Northland Power Inc (NPI.TO)

Riskier than most people assume. Massive projects. Suffers when energy pivots from clean to traditional. He used to own and liked the dividend, though it's not as much a slam-dunk as a bank dividend. Pricey PE, doesn't see good risk/reward.

This has been very good at executing their power operations (hydro, renewable), and pays a good 6.4% dividend. Decent growth is baked in. But he's not sure about their leverage, even though interest rates have declined.

Higher interest rates have put pressure on energy creators, but he's been accumulating this when the price has been weak. Price target is in the upper-$20s. This is pretty good value.

Q3 was a bit below on generation and pricing headwinds. More importantly, offshore continues to track on time and on budget. Mirrored 2024 guidance. De-risked a lot of their buildout. Part of the solution for the power problem in Europe.

Nice dividend, but it's still pretty pricey as a power company. Probably getting hit by tax-loss selling. Instead, he'd put new $$ into BEP.UN.

Higher interest rates were really punitive for most companies in clean energy. Injuries in Taiwan and cable issues, but these are not reasons to sell. Decent value here. Projects will be accretive to revenue and earnings. Fears of Trump not being friendly to clean energy, but that's just one segment of the administration's total purview.

Its poor performance may make it a favourite target for tax-loss selling, which may actually provide a buying opportunity.

Ambitious projects sucked up a lot of capital. Projects now being completed on time and on budget. Divested assets to strengthen balance sheet. What are they going to do for growth going forward? Executive shuffles. Will be challenged for a while. He owns BLX.

Uncertainty of China next door is probably the most important issue, potential hotspot. He's been adding recently. Likes the dividend yield. Valuations in the sector have come down a long way, won't get US government support. Has a lot of international growth assets. Really good operators. 

Chart's shown weakness. Cost overruns on 2 projects. Sub-contracts out work, worker fatality in Taiwan. Without a full-time CEO and CFO. Lots of uncertainty around it, so lots of investors are putting it in the "too hard" pile. As projects come online, earnings growth and dividend will be secure. Great entry point for a great company. Great yield of 5.9%.

Had owned this a long time. He still likes their assets, offshore in Europe and Taiwan, but the market dislikes the latter. Is an attractive take-out candidate. They can divest assets in Europe or Colombia. Bad managers before, but now good, but their assets matter more and they are good. Collect the over 5% dividend and see what happens.

Loves renewable energy, the future is going green. Didn't like it a few years ago when it was trading above $40 -- too risky, multiple too high. Loves it down here, great dividend, lots of value now. He's buying on weakness.

Who's going to win the election? Green movement is out of favour now. But that's where value comes in for a value-tilt investor like himself.

Rattled by high interest and high inflation. Concerns over stability of Taiwanese Strait. Recent pullback is a chance to add. Fundamentals are sound in terms of windfarm buildout, doing an incredibly good job. Not breaking through recent lows. Have to be comfortable with certain levels of risk that aren't in other names in that space.

Performance has diverged from others due to where it's developing. For example, workers being injured in Taiwan puts investors off. Have to look through that, bit of a leap of faith.

A sexy renewable over the last decade. Big into offshore wind with delays, turbine issues, and higher interest rates. Reported a loss. Trades at 20x future earnings for a utility. He prefers CPX, with its 6% yield that grows consistently.

All utilities had a big selloff when rates were rising in 2022 and 2023. Then, as interest rates went nowhere, so did the stocks, just collecting the dividend. BOC has cut twice, Fed is probably going to start. Utilities have come up off lows, but haven't started to move up yet.

Sector got overvalued, plus interest rates didn't help. Supply shocks caused costs to rise significantly. Leader in offshore wind. Financial commitments seem to be in place. CEO and CFO are out, not sure what's going on. Cash was tight for a while, sold assets to help and to maintain dividend.

Three big projects will significantly increase results, once complete. Probably in holding pattern for a couple of years.

There was a big announcement that Brookfield renewables had a deal with Microsoft to provide a large amount of power and Northland Power, unlike others in the sector, did not see a big rebound. It has some construction risks with three projects under development. However they are all on time and on budget. As they get built the stock should go up.