Watering down profits
Hydro isn’t dead just yet. Dams provide much-needed baseload energy, and for utilities with strategic assets, they can still help their bottom line. For Integrys Energy Group, Inc. (NYSE:TEG), its latest sale won’t do much at all. At only 0.5 MW of capacity, the utility still has 82.9 MW of water power to its name. Compared with 1,616 MW of coal and 502 MW of gas and oil assets, hydro’s a drop in the bucket. But as other utilities have shown, it may be a drop worth drying up.
The article 1 More Dividend Stock Heads Away From Hydro originally appeared on Fool.com is written by Justin Loiseau.
Fool contributor Justin Loiseau has no position in any stocks mentioned, but he does use electricity. You can follow him on Twitter, @TMFJLo, and on Motley Fool CAPS, @TMFJLo. The Motley Fool has no position in any of the stocks mentioned.
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