends are "qualified" which for now are taxed at a max of 15%.

EKS
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