AltaGas Ltd T.ALA

For those interested

[Johnwith30years]

Many of you know my largest position is ALA and I am comfortable that this atock will advance this year.  However given the quality of FTS  and how it has "guaranteed"  - let's say projected 5% per year dividend increases until 2025 and how it should benefit from the changes to renewable electricity generation over time  AND especially as its stock price is  very low compared to historical,

I think its overall return this year will/may be higher than ALA's total return.  Consequently I am shifting out of about 20% of my ALA and moving it over to FTS   - have just done so.  

Further ATD.B   looks likea good time to add given a few uncertainties that this best run company has created.  Not a big dividend player but good growth fro those looking for safe diversification.

Given my historical timing ALA will probably soar!!  LOL

[Capharnaum]

Something that's not taken into account for Altagas is that natural gas utilities trade at around 1.9x regulated assets base. Since they are into an accelerated investment period, this means that every dollar they put into regulated assets base will be worth around 1.9x (based on real world transactions) if they ever split the business (utilities/mid-stream). I believe that such a split, at

[Johnwith30years]

Yes I agree ALA is still an excellent investment.   I do not see any break-up happening within a 12 month time frame.  Do you.   So I may switch back more fully to ALA  during the year if I see a modest rise in ALA and a stronger one is FTS,  But what time frame are you thinking for unlocking fuller ALA utility value??   Thanks for your perspective.

[Capharnaum]

I thought I would mention the potential split and valuation because I recently had a meeting with M&A people in the energy industry. I thought the valuations were interesting. Imo, if they invest $1 knowing the value on the market will be almost twice as high, they'll probably wait until closer to the end of the investment program (I think it runs through 2024?). Interestingly enough

[Johnwith30years]

SEE P|M please. 

[Johnwith30years]

I'd also be interested in your take re ENB.  PM if better than main site here.  Thank you.  Cheers 

[jeffpei]

..very interested John. Agree that FTS should do well in 2021. Disagree with the timng of your sale of ALA, based on the upcoming quarterly reports. I expect that ALA will push towards 22.00 before Feb reporting... ALA is still my #1 holding, others include FTS, AQN, PPL and GEI. anyway best of luck to all.

[bossu]

Just want  to remember what Randy has said on December 9 at the time he announced a 10% div increase: «As we approach the end of 2020, we expect to deliver operating and financial results that are in line with the expectations we set at the beginning of the year, despite the COVID-19 global pandemic. This is a testament to the durability of our diversified business and the purposeful

[Bushman3333]

To  Bossu,   where is 10% dividend increase, just 4% increase? ?? We had January 15th 2021

[bossu]

Sorry ,I was concentrated on the Randy's wording and  to specify  the date of the announcement and what he was saying. So I should have write at the time he announced a dividend increased. Period.