RE:RE:RE:Today's stock market rally overlooked ALAWGL paid dividends around 3% in US dollars. At year end 2016 their SP was $62.70 US and the annual dividend payout was $1.95 or 3.11% Investors saw this as a safe, reliable, income stream paying increasing dividends on a regular basis. If ALA again enjoys thi sreputation - and I would like to say when... then a .11 percent payout for ALA takes the stock to 30.86. If RIPET and other develops convince investors that therir is even more growth involved in ALA than WGL without additional risk then the price would also appreciate beyond the $30.86 mark.
This is one reason why patient investors including pension funds have not all bailed on this stock. That is why I am prepared to greatly overweight this stock for now because such Stock appreciation opportunities in utilities are rare. Immagine it takes three more years to reach $31.00
using $20 as a recent price that equates to a 55% gain over three years in A UTILITY or 18.33% annualized. Adding in a 4% dividend take sit to 22.33% per year - On top of which with my rolling up and out option strategy I assume an additional 4% for a total return each year of 26.33%. If this comes only half true I am sitting on a terrific investment in a utility with an annual gain of 13% plus. Anyone doubt that this is an awesome investment fo rthe patient investor. I don't which is why I have strongly overweighted this stock which is rare for me to do. Cheers. Patience