Investor-owned utilities charge 23% more for electricity than public providers

Re:Investor-owned utilities charge 23% more for electricity ... by WarmWash on Friday October 23, 2026 @10:41AM (#50209876)

Thanks

These are their five year stock gains, with the general market for reference.

Market (SP500): 68%

Market(tech): 89%

XEL: +20%

AEP: +51%

SO: +47%

EIX: -5%

CPK: +2.5%

AQN: -64%

NGG: +30%

NEE: -3.5%

Looks like a pretty bad industry for profits, even stacking the dividend on AEP, it still comes up short of SP500.

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Re:Investor-owned utilities charge 23% more for electricity ... by triceratops on Friday October 23, 2026 @11:05AM (#50210294)

Everything comes up short of the S&P 500.

Utility companies get local monopolies and in exchange their prices are regulated. Consequently they have moderate but stable, essentially guaranteed, returns.

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Re:Investor-owned utilities charge 23% more for electricity ... by lotsofpulp on Saturday October 24, 2026 @07:04AM (#50220120)

Why would anyone invest in any other equity other than SP500 if they all come up short (assuming your goal is to have USD in the future)?

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Re:Investor-owned utilities charge 23% more for electricity ... by toomuchtodo on Monday November 02, 2026 @01:05PM (#50340902)

Diversification against concentration risk.

https://www.finra.org/investors/insights/concentration-risk

https://en.wikipedia.org/wiki/Concentration_risk

https://ncua.gov/regulation-supervision/letters-credit-union...

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Re:Investor-owned utilities charge 23% more for electricity ... by cj on Friday October 23, 2026 @11:10AM (#50210383)

Your goal post for acceptable profit taking for utilities is… the S&P 500?

That makes very little sense.

And stock price is not a measure of profit.

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Re:Investor-owned utilities charge 23% more for electricity ... by lotsofpulp on Saturday October 24, 2026 @07:05AM (#50220125)

If you are choosing to invest in equities for the long term, why is benchmarking against the lowest risk long term equity investment not sensible?

Although, a 5 year investment term is too short for comparing equity returns for a long term investment.

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