Power generation and distribution company Enel Americas S.A. (NYSE: ENIA) sells for a bargain on the stock market, and it’s a strong pick for any investor looking for a stake in the energy sector.
Enel Americas has relevance for alternative investors who are focused on clean and renewable energy. The company generates 56% of its electricity from hydroelectric sources. The remaining 44% comes from thermal generation using fossil fuel sources. Hydroelectric power is fully renewable with no water loss in the generation process. Because turbine technologies are highly advanced, this method is also efficient, with about 90% of the available energy converted into electricity.
As a bargain stock, this pick will suit most alternative portfolios. The maturity of both the stock and the company means that there are benefits outside of potential growth, such as the dividend that is paid. With a quarterly dividend of $0.30, this stock offers a yield of 3.87%. Such a high dividend is rare in bargain energy stocks.
Enel Americas has seen moderate stock growth throughout 2019. Recent movement has been influenced by positive earnings data in the third quarter. The company increased EBITDA by 25% and net income by 60% in Q3.
Bargain alternative stocks aren’t limited to startups and fringe companies. Enel Americas is one of the largest companies in South America, and with such a compelling price, it could be the perfect pick for December.
- 1 Year Price Growth: 90%
- YTD Price Growth: 12%
- 3 Month Price Growth: 53%
All information is based on current and historical market data, as well as publicly available financial data. As with any financial decision, your own research is important. Stock market outcomes can never be 100% accurately predicted. Familiarity with historical data, individual industries, and individual stocks is key to developing a robust portfolio. Note that stock prices can fluctuate rapidly during trading sessions.