Interested in your comment on too high price wise. I’ve had a nibble and looking at more if it comes down again so curious to get some opinions on it. Thanks
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price getting savaged
Very difficult to answer. The trend is away from fossil fueled powered stations. The impact on the Huntly power station is the elephant in the room. How safe is the dividend as the company pivots to more renewable power stations. And how does GNE getting rewarded for having Huntly when the rain does not come and wind does not blow?
Fair considerations. They pushing on with solar and the needs of nz electricity demands are only going up as we start transitioning towards EVs. I think huntly will be needed for some time yet, industry players always find a way and they will fund any demands on huntly with higher spot pricing. Renewable energy infrastructure costs will ultimately be met by consumers and tax payers and profit margins will likely be protected under national government which is looking reasonably likely. Kupe is part of the equation too. It’s an industry with a demand that we are all reliant on.
We hold very different views on this .
Kupe and Huntly more likely than not will have a long shelf life .
Gas is the clean transition fuel that we will need for decades to come .
Using a dividend rate of 9% it takes less than 8 years to double your investment
unlikely to lose on buying at current price
likely to be an investment that will provide indefinite returns
good dividend stock for retirement and future legacy
Just my view
I have 1000! Genesis shares. My only individual holding outside ETFs and three index funds.
Now that I've established my creditionals, I see Huntly has consent to operate until 2037. It's not that far away now. I guess it could be renewed but depending on the Government of the day, all sorts of hoops might have to be jumped through.
Coal has been the only thing keeping the lights on during this winter. Huntly should be declared a National Treasure.