Brookfield Renewables: Good Buying Opportunity Off the Dip
Many utility stocks across the TSX and NYSE underwent a falling descending triangle - in fact, many of them seemingly corrected about 5% (ironically) on the same day and around the time (near when phase 1 progress was announced not long ago).
Brookfield Renewable Partners (BEP) is one of the finest utility stocks as its led by Bruce Flatt who is regarded as one of the top real-estate investors in Canada of all time and he will never have any issue raising money should the company ever need-be for acquisitions. Acquisitions are king in the renewable space and this is a key pro for the company.
Utilities have outperformed a little too much in 2019 as an entire sector in my opinion as a result of the uncertainty around global growth, and as a result I see the first half of 2020 providing somewhat muted gains for the sector as a whole, however, as we prove through 2020 midway, I expect economic data to wane once again and this will lift the sector up .
Many utility stocks continue to trade at around 35-50 P/Es which is extremely high for the sector which was just regarded as passive income, not "wealth appreciation".
Nonetheless, for those looking for a decent entry point in a top renewable utility sector (which will be the future), this is the time to monitor closely and buy a position in the stock.
As always, never buy stocks all at once in one lot as tempting as it might be.
- zSplit
Brookfield Renewable Partners (BEP) is one of the finest utility stocks as its led by Bruce Flatt who is regarded as one of the top real-estate investors in Canada of all time and he will never have any issue raising money should the company ever need-be for acquisitions. Acquisitions are king in the renewable space and this is a key pro for the company.
Utilities have outperformed a little too much in 2019 as an entire sector in my opinion as a result of the uncertainty around global growth, and as a result I see the first half of 2020 providing somewhat muted gains for the sector as a whole, however, as we prove through 2020 midway, I expect economic data to wane once again and this will lift the sector up .
Many utility stocks continue to trade at around 35-50 P/Es which is extremely high for the sector which was just regarded as passive income, not "wealth appreciation".
Nonetheless, for those looking for a decent entry point in a top renewable utility sector (which will be the future), this is the time to monitor closely and buy a position in the stock.
As always, never buy stocks all at once in one lot as tempting as it might be.
- zSplit
