Why Dominion Is Poised to Outperform

Based on the aggregated intelligence of 180,000-plus investors participating in Motley Fool CAPS, the Fool's free investing community, energy giant Dominion Resources (NYSE: D  ) has earned a coveted five-star ranking.

With that in mind, let's take a closer look at Dominion and see what CAPS investors are saying about the stock right now.

Dominion facts

Headquarters (Founded)

Richmond, Va. (1909)

Market Cap

$32.5 billion

Industry

Multi-utilities

Trailing-12-Month Revenue

$13.1 billion

Management

Chairman/CEO Thomas Farrell
CFO Mark McGettrick

Return on Equity (Average, Past 3 Years)

14%

Cash/Debt

$248.0 million / $21.7 billion

Dividend Yield

4%

Competitors

American Electric Power (NYSE: AEP  )
Duke Energy
(NYSE: DUK  )
Exelon
(NYSE: EXC  )

Sources: S&P Capital IQ and Motley Fool CAPS.

On CAPS, 93% of the 657 members who have rated Dominion believe the stock will outperform the S&P 500 going forward.

Earlier today, one of those Fools, TMFmd19, succinctly summed up the Dominion bull case for our community:

When you add it all up, the generation growth, the midstream opportunities and the financial profile it's easy to see that Dominion has a lot to offer income seeking investors. There's also more potential upside in the future from Cove Point and even an eventual sale or MLP IPO of some of its midstream assets, especially in the Utica. That's why I think Dominion just might be the best positioned utility to generate market beating returns over the next few years.

As the nation moves increasingly toward clean energy, Exelon is perfectly positioned to capitalize on having the largest nuclear fleet in North America. Combine this strength with an increased focus on renewable energy, and Exelon's recent merger with Constellation places Exelon and its clean portfolio on a short list of top utilities. To determine if Exelon is a good long-term fit for your portfolio, you're invited to check out The Motley Fool's premium research report on the company. Simply click here now for instant access.

Want to see how well (or not so well) the stocks in this series are performing? Follow the TrackPoisedTo CAPS account.


Read/Post Comments (1) | Recommend This Article (3)

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  • Report this Comment On March 09, 2013, at 10:25 PM, CallBS wrote:

    Just had my service restored after second major power outage of the year. Total of +9 days without power this year. The first in July with 100 degree temps. The second in March with freezing temperatures. Maybe Bob McDonnell is poised to outperform with Dominion but certainly not the consumer who are forced to live with subpar service and high rates. Sell, Sell, Sell!!!

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