10 Cheap Utility Stocks to Buy According to Hedge Funds

6. Companhia Energética de Minas Gerais – CEMIG (NYSE:CIG)

Number of Hedge Fund Holdings: 13

Companhia Energética de Minas Gerais – CEMIG (NYSE:CIG), one of Brazil’s largest integrated energy utilities, is advancing a major modernization initiative in 2025 with a record investment of BRL 6.3 billion (approx. $6.3 billion). The program focuses on upgrading infrastructure, expanding renewable energy, and embracing digital transformation to strengthen the company’s role in Brazil’s evolving energy landscape.

Key components of this plan include the deployment of smart meters and Advanced Distribution Management Systems (ADMS) to improve grid efficiency and reliability. These technologies enable real-time monitoring and better control, essential for managing increasing renewable energy integration. Additionally, the company is enhancing grid resilience and decentralizing operations through six newly established regional units to improve customer responsiveness.

Companhia Energética de Minas Gerais – CEMIG (NYSE:CIG) is also investing in digital platforms like SAP S4/HANA to boost operational transparency and service agility. These upgrades support the company’s broader goal of transitioning toward a more sustainable and technology-driven energy model. As one of the cheap utility stocks, the business is launching its first solar energy plants in July 2025, reinforcing its commitment to clean energy development.