TECO Energy (TE) continues to exhibit stable regulated utility operations, having divested its non-core assets. Strong international coal demand, solid utility cost management and a high dividend yield are other significant attributes.
Furthermore, the company continues to strengthen its balance sheet by repaying debt. However, volatility in fuel prices, uncertainty on regulatory decisions and environmental legislations partially offset the more bullish factors.
Also, we remain cautious regarding the timing of economic recovery in Florida. We see TECO shares performing ahead of the broader market going forward and upgrade our recommendation on the stock to Outperform.
TECO ENERGY (TE): Free Stock Analysis Report
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