Canadian Utilities (TSE:CU) Reaches New 1-Year High - Still a Buy?

Key Points

• Canadian Utilities Limited's stock reached a new **52-week high** of **C$39.41** during trading, closing at **C$39.38** with a trading volume of **29,056 shares**.
• The company announced an increase in its **quarterly dividend** to **$0.4577**, representing a **4.65% yield**, with the next payment scheduled for **September 1st**.
• Analysts have set an average price target of **C$38.83** for Canadian Utilities, with recent upgrades from various firms including Royal Bank of Canada raising its target to **C$41.00**.

Canadian Utilities Limited (TSE:CU - Get Free Report) shares hit a new 52-week high on Wednesday . The company traded as high as C$39.41 and last traded at C$39.38, with a volume of 29056 shares trading hands. The stock had previously closed at C$39.01.

Analysts Set New Price Targets

A number of research analysts have commented on CU shares. Royal Bank Of Canada lifted their price objective on shares of Canadian Utilities from C$39.00 to C$41.00 and gave the company a "sector perform" rating in a research note on Thursday, May 8th. CIBC lifted their price objective on shares of Canadian Utilities from C$38.00 to C$40.00 in a research note on Friday, April 4th. Finally, TD Securities upgraded shares of Canadian Utilities to a "hold" rating and set a C$40.00 price objective on the stock in a research note on Friday, June 27th. Five analysts have rated the stock with a hold rating, Based on data from MarketBeat, the stock has an average rating of "Hold" and a consensus target price of C$38.83.

Canadian Utilities Trading Up 0.4%

The company has a debt-to-equity ratio of 158.34, a current ratio of 1.63 and a quick ratio of 1.30. The business's 50 day simple moving average is C$38.11 and its 200 day simple moving average is C$36.55. The company has a market capitalization of C$7.91 billion, a price-to-earnings ratio of 20.93, a price-to-earnings-growth ratio of 2.38 and a beta of 0.66.

Canadian Utilities Increases Dividend

The company also recently declared a quarterly dividend, which will be paid on Monday, September 1st. Stockholders of record on Thursday, August 7th will be paid a dividend of $0.4577 per share. This represents a $1.83 dividend on an annualized basis and a dividend yield of 4.7%. This is a positive change from Canadian Utilities's previous quarterly dividend of $0.45. Canadian Utilities's payout ratio is 97.79%.

Insider Activity

In other news, Senior Officer James Armstrong sold 1,258 shares of the business's stock in a transaction dated Friday, May 9th. The shares were sold at an average price of C$37.98, for a total transaction of C$47,778.84. Following the transaction, the insider directly owned 136 shares in the company, valued at C$5,165.28. The trade was a 90.24% decrease in their ownership of the stock. Insiders have sold 1,508 shares of company stock worth $57,191 in the last quarter. Insiders own 37.58% of the company's stock.

Canadian Utilities Company Profile

Canadian Utilities Limited, together with its subsidiaries, engages in the electricity, natural gas, renewables, pipelines, liquids, and retail energy businesses in Canada, Australia, and internationally. It operates through ATCO Energy Systems, ATCO EnPower, and Corporate & Other segments. The ATCO Energy Systems segment provides regulated electricity transmission and distribution services in northern and central east Alberta, the Yukon, the Northwest Territories, and the Lloydminster area of Saskatchewan; and integrated natural gas transmission and distribution services in Alberta, the Lloydminster area of Saskatchewan, and Western Australia.