Edison International (EIX)

The economics are regulated: tariffs cover investment, and a large programme — burying lines, insulating conductors, clearing vegetation along corridors — means fast rate base growth and therefore profit growth. Demand rises further with the electrification of transport and heating.

All of that is outweighed by one factor: if the company's line causes a major fire, the bill runs to billions. The state created an insurance fund to share such losses and a rule limiting a utility's liability where it behaved prudently — but every new blaze tests that construction again. Investors therefore price this utility on fire seasons rather than on rate cases. A dividend is paid.