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Posted by
Two Blokes Jul 16 -
Filed in
Stock
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This article provides a top-down analysis of the utilities sector based on valuation, quality, and momentum metrics. Water utilities are undervalued by 17% versus 11-year averages, while electricity/multi-utilities are overvalued by 13%. IDU and XLU ETFs have nearly identical long-term returns and risk, but XLU's lower fees and higher liquidity make it preferable for most investors.