I'm Watching PG&E Closely, but Here's Why I Haven't Bought the Dip
Utilities are usually seen as low-risk bets, but due to its California footprint, risk abounds with PG&E.
Overview
As a Californian, I can say this: If there are two industries that residents of the Golden State really don't like, it's insurance providers and utilities.
Interestingly, with the state considering wildfire reform legislation, those industries are at odds with one another. That's material for investors considering stocks such as PG&E (NYSE: PCG). The company known to California customers as Pacific Gas & Electric is one of the four major investor-owned utilities in the state, and due to the state having some of the highest utility rates in the U.S., PG&E and friends don't have a lot of fans in the state.
PG&E stock is fraught with risk due to changes in a California bill. Image source: Getty Images.
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Source
Originally published at www.fool.com.