A Mighty Curious Insider Buy

When you regularly review hundreds of stocks, you come across some that make you wonder why anybody would choose to own them. Small-cap California Water Services Group (CWT) isn't the worst offender in this category, but the stock still defies logic as to why it would be in any long-term portfolio.

Cal Water shares peaked at $22.90 in 2006 on earnings per share of $0.67 and a $0.58 annual dividend rate. Last week, the stock closed at $21.11 on trailing earnings of $1.02 and an annual dividend rate of $0.64. Over the long term, this low-beta name has underperfomed both fixed income and equities. Its 10.3% cumulative dividend growth over the past seven years, meanwhile, has failed to even keep up with inflation....272 more words left in this article. To read them, just click below and try Real Money FREE for 14 days.

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