RE:Reality checkmarketsense wrote: For those who like to throw numbers around, don't forget to include in your calculations, we are
in the midst of a mind numbing pandemic. That means most companies are struggling to survive
in almost a depression type environment. Translating that to ALA specifically, if they even
manage to equal last years numbers, that is an achievement in itself. We are not living in
exactly healthy times and so expectations need to be adjusted. That said. this is a utility stock
that customers rely on to function in their daily lives and so the demand for their service should
remain relatively strong. As long as customers retain the ability to pay their bills, ALA will
be ok. . As far as growth is concerned, I don't think this is the time to be expecting a lot
given the backdrop of the reality of a global pandemic. Growth would be nice but I think one
has to be realistic IMO. If there is no growth, that doesn't mean this is a bad stock, however
what the market thinks is another thing and I have long given up on predicting that.
For utilities under a cost of service model, growth comes from the asset base, not specifically from the customer base. Earnings are a straight return calculation based on assets value (regardless of customers volume). Due to the recent investments in WGL, earnings will grow on the utility portion, covid or not.
As to the midstream, for the non-contracted part, it depends on the spreads and their infrastructure. Spreads don't necessarily narrow down based on global economics.