(CU) Canadian Utilities - Ratings and Ratios

Canadian Utilities Limited is a diversified energy company operating in Canada, Australia, and internationally, with a presence in electricity, natural gas, renewables, pipelines, and liquids businesses. The companys operations are segmented into ATCO Energy Systems, ATCO EnPower, and ATCO Australia, providing a range of services including regulated electricity transmission and distribution, integrated natural gas transmission and distribution, electricity generation, natural gas storage, and industrial water solutions.

The companys ATCO Energy Systems segment is a key player in the Canadian energy landscape, providing essential services to customers in northern and central east Alberta, the Yukon, the Northwest Territories, and the Lloydminster area of Saskatchewan. With a strong focus on reliability and customer satisfaction, this segment is well-positioned to benefit from growing energy demand in the region.

From a technical analysis perspective, CUs stock price is currently trading near its 52-week high, with a last price of 37.66 CAD. The stock is showing a bullish trend, with its SMA20 and SMA50 above the SMA200, indicating a potential continuation of the uptrend. The ATR of 0.54 CAD (1.43%) suggests moderate volatility, and the stock is currently trading within a narrow range.

Fundamentally, Canadian Utilities Limited has a market capitalization of 7884.09M CAD, with a P/E ratio of 26.32 and a forward P/E of 15.85, indicating a relatively stable and mature business. The companys RoE of 6.84% is respectable, considering the industry average. With a strong presence in the energy sector and a diversified portfolio of businesses, CU is well-positioned to navigate the complexities of the energy market.

Based on the technical and fundamental data, a forecast for CU is as follows: with the stock price trending upwards and a bullish technical setup, we can expect CU to continue its upward momentum, potentially reaching 40 CAD in the near term. However, the P/E ratio and forward P/E suggest that the stock may be slightly overvalued, and a correction is possible if the companys earnings do not meet expectations. Therefore, a buy-and-hold strategy with a target price of 40 CAD and a stop-loss at 35 CAD is recommended.