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Strategies & Market Trends : Value Investing -- Ignore unavailable to you. Want to Upgrade?

To: Spekulatius who wrote (36644)	2/10/2010 9:53:28 AM
From: E_K_S	Read Replies (1) \| Respond to of 78702

Hi Spekulatius - I put Laclede Group Inc. (LG) on my watch list. This should be a good one to add to my basket of NG utilities. For Las Vegas I have Southwest Gas Corporation (SWX) which you bought. It's been an excellent performer now up over 30% since you mentioned it on this board. I have hedged a portion of my utility gains be selling some covered calls. Unfortunately, I was exercised on a few shares of my Black Hills Corporation (BKH) so I need to redeploy these monies. EKS

To: Spekulatius who wrote (36644)	2/10/2010 11:07:23 AM
From: Grommit	2 Recommendations Read Replies (2) \| Respond to of 78702

Utility. I agree that NI looks fairly valued and that FPL might have more price upside. Actually I reviewed all my utilities and switched a few horses. I sold NI and bought a supersized amount of FPL and regular amount of ATO and AGL. I own these 4 utilities now -- FPL, ATO, AGL, CNP, and utilities are 6% of my portfolio. I feel green with FPL -- "one-third of all wind capacity and the largest solar energy producer". finance.yahoo.com here's some data based on present prices. payout is dividend / 2011 EPS. (According to yahoo, the average PE for gas utilities is 15.7 and elect is 15.1) ATO AGL CNP NI FPL PE 10 12.6 11.8 12.3 13.1 10.5 PE 11 11.4 11.0 11.7 12.5 9.9 Yield 5.1% 5.1% 5.7% 6.3% 4.1% Payout 58% 56% 66% 78% 41%