AMEX:UTG

Stock Analysis Report

Executive Summary

Reaves Utility Income Fund is a closed ended balanced mutual fund launched and managed by W.

Rewards


Snowflake Analysis

Share Price & News

How has Reaves Utility Income Fund's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: UTG's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

-7.1%

UTG

-4.5%

US Capital Markets

-4.1%

US Market


1 Year Return

-23.2%

UTG

-15.6%

US Capital Markets

-14.9%

US Market

Return vs Industry: UTG underperformed the US Capital Markets industry which returned -16% over the past year.

Return vs Market: UTG underperformed the US Market which returned -13.6% over the past year.


Shareholder returns

UTGIndustryMarket
7 Day-7.1%-4.5%-4.1%
30 Day-29.0%-21.1%-19.1%
90 Day-30.0%-25.9%-23.4%
1 Year-18.3%-23.2%-13.9%-15.6%-13.2%-14.9%
3 Year-5.4%-21.7%5.1%-1.0%10.7%3.5%
5 Year24.2%-14.5%29.0%16.9%28.5%14.5%

Price Volatility Vs. Market

How volatile is Reaves Utility Income Fund's share price compared to the market and industry in the last 5 years?


Simply Wall St News

No news available

Valuation

Is Reaves Utility Income Fund undervalued compared to its fair value and its price relative to the market?

>50%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: UTG ($26.08) is trading below our estimate of fair value ($58.4)

Significantly Below Fair Value: UTG is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: UTG is good value based on its PE Ratio (3.8x) compared to the Capital Markets industry average (33x).

PE vs Market: UTG is good value based on its PE Ratio (3.8x) compared to the US market (12.9x).


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate UTG's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: UTG is good value based on its PB Ratio (0.7x) compared to the US Capital Markets industry average (7.8x).

Future Growth

How is Reaves Utility Income Fund forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

5.7%

Forecasted Diversified Financials industry annual growth in earnings


In this section we usually present revenue and earnings growth projections based on the consensus estimates of professional analysts to help investors understand the company’s ability to generate profit. But as Reaves Utility Income Fund has not provided enough past data and has no analyst forecast, its future earnings cannot be reliably calculated by extrapolating past data or using analyst predictions.

This is quite a rare situation as 97% of companies covered by SimplyWall St do have past financial data.

Past Performance

How has Reaves Utility Income Fund performed over the past 5 years?

18.2%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: UTG has a large one-off gain of $302.2M impacting its October 31 2019 financial results.

Growing Profit Margin: UTG's current net profit margins are higher than last year (41.2%).


Past Earnings Growth Analysis

Earnings Trend: UTG's earnings have grown by 18.2% per year over the past 5 years.

Accelerating Growth: UTG's earnings growth over the past year (1049.6%) exceeds its 5-year average (18.2% per year).

Earnings vs Industry: UTG earnings growth over the past year (1049.6%) exceeded the Capital Markets industry 9.7%.


Return on Equity

High ROE: UTG's Return on Equity (18.8%) is considered low.

Financial Health

How is Reaves Utility Income Fund's financial position? (This company is analysed differently as a bank or financial institution)


Financial Position Analysis


Debt to Equity History and Analysis


Balance Sheet

Inventory Level: UTG has a low level of unsold assets or inventory.

Debt Coverage by Assets: UTG's debt is not covered by short term assets (assets are 0x debt).


Financial Institutions Analysis

Asset Level: UTG's level of assets compared to its equity is low.

Allowance for Bad Loans: Insufficient data to determine if UTG has a sufficient allowance for bad loans.

Low Risk Liabilities: UTG reports no customer deposits, loans are made up entirely of externally borrowed funds.

Loan Level: Insufficient data to determine if UTG has an acceptable proportion of non-loan assets held.

Low Risk Deposits: UTG has advanced significantly more loans than the customer deposits it holds.

Level of Bad Loans: Insufficient data to determine if UTG has an appropriate level of bad loans.

Dividend

What is Reaves Utility Income Fund's current dividend yield, its reliability and sustainability?

8.28%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: UTG's dividend (8.28%) is higher than the bottom 25% of dividend payers in the US market (2%).

High Dividend: UTG's dividend (8.28%) is in the top 25% of dividend payers in the US market (5.56%)


Stability and Growth of Payments

Stable Dividend: UTG's dividend payments have been volatile in the past 10 years.

Growing Dividend: UTG's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonably low payout ratio (30.3%), UTG's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: Insufficient data to determine if a dividend will be paid in 3 years and that it will be covered by earnings.

Management

How experienced are the management team and are they aligned to shareholders interests?

16.2yrs

Average management tenure


CEO

Ned Burke (58yo)

16.17s

Tenure

Mr. Edmund Joseph Burke, also known as Ned, served as Director and President of ALPS Advisors, Inc. Mr. Burke was a Chief Executive Officer and has been its President of ALPS Holdings, Inc. from 2000. He h ...


Leadership Team

NamePositionTenureCompensationOwnership
Jeremy May
Chairman of the Board of Trusteeno datano data0.0037% $47.7k
Edmund Burke
Principal Executive Officer16.17yrsno datano data
Ronald Sorenson
Portfolio Managerno datano data0.056% $719.0k
William Ferer
Portfolio Manager33.25yrsno datano data

16.2yrs

Average Tenure

Experienced Management: UTG's management team is seasoned and experienced (16.2 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Jeremy May
Chairman of the Board of Trusteeno datano data0.0037% $47.7k
Edgar Nordberg
8yrsUS$22.00k0.013% $167.9k
Larry Papasan
16.17yrsUS$22.00k0.0088% $111.7k
Michael Holland
16.17yrsUS$22.00k0.0020% $26.0k
Mary Anstine
16.17yrsUS$22.00k0.0036% $46.3k
Jeremy Deems
12.08yrsUS$24.00kno data

16.2yrs

Average Tenure

76.5yo

Average Age

Experienced Board: UTG's board of directors are seasoned and experienced ( 16.2 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: UTG insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Reaves Utility Income Fund's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Reaves Utility Income Fund
  • Ticker: UTG
  • Exchange: AMEX
  • Founded: 2003
  • Industry: Asset Management and Custody Banks
  • Sector: Diversified Financials
  • Market Cap: US$1.277b
  • Shares outstanding: 48.95m
  • Website: https://www.utilityincomefund.com/

Location

  • Reaves Utility Income Fund
  • 10 Exchange Place
  • 18th Floor
  • Jersey City
  • New Jersey
  • 7302
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
UTGAMEX (NYSE MKT LLC)YesCommon StockUSUSDFeb 2004

Biography

Reaves Utility Income Fund is a closed ended balanced mutual fund launched and managed by W. H. Reaves & Company, Inc. The fund invests in public equity and fixed income markets of the United States. It seeks to invest in securities of companies operating in the Utilities sector. The fund primarily invests in dividend paying stocks and debt instruments of companies operating across all market capitalizations. It employs a combination of quantitative and fundamental analysis with bottom-up stock picking approach to create its portfolio. Reaves Utility Income Fund was formed on September 15, 2003 and is domiciled in the United States. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/04/03 01:07
End of Day Share Price2020/04/02 00:00
Earnings2019/10/31
Annual Earnings2019/10/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.