Morningstar Rating

Stock Research and Analysis

by Andrew Bischof, CFA

Bulls Say

Duke's regulated utilities provide a stable source of earnings. The company's large capital-expenditure plan should drive rate base and earnings growth for the next several years.
The company operates in constructive North Carolina and South Carolina regulatory jurisdictions, which account for more than half of the company's regulated revenue.
Duke's international businesses are highly contracted with strong cash generation and earnings diversity. Read more 

Bears Say

Energy-efficiency improvements are limiting energy demand growth, putting more pressure on Duke to seek customer rate increases.
Because of Duke's aggressive investment plan, regulatory risk increases.
Rising interest rates could unearth more attractive income-producing alternatives for yield-seeking investors. Read more 

Management

We assign management a Standard Stewardship Rating, as both management and the board have made strides in overcoming key concerns that previously led us to assign a Poor Stewardship Rating in mid-2012. Improvements in corporate governance, mended regulatory   Read more 

Profile

Duke Energy is the largest U.S. utility, with regulated utilities in the Carolinas, Indiana, Florida, Ohio, and Kentucky that deliver electricity and gas to about 7.1 million   Read more 

Dividend-Payers Mostly Weather the Pullback 
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