Here's a statement of the obvious: The opinions expressed here are those of the participants, not those of the Mutual Fund Observer. We cannot vouch for the accuracy or appropriateness of any of it, though we do encourage civility and good humor.
@Crash Anything more sensitive to interest rate hikes is going to have the magic touch today. Real estate is getting a whack, too. Financials (banks) will do well. 'Course, things will move along. Have to watch next week.
I started a small holding in PNM Resources, and have added a bit each month, following the original. So, it got clotheslined pretty bad. Div. due soon on that one. I think I did well, choosing that one. Oops. This is a mutual fund board!
PNM is my local utility, thought I would post this for your interest in PNM. I really like PNM, they are very generous with nonprofits and a good public servant. Besides, since I have solar panels, I don't pay for my electricity - usually its $0 after balancing out the months I pay (winter months) vs the generating months (March - October). I get 300 days of sun each year, thats when it really works. After having lived in Cleveland for 13 years in 70s and 80s where its cloudy 300 days each year, it's nice
THANKS for the info, Slick! @Catch22 : I did not own a utility fund, and I knew my utility exposure across my portfolio was rather low. Even if they get hit by a rate hike, over the long haul, it will be a good dividend payer. Utility stocks are historically good defensive positions, come hell or high water. I lived briefly in NM, too. So the idea did not seem literally foreign and strange to me. I'll be 62 at my next birthday, and looking for reliable income. They are taking steps to transition away from coal to natgas. Their San Juan Generating Plant (coal) is already half-shut-down. The company is taking bids right now for a natgas generating facility, to operate on that site. There were 4 "units." Two are shut down. And now, at least one of the two remaining will before too long be operating using gas, rather than coal. This is all Clean Air Act compliance stuff.
Last summer, they requested a rate increase. It was rejected. The State's agency wanted more information. So, they re-filed in August or September. It's not approved YET. PNM's service area is in NM and in separated geographical pockets in Texas, via a sister-utility, under the same umbrella: TNMP.
I checked P/E. Not out of bounds, yet. The stock price has been rising, so the yield is down from 3% to about 2.82%. Whoever the professional Analysts are, they are rating PNM Resources a 4.3 out of a possible 5, averaged-out, as listed on Morningstar's page. I also looked at the stock using a webpage called "Simply Wall Street." It's a cool tool! And of course, I went and read a bunch of stuff on the PNM website. By now, though I'm not a pro, I'm not still a "babe in the woods" when it comes to translating those "forward looking statements." It's like reading Real Estate listings: "fixer-upper" means the place is a disaster, and you are merely buying the property, while the structure will need to be demolished, and something new erected in its place.
"FlashRatings" was another webpage I went to. ...... And the DSPP lets me get in without saving-up a fortune before I can move on my choice. Nice. ... Gotta run, now. ...
@Crash : glad to see you do so much homework, and thanks for posting websites to go to. I use FRUAX for my utilties exposure , about 5% and have been pretty happy with it, but am considering PNM as a bond equivalent in my taxable portion when one of my bonds cashes in mid 2016.
"But [ I ] am considering PNM as a bond equivalent in my taxable portion when one of my bonds cashes in mid 2016. "
slick, PNM is a stock that fell -28% in '07 and another -50% in '08. From the M* graph it looks like it took almost 7 years to come back to it's '07 peak value. Bond equivalent??? My goodness.
Ok let up guys. Im talking about for income. My taxable portfolio is my smallest portion of total (Retirement portfolios is 70% of total). Stock portfolio is well diversified, but hold individual bonds which do not vary much like a bond funds do. One of the bonds comes due in june 2016, will look to replace some of the income. Getting over 4% on them, (munis) hate to just stick it in a low yielding bond when it matures.
Comments
Anything more sensitive to interest rate hikes is going to have the magic touch today.
Real estate is getting a whack, too. Financials (banks) will do well.
'Course, things will move along.
Have to watch next week.
So. What attracted you to this particular stock and the utility sector?
Being curious, as normal; about choices.
Thanks in advance.
https://finance.yahoo.com/news/n-m-supreme-court-dismisses-231100416.html
@Catch22 : I did not own a utility fund, and I knew my utility exposure across my portfolio was rather low. Even if they get hit by a rate hike, over the long haul, it will be a good dividend payer. Utility stocks are historically good defensive positions, come hell or high water. I lived briefly in NM, too. So the idea did not seem literally foreign and strange to me. I'll be 62 at my next birthday, and looking for reliable income. They are taking steps to transition away from coal to natgas. Their San Juan Generating Plant (coal) is already half-shut-down. The company is taking bids right now for a natgas generating facility, to operate on that site. There were 4 "units." Two are shut down. And now, at least one of the two remaining will before too long be operating using gas, rather than coal. This is all Clean Air Act compliance stuff.
Last summer, they requested a rate increase. It was rejected. The State's agency wanted more information. So, they re-filed in August or September. It's not approved YET. PNM's service area is in NM and in separated geographical pockets in Texas, via a sister-utility, under the same umbrella: TNMP.
I checked P/E. Not out of bounds, yet. The stock price has been rising, so the yield is down from 3% to about 2.82%. Whoever the professional Analysts are, they are rating PNM Resources a 4.3 out of a possible 5, averaged-out, as listed on Morningstar's page. I also looked at the stock using a webpage called "Simply Wall Street." It's a cool tool! And of course, I went and read a bunch of stuff on the PNM website. By now, though I'm not a pro, I'm not still a "babe in the woods" when it comes to translating those "forward looking statements." It's like reading Real Estate listings: "fixer-upper" means the place is a disaster, and you are merely buying the property, while the structure will need to be demolished, and something new erected in its place.
"FlashRatings" was another webpage I went to. ...... And the DSPP lets me get in without saving-up a fortune before I can move on my choice. Nice. ... Gotta run, now. ...