DUK - Duke Energy Just Made a Power Move. Time to Buy the Stock?
2023-06-25 05:09:00 ET
Duke Energy (NYSE: DUK) just made a big decision: It has agreed to sell its business focused on developing clean energy assets. But don't think this means an end to clean energy as it relates to Duke. Far from it! In reality, this giant U.S. utility will continue to invest in clean energy, but now it will have regulator-guaranteed returns on those investments. If you like boring dividend stocks, this move will probably make Duke more attractive.
Duke Energy is, for the most part, a regulated utility . That means it gets a monopoly in the regions where it operates, but it also agrees to be subject to government oversight. Regulators have to approve the company's capital-spending plans and its rate increases. Generally, regulators are pretty reasonable, but they are rarely overly generous. So Duke Energy's growth has been slow and steady over time.
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Duke Energy Just Made a Power Move. Time to Buy the Stock?