Water utility industry
Article Abstract:
Privately owned water utility companies may represent only 15% of the drinking water providers and an even lower percentage of the wastewater facilities but they have used acquisitions, mergers and consolidations to finance the new projects needed for compliance with federal laws. Although the privately owned water utilities have improved their capital bases far more than the local or regional municipal utilities have, extreme weather conditions and congressional delays in providing relief from severe portions of the Safe Drinking Water Act and Clean Water Act make industry wide investment dividends unlikely.
Publication Name: The Value Line Investment Survey (Part 3 - Ratings & Reports)
Subject: Business, general
ISSN: 0042-2401
Year: 1996
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Water utility industry
Article Abstract:
The competitive pressures seen by telephone, gas, and electric companies are now being faced by water utilities. In comparison to other utilities the risks are modest, however. Drinking water standards are becoming more strict and water systems are costly to maintain. Smaller water companies are being acquired to complement growth. These stocks are not ranked favorably, but have long term dividend growth and return potential.
Publication Name: The Value Line Investment Survey (Part 3 - Ratings & Reports)
Subject: Business, general
ISSN: 0042-2401
Year: 1995
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Water utility industry
Article Abstract:
Water companies are consolidating to reduce risk, seek greater growth, and meet financial obligations. Rate relief, weather conditions, and drinking water regulation are the major components leading to mixed earnings results. Capital budget allocations will remain high through 1996 for Safe Drinking Water Act and regulation compliance. Risk-tolerant investors seeking dividend growth will find several good stocks, however.
Publication Name: The Value Line Investment Survey (Part 3 - Ratings & Reports)
Subject: Business, general
ISSN: 0042-2401
Year: 1995
User Contributions:
Comment about this article or add new information about this topic: