Berkshire’s Abel says wildfires prompted new approach to keeping lights on By Reuters
Berkshire Hathaway's Utility Strategy: Greg Abel, Vice Chairman of Berkshire Hathaway, stated that the priority for their utilities has shifted from maintaining power supply to preventing wildfires, especially after facing significant litigation related to past wildfire incidents linked to PacifiCorp.
Financial Implications and Legislative Actions: PacifiCorp is dealing with substantial financial losses and legal claims due to wildfires, prompting discussions on legislative measures in Oregon and neighboring states to protect utilities with wildfire mitigation plans from liability.
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- Buying Opportunity: In the utilities sector, VivoPower International PLC (NASDAQ:VVPR) and Southern Junior Subordinated Notes (NYSE:SOJC) are identified as oversold stocks, with RSI near or below 30, indicating low investor sentiment and potential for a rebound.
- Market Reaction Analysis: The undervaluation of these oversold stocks may attract value investors, particularly in a backdrop of increasing economic uncertainty, as investors seek relatively safe investment options that could drive stock prices higher.
- Investor Focus: As interest in utility stocks rises, investors may capitalize on these oversold opportunities, especially in an environment of rising interest rates and inflationary pressures, where the stability of utility stocks may be favored.
- Future Outlook: If these oversold stocks can attract sufficient buying interest, it could lead to short-term price rebounds, further enhancing market confidence in the utilities sector and driving overall industry recovery.

Morgan Stanley Coverage: On September 25, 2025, Morgan Stanley maintained an Equal-Weight recommendation for Southern Company - Corporate Bond (NYSE:SOJC), with an average one-year price target of $25.27/share, indicating an 8.81% upside from its latest closing price of $23.22/share.
Fund Sentiment and Shareholder Activity: There has been a 5.88% increase in the number of funds reporting positions in Southern Company - Corporate Bond, although total shares owned by institutions decreased by 7.39% over the last three months, with several ETFs reducing their portfolio allocations in SOJC.

Berkshire Hathaway's Utility Strategy: Greg Abel, Vice Chairman of Berkshire Hathaway, stated that the priority for their utilities has shifted from maintaining power supply to preventing wildfires, especially after facing significant litigation related to past wildfire incidents linked to PacifiCorp.
Financial Implications and Legislative Actions: PacifiCorp is dealing with substantial financial losses and legal claims due to wildfires, prompting discussions on legislative measures in Oregon and neighboring states to protect utilities with wildfire mitigation plans from liability.



