Sectors & IndustriesUtilities

Best Utility Stocks to Buy Now (2025)

Top utility stocks in 2025 ranked by overall Due Diligence Score. See the best utility stocks to buy now, according to analyst forecasts for the utilities sector.

According to Zen Ratings, our proprietary rating system that evaluates 115 factors proven to drive growth in stocks and assigns each stock in our system an overall letter grade as well as 7 individual Component Grades for Value, Growth, Momentum, Sentiment, Safety, Financials, and proprietary AI algorithms, the 3 best utility stocks to buy right now are:

Central Puerto Sa (NYSE:CEPU) is the #1 top utility stock out of 108 with a Zen Rating of A. Stocks with a rating of A have had an average return of +32.52% per year. Learn more.

The Component Grade breakdown for Central Puerto Sa (NYSE:CEPU) is: Value: A, Growth: C, Momentum: C, Sentiment: C, Safety: C, Financials: B, and AI: C.

Central Puerto Sa (NYSE:CEPU) has a Due Diligence Score of 41, which is 9 points higher than the utility sector average of 32. It passed 16 out of 38 due diligence checks and has strong fundamentals. Central Puerto Sa has seen its stock lose -8.86% over the past year, underperforming other utility stocks by -35 percentage points.

Korea Electric Power (NYSE:KEP) is the #2 top utility stock out of 108 with a Zen Rating of B. Stocks with a rating of B have had an average return of +19.88% per year. Learn more.

The Component Grade breakdown for Korea Electric Power (NYSE:KEP) is: Value: A, Growth: B, Momentum: A, Sentiment: C, Safety: B, Financials: C, and AI: B.

Korea Electric Power (NYSE:KEP) has a Due Diligence Score of 16, which is -16 points lower than the utility sector average of 32. Although this number is below the industry average, our proven quant model rates KEP as a "B".It passed 6 out of 38 due diligence checks and has weak fundamentals. Korea Electric Power has seen its stock return 67.55% over the past year, overperforming other utility stocks by 41 percentage points.

Genie Energy (NYSE:GNE) is the #3 top utility stock out of 108 with a Zen Rating of B. Stocks with a rating of B have had an average return of +19.88% per year. Learn more.

The Component Grade breakdown for Genie Energy (NYSE:GNE) is: Value: C, Growth: B, Momentum: C, Sentiment: B, Safety: B, Financials: C, and AI: C.

Genie Energy (NYSE:GNE) has a Due Diligence Score of 38, which is 6 points higher than the utility sector average of 32. It passed 13 out of 38 due diligence checks and has average fundamentals. Genie Energy has seen its stock lose -3.89% over the past year, underperforming other utility stocks by -30 percentage points.

Out of 68 utility stocks that have issued dividends in the past year, the 3 utility stocks with the highest dividend yields are:

Clearway Energy (NYSE:CWEN) has an annual dividend yield of 5.46%, which is 3 percentage points higher than the utility sector average of 2.74%. Clearway Energy's dividend payout is not stable, having dropped more than 10% one times in the last 10 years. Clearway Energy's dividend has shown consistent growth over the last 10 years.

Clearway Energy's dividend payout ratio of 262.9% indicates that its high dividend yield might not be sustainable for the long-term.

Suburban Propane Partners (NYSE:SPH) has an annual dividend yield of 5.3%, which is 3 percentage points higher than the utility sector average of 2.74%. Suburban Propane Partners's dividend payout is not stable, having dropped more than 10% two times in the last 10 years. Suburban Propane Partners's dividend has not shown consistent growth over the last 10 years.

Suburban Propane Partners's dividend payout ratio of 67.2% indicates that its high dividend yield is sustainable for the long-term.

Avista (NYSE:AVA) has an annual dividend yield of 5.28%, which is 3 percentage points higher than the utility sector average of 2.74%. Avista's dividend payout is stable, having never dropped by more than 10% in the last 10 years. Avista's dividend has shown consistent growth over the last 10 years.

Avista's dividend payout ratio of 86.5% indicates that its high dividend yield is sustainable for the long-term.

Utility stocks were up 2.01% in the last day, and up 2.17% over the last week. Fluence Energy was the among the top gainers in the utilities sector, gaining 21.39% yesterday.

Shares of solar-related companies are trading higher amid overall market strength. The sector saw strength last Thursday after China's Commerce Ministry announced that foreign suppliers must obtain approval to export certain products containing rare-earth materials, and the country will require licenses for the export of specific lithium batteries.

Based on the Valuation rating, one of the 7 components of a stocks overall Zen Ratings grade, which evaluates factors including estimated earnings yield, earnings before interest and taxes/enterprise value, cash flow yield, free cash flow to price, and price-to-earnings growth (PEG ratio), the 3 most undervalued utility stocks right now are:

Korea Electric Power (NYSE:KEP) is the most undervalued utility stock based on its Valuation Rating of A. Valuation is one of 7 Component Grades used to calculate the overall Zen Rating.

Korea Electric Power has a valuation score of 57, which is 31 points higher than the utility sector average of 26. It passed 4 out of 7 valuation due diligence checks.

Korea Electric Power's stock has gained 67.55% in the past year. It has overperformed other stocks in the utility sector by 41 percentage points.

Central Puerto Sa (NYSE:CEPU) is the second most undervalued utility stock based on its Valuation Rating of A. Valuation is one of 7 Component Grades used to calculate the overall Zen Rating.

Central Puerto Sa has a valuation score of 57, which is 31 points higher than the utility sector average of 26. It passed 4 out of 7 valuation due diligence checks.

Central Puerto Sa's stock has dropped -8.86% in the past year. It has underperformed other stocks in the utility sector by -35 percentage points.

Edenor (NYSE:EDN) is the third most undervalued utility stock based on its Valuation Rating of B. Valuation is one of 7 Component Grades used to calculate the overall Zen Rating.

Edenor has a valuation score of 43, which is 17 points higher than the utility sector average of 26. It passed 3 out of 7 valuation due diligence checks.

Edenor's stock has dropped -13.48% in the past year. It has underperformed other stocks in the utility sector by -40 percentage points.

47.37% of utility stocks rated by analysts are a buy right now. On average, analysts expect utility stocks to rise by 2.61% over the next year.

1% of utility stocks have a Zen Rating of A (Strong Buy), 4% of utility stocks are rated B (Buy), 69% are rated C (Hold), 20% are rated D (Sell), and 6% are rated F (Strong Sell).