- 5 Stocks That Benefit from Health Care Legislation: Analysts
- 9 Stocks That Play Rising Water Costs: Strategists
- Gold Prices Can Double in 3 Years: Portfolio Manager
- Rally Could 'Have Some Legs in 2010': Market Strategist
- Expect a 'Square Root-Shaped' Recovery: Chief Investor
- HP to Feed on Enterprise Spending Next Year: Tech Analyst
- How Stock Investors Can Play Holiday Travel
- 3 Growth Opportunities in Tech: Analyst
- Prep Your Portfolio for Next Week: Stock Pickers
- Global Growth Good for Portfolio: Stock Picker
MOST SHARED
- The 'Real' Jobless Rate: 17.5% Of Workers Are Unemployed
- Why Amazon Rules Retail
- Wave of Debt Payments Facing US Government
- HP Comes in As Expected; Is It Time to Buy?
- JAL Slides to Record Low on Bankruptcy Jitters
- Prepare For Large Decline In Stocks, Next Year?
- Paul: Audit the Fed
- Hewlett-Packard Profit Rises, Matches Guidance
- Holiday Travel Outlook
- The Social Media Gaming Threat
- Can Murdoch Help Bing Challenge Google and Shift the Content Equation?
- HP's Mark Hurd
- HP Comes in As Expected; Is It Time to Buy?
- 9 Stocks That Play Rising Water Costs: Strategists
- Weis' Deal Likely Won't Change Big Money Contracts
- Gold Prices Can Double in 3 Years: Portfolio Manager
- Nov. 23: Unusual Volume Leaders
- Help Wanted—Please Run $4 Billion University
- Apple Comes to AT&T's Rescue
- Obama says Boosting US Jobs is Top Priority
- More Consumers Giving 'Black Friday' the Cold Shoulder
- Prepare For Large Decline In Stocks, Next Year?
- Hewlett-Packard Earnings Rise, Match Guidance
- HP Comes in As Expected; Is It Time to Buy?
- Cramer: What Monday’s Housing Number Really Means
- Why the Dollar Will Likely Stay Weak for Some Time
- Bear, Lehman Execs Weren't Wiped Out by Crisis: Study
- How Real Estate Investors Skew Housing's Reality
RSS FEED
CNBC Stock Blog
Text Size 
America's electric utilities are about to sink a small fortune into a desperately-needed upgrade of the nation's power grid. How can an investor plug his portfolio into this upgrade? JPMorgan's Andrew Smith has some ideas.
Recommendations:
"The one pure-play transmission company is ITC Holdings [ITC
Loading...
()
]," he told CNBC. "They own nothing but transmission lines, own, operate, and build them, and also stand to benefit very well from that. The Energy Policy Act of 2005 put together a number of incentives for transmission investment...that allow a company like ITC to benefit very significantly."
He also likes Entergy [ETR
Loading...
()
] and Dynegy [DYN
Loading...
()
].
"Entergy is in the process of spinning off its pure-play unregulated nuclear power-plant fleet, that in the absence of new power-plant development, increases significantly in value," he said. "Likewise, as we talk about restricting greenhouse gas emissions in the U.S., the value of those nuclear plants, which have no (carbon dioxide) emissions, increases fairly sharply."
Dynegy's appeal is slightly different: "It is more conventional in terms of a broad mix of fuels," he explained.
___________________________________________
CNBC.com Video Reports:
- Best Trades Now: Tech, Utilities, Financials & More
___________________________________________
Disclosures:
ITC Holdings, Entergy, and Dynegy are all investment-banking clients of Smith's firm.
Data is a real-time snapshot *Data is delayed at least 15 minutes