These 5 Utility Stocks Have A High Current Ratio Today

The following five companies in the Utilities sector have high current ratios.

The current ratio is calculated as current assets over current liabilities.  Current assets are those accounts such as cash, receivables, and other highly liquid assets that can be readily converted to cash.  Current liabilities are generally considered to be those debts due within one fiscal quarter, such as accounts payable, wages, interest payments on long-term debt that are due in the near future, etc.  Therefore, the current ratio is essentially a measure of a company’s ability to pay its bills in the near term.  Companies that are liquid enough to pay their bills can continue operating without trouble.  Accordingly, the higher the current ratio the more likely it is that the company won’t have a problem paying its bills.  Of course, as with all financial ratios, the current ratio can’t be used in isolation to determine whether a stock is a buy or not.

Note that this list excludes all companies whose market capitalization is less than $500 million.

  1. Cheniere Energy, Inc. (AMEX:LNG):  The stock has traded in a 52-week range of $2.28 to $10.53 and most recently traded at $7.83.  Its market capitalization is $523.3 million and it lost $1.37 per share last year.  Its current ratio is 2.5 and its book value per share is -$9.50.  About the company: Cheniere Energy, Inc. through subsidiaries, develops liquefied natural gas terminals, and explores for oil and natural gas.  The Company explores for oil and gas in the Gulf of Mexico.
  2. PAA Natural Gas Storage LP (NYSE:PNG):  The stock has traded in a 52-week range of $22.50 to $26.65, its market capitalization is $1.66 billion, and it earned $0.38 per share last year.  Its current ratio is 1.70 and its book value per share is $18.52.  About the company:  PAA Natural Gas Storage, LP acquires, operates, develops, and manages natural gas storage facilities.  The Company also leases storage capacity and pipeline transportation.  PNGS conducts its business in the United States.
  3. Niska Gas Storage Partners LLC (NYSE:NKA):  The stock has traded in a 52-week range of $17.01 to $22.21 and most recently traded at $20.99 per share.  Its market capitalization is $1.42 billion and it earned $0.64 per share last year.  Its current ratio is 2.63 and its book value per share is $13.53.  About the company:   Niska Gas Storage Partners LLC is an independent owner and operator of natural gas storage assets in North America.  The Company stores natural gas for a broad range of customers, including financial institutions, marketers, pipelines, power generators, utilities and producers of natural gas.
  4. Companhia Paranaense de Energia (NYSE:ELP):  The stock has traded in a 52-week range of $17.57 and $29.95 and most recently traded at $27.70 per share.  Its market capitalization is $7.59 billion and it earned $2.25 per share last year.  Its current ratio is 1.64 and its book value per share is $25.08.  About the company:  Companhia Paranaense de Energia-Copel generates, transmits, transforms and distributes electric power to the entire Brazilian State of Parana.  The Company’s major customers are industrial, residential and rural electricity consumers.  Copel generates electricity through the operation of fifteen hydroelectric plants and three thermoelectric plants.
  5. MGE Energy, Inc. (NASDAQ:MGEE):  The stock has traded in a 52-week range of $34.15 to $43.62 and most recently traded at $42.19 per share.  Its market capitalization is $975.14 million and it earned $2.50 per share last year.  Its current ratio is 2.00 and its book value per share is $22.72.  About the company: MGE Energy, Inc. is a public utility holding company.  The Company’s principal subsidiary generates and distributes electricity to customers in Dane County, Wisconsin.  MGE also purchases, transports and distributes natural gas in several Wisconsin counties.

Note: Financial data is taken from Yahoo! Finance.  Selected other data is taken from Google Finance and publicly available SEC filings.  All data are assumed to be accurate.

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