• Last Updated:
  • Nov 8th, 2018 2:42 pm
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Deal Addict
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Dec 10, 2008
3918 posts
479 upvotes
Toronto
RCGA wrote:
Apr 22nd, 2018 5:23 pm
I'm down 16% on H

Worst performing stock in my portfolio
Now down 22%
Member
Aug 16, 2015
276 posts
38 upvotes
RCGA wrote:
May 16th, 2018 12:44 pm
Now down 22%
yikes. dividend almost at 5%.

So many were touting this as a very safe dividend and exceptionally "safe" stock. Same old shit from mr market. No such thing as a safe stock don't believe anyone who tells you otherwise.

I'm willing to average down on ZUT if things get crazy. Lets go market. Bring on the cheap shares.
Deal Fanatic
Nov 24, 2013
5129 posts
1740 upvotes
Kingston, ON
kilburn305 wrote:
May 16th, 2018 4:27 pm
yikes. dividend almost at 5%.

So many were touting this as a very safe dividend and exceptionally "safe" stock. Same old shit from mr market. No such thing as a safe stock don't believe anyone who tells you otherwise.

I'm willing to average down on ZUT if things get crazy. Lets go market. Bring on the cheap shares.
"Safe" dividend doesn't mean share price is never going to go down in short-medium term.
Sr. Member
Jan 23, 2009
657 posts
315 upvotes
ontario
PC or NDP then what happen to Hydro one stock

My view PC = stock back to normal trading around 21$ - NDP = buy back hum i dont believe it will happen then stock back to normal 21$
or am i wrong what do you think
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Aug 28, 2012
1702 posts
756 upvotes
Kanata, ON
Also wondering about hopping back in. Got in at IPO, sold 4 months ago as the mud-slinging was starting around the election. Dividend is looking a little more enticing at the moment though.

The outcome of the election will likely be minority NDP or minority PC. Can't see much changing at Hydro One - just hoping that things will stabilize following the election.
Member
Sep 23, 2010
244 posts
41 upvotes
TORONTO
My thinking is that whomever wins the election will focus the blame for hydro costs on the Liberals rather than pursuing profit destruction at Hydro One, especially since whatever political appeasement is done, be it buybacks or subsidies, look to be funded from the profits of Hydro One.


In the likely event of a PC majority, I'd look for an opportunity to buy at $19 if there is a short-term dip on concern about executive severance costs.
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Feb 11, 2009
16238 posts
2257 upvotes
Toronto
Looks like tomorrow is going to be a buying day at Hydro One! All the shares I own are from the IPO, and sold half (of a large overall stake) at $25-$26. Expecting $18-$19 - Load up, let it earn 5% in dividends, sit back and relax! :)
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Jun 7, 2008
3732 posts
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Toronto
Lol oh hydro one,

We bullish on this now?
Current KOODO and FIDO customer😎
Deal Fanatic
Nov 24, 2013
5129 posts
1740 upvotes
Kingston, ON
Tiny gap up then trading down. What exactly is the upside for the stock, financially, supposed to be when Ford's Premier?

The plan is to move conservation program costs from the rate base to tax base, but that affects the OPG rates, not Hydro One's distribution prices & costs. The plan is to subsidize rates using H dividends, but it's not clear if that's the electricity rates or the transmission/distribution rates. I'm guessing the former?

The concrete bit of his premiership affecting the corp is firing Mayo Schmidt and reducing executive & staff compensation. In theory lower compensation expense increases the bottom line, but it's unclear how the market will take the provincial intervention. If anything it's a component of what's been driving the price down.
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Feb 11, 2009
16238 posts
2257 upvotes
Toronto
Mike15 wrote:
Jun 8th, 2018 11:01 am
Tiny gap up then trading down. What exactly is the upside for the stock, financially, supposed to be when Ford's Premier?

The plan is to move conservation program costs from the rate base to tax base, but that affects the OPG rates, not Hydro One's distribution prices & costs. The plan is to subsidize rates using H dividends, but it's not clear if that's the electricity rates or the transmission/distribution rates. I'm guessing the former?

The concrete bit of his premiership affecting the corp is firing Mayo Schmidt and reducing executive & staff compensation. In theory lower compensation expense increases the bottom line, but it's unclear how the market will take the provincial intervention. If anything it's a component of what's been driving the price down.
This, I'm in the opinion of it being down artificially

In the long run - Increased usage from the adaption of EV's is what I'm banking on with Hydro One. In the meantime its a safe stock thats not going anywhere and will keep earning me my dividends.

Was hoping for panic selling today, but didn't get any. Picked up some shares at $19.40
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Deal Expert
May 30, 2005
40686 posts
2097 upvotes
Richmond Hill
deal_with_singh wrote:
Jun 8th, 2018 8:24 pm
This, I'm in the opinion of it being down artificially

In the long run - Increased usage from the adaption of EV's is what I'm banking on with Hydro One. In the meantime its a safe stock thats not going anywhere and will keep earning me my dividends.

Was hoping for panic selling today, but didn't get any. Picked up some shares at $19.40
I think the biggest caveat here is that in an interest-rate rising environment, utilities become an ever less-interesting play than they were during the zero interest rate environments.
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Feb 11, 2009
16238 posts
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Toronto
Jon Lai wrote:
Jun 9th, 2018 9:11 am
I think the biggest caveat here is that in an interest-rate rising environment, utilities become an ever less-interesting play than they were during the zero interest rate environments.
In theory, yes...but here are a couple examples. Interest rates were definitely higher pre 2008, and crazy high in the 90's....yet....

Basically interest rates falter the dividend %, its somewhat mitigated by the fact that dividends rise as well over time. Although, base fundamentals have a lot to do with it as well. As I said, the EV boom will work out well for such utilities in the long run, especially in Ontario. I used the following 2 as examples only as those are older utilities that have been around for a while.
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Deal Addict
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Jan 6, 2011
4713 posts
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GTA
What's a good benchmark for hydro one?

2016 wasn't a good time to raise capital and it might be possible to scoop up some cheap shares on H1.
Deal Addict
Aug 27, 2009
1211 posts
316 upvotes
Oakville
Down >4% as of this writing presumably due to CEO and board of directors changes.

This just highlights two big risks in an entity where the gov't has such great influence:
1. Political meddling
2. Sheer inefficiency and incompetence throughout the organization.

The above factors are not mutually exclusive.

That said, this might be a good entry point for those interested in H.
Not for me though as there are other utilities with better dividends, dividend growth and share price appreciation prospects.
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May 28, 2009
1088 posts
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Belleville
RETD wrote:
Jul 12th, 2018 12:31 pm
Down >4% as of this writing presumably due to CEO and board of directors changes.

This just highlights two big risks in an entity where the gov't has such great influence:
1. Political meddling
2. Sheer inefficiency and incompetence throughout the organization.

The above factors are not mutually exclusive.

That said, this might be a good entry point for those interested in H.
Not for me though as there are other utilities with better dividends, dividend growth and share price appreciation prospects.
Care to share what you are buying/holding?

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