Utilities: Rich Prices Could Limit Defensive Prowess
The sector is trading at the largest premium to our fair value estimate since 2017.
Utilities continue to impress, with good growth prospects, secure dividends, and sound balance sheets. That's good news for investors, who could realize 5%-7% annual dividend and earnings growth from many high-quality utilities with narrow moats and 3% yields.
Utilities just keep going and going and going - source: Morningstar Analysts
Travis Miller does not own (actual or beneficial) shares in any of the securities mentioned above. Find out about Morningstar’s editorial policies.