Aug 9, 2017|
Travis Miller (Morningstar, D) by The Financial Exchange
Transcript - Not for consumer use. Robot overlords only. Will not be accurate.
Travis Miller is on board now to talk about dominion energy Travis thank you coming out with us. Terms dominion has been on a pretty decent run. Over the last years are trading pretty close to its 52 week high here but overall. This is a pretty stable stock word where do you see it going over the next twelve to eighteen months. Economic as a group good opportunity is always talked about for awhile and a lot of that the system we've been talking about this started to finally get into. Visibility range Republican. We've done a lot of these projects to three years now and now is that a two to three years we're looking at cash turning to come in the dorms and really good investments are making. Over the next one that two for anybody looking for income and growth really and as a stand out right now. Where's the growth coming from is typically when you see utility stock you say okay there's not going to be a ton of it. What are they doing to try to grow. Yes it was in Bergen and do a person dividend growth and is by far the best in the sector right now got a couple things one they're Virginia utility service territories draw better than any other. Place they were just talking the other day about adding eight state honors so far in their service territory in the last year. And 2%. Usage growth on the electricity side and that those sound like much but that's triple. Quadruple and other utilities are saying it's really good usage growth and then they got these big projects on gas pipeline shaking gas from the Marcellus Shale regions all the really cheap gas coming out of the ground there. And transporting it down to the Carolinas where guesses. Two or three times more expensive. The top five billion dollar project just got book approval. Expected in October and that's gonna start producing cashing 20s19. What's the potential downside for this company what kind of scenario could caused them to struggle. Yeah I think it any of these investments that look like they're one and two years out of there were any kind of delays or cost overruns we think that's very likely. But that is substantial. And then you know the utility at the end of the day and has got a good dividend yield and any kind of interest rates. Increases. Are gonna pressure that specially relative to other sectors. For good Travis thank you very much for joining us today. Absolutely that is Travis Miller for a morning start talking about dominion energy with the ticker.