We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
Duke Energy Unit Files Rate Case to Recover Invested Capital
Read MoreHide Full Article
Duke Energy’s (DUK - Free Report) subsidiary Duke Energy Florida (“DEF”) filed a rate case for 2019 to the Florida Public Service Commission to recover the investments made to enhance reliability, security and resilience of the existing infrastructure.
DEF is planning to bring more solar power in the system, invest in Citrus Combined Cycle Natural Gas Plant and work on grid improvement.
If approved, the rate revision will hike the monthly utility bills by 88 cents for the customers using 1,000 kWh from Jan 2019.
Modernization Plan
The company is making strategic investments as well as planning to replace aging coal units with new natural gas-fired generation and utility scale solar units. The company is also upgrading existing transmission and distribution assets along with adding battery storage facilities.
Duke Energy’s Western Carolinas modernization project is on track and expected to be in service from 2019. Construction of 1,600 megawatt Citrus County combined-cycle plant in Florida is also on track. The unit is expected to serve customers from October 2018.
Importance of Rate Hike
Fundamentally strong and mature utility companies are generally regulated in nature. To serve existing customers with efficiency, the companies are required to focus on assets. Usage of modern technologies makes utility companies more reliable to customers. To provide uninterrupted services, regular investment is the most common and important phenomenon. And to recover the invested capitals, utility companies’ files rate hike to the commissions.
Other utilities have also filed for rate hike to maintain the flow of business. Recently, FirstEnergy‘s (FE - Free Report) subsidiary — Potomac Edison — filed a rate case to the Maryland Public Service Commission (“PSC”) in nearly 25 years to recover the amount invested in enhancing service reliability, grid flexibility and modernizing existing setups.
NiSource (NI - Free Report) plans to invest $1.7-$1.8 billion to strengthen utility infrastructure in 2018. The company filed rate hike applications in different commissions to recover investment and maintain infrastructure strengthening activities.
Price Movement
Shares of Duke Energy have gained 6.6% compared with the industry’s rise of 5.0% in the past six months.
Zacks Rank & Key Pick
Duke Energy currently carries a Zacks Rank #3 (Hold). A better-ranked stock from the same space is NRG Energy, Inc. (NRG - Free Report) , sporting a Zacks Rank #1 (Strong Buy). The company delivered an average earnings surprise of 213.28% in the past four quarters. The Zacks Consensus Estimate for earnings moved up 3.5% in the past 30 days. You can seethe complete list of today's Zacks #1 Rank stocks here.
Today's Stocks from Zacks' Hottest Strategies
It's hard to believe, even for us at Zacks. But while the market gained +21.9% in 2017, our top stock-picking screens have returned +115.0%, +109.3%, +104.9%, +98.6%, and +67.1%.
And this outperformance has not just been a recent phenomenon. Over the years it has been remarkably consistent. From 2000 - 2017, the composite yearly average gain for these strategies has beaten the market more than 19X over. Maybe even more remarkable is the fact that we're willing to share their latest stocks with you without cost or obligation.
Image: Bigstock
Duke Energy Unit Files Rate Case to Recover Invested Capital
Duke Energy’s (DUK - Free Report) subsidiary Duke Energy Florida (“DEF”) filed a rate case for 2019 to the Florida Public Service Commission to recover the investments made to enhance reliability, security and resilience of the existing infrastructure.
DEF is planning to bring more solar power in the system, invest in Citrus Combined Cycle Natural Gas Plant and work on grid improvement.
If approved, the rate revision will hike the monthly utility bills by 88 cents for the customers using 1,000 kWh from Jan 2019.
Modernization Plan
The company is making strategic investments as well as planning to replace aging coal units with new natural gas-fired generation and utility scale solar units. The company is also upgrading existing transmission and distribution assets along with adding battery storage facilities.
Duke Energy’s Western Carolinas modernization project is on track and expected to be in service from 2019. Construction of 1,600 megawatt Citrus County combined-cycle plant in Florida is also on track. The unit is expected to serve customers from October 2018.
Importance of Rate Hike
Fundamentally strong and mature utility companies are generally regulated in nature. To serve existing customers with efficiency, the companies are required to focus on assets. Usage of modern technologies makes utility companies more reliable to customers. To provide uninterrupted services, regular investment is the most common and important phenomenon. And to recover the invested capitals, utility companies’ files rate hike to the commissions.
Other utilities have also filed for rate hike to maintain the flow of business. Recently, FirstEnergy‘s (FE - Free Report) subsidiary — Potomac Edison — filed a rate case to the Maryland Public Service Commission (“PSC”) in nearly 25 years to recover the amount invested in enhancing service reliability, grid flexibility and modernizing existing setups.
NiSource (NI - Free Report) plans to invest $1.7-$1.8 billion to strengthen utility infrastructure in 2018. The company filed rate hike applications in different commissions to recover investment and maintain infrastructure strengthening activities.
Price Movement
Shares of Duke Energy have gained 6.6% compared with the industry’s rise of 5.0% in the past six months.
Zacks Rank & Key Pick
Duke Energy currently carries a Zacks Rank #3 (Hold). A better-ranked stock from the same space is NRG Energy, Inc. (NRG - Free Report) , sporting a Zacks Rank #1 (Strong Buy). The company delivered an average earnings surprise of 213.28% in the past four quarters. The Zacks Consensus Estimate for earnings moved up 3.5% in the past 30 days. You can see the complete list of today's Zacks #1 Rank stocks here.
Today's Stocks from Zacks' Hottest Strategies
It's hard to believe, even for us at Zacks. But while the market gained +21.9% in 2017, our top stock-picking screens have returned +115.0%, +109.3%, +104.9%, +98.6%, and +67.1%.
And this outperformance has not just been a recent phenomenon. Over the years it has been remarkably consistent. From 2000 - 2017, the composite yearly average gain for these strategies has beaten the market more than 19X over. Maybe even more remarkable is the fact that we're willing to share their latest stocks with you without cost or obligation.
See Them Free>>