AltaGas Ltd T.ALA

Fear of rising interest rates creating short term challenges

[Johnwith30years]

I think most of the utilities are sufering below long term fair market value right now  from interest rate jitters but  a jump tomorrow should be in the cards for solid results.

[Capharnaum]

I think part of the interest rate affecting utilities negatively is just analysts' narratives. Utilities are seen as low growth steady earners. However, most of the utilities rate of return on assets base have the 10 year bond as a component. In that sense, higher rates should lead to higher rate of return on assets base (so improved results). As well, a company like Altagas with a clear

[Johnwith30years]

Nice reflection.  I agree the jitters are just that  more headlines than longer term effect on ALA but it can provide a short term drag effect I am thinking.