10 Best Small-Cap Value Stocks to Buy Now

2. Hawaiian Electric Industries Inc. (NYSE:HE)

Forward P/E Ratio as of March 19: 9.83

Market Capitalization as of March 19: $1.9 billion

Number of Hedge Fund Holders: 35 

Hawaiian Electric Industries Inc. (NYSE:HE) is an electric utility company that generates, transmits, and distributes electricity across the Hawaiian Islands. It focuses on both traditional and renewable energy sources, which include wind, solar, and geothermal. It also invests in non-regulated renewable energy and sustainable infrastructure projects within the state.

In 2024, the company’s utility segment made significant strides in renewable energy integration and achieved a 36% Renewable Portfolio Standard (RPS), which was up from 33% in 2023. Simultaneously, the utility prioritized affordability for its customers. The average residential bill decreased by 7% in 2024. Recognizing the importance of wildfire safety, the segment invested ~$120 million in 2024 to enhance its infrastructure and implement preventative measures. This included launching a public safety power shutoff program, replacing utility poles, upgrading power lines, clearing vegetation, and installing weather stations and AI-assisted cameras.

In January, the utility filed an updated wildfire safety strategy with the Public Utilities Commission (PUC) and outlined a three-year action plan from 2025 to 2027. This plan is estimated to cost ~$450 million, with $400 million allocated to capital expenditure. Despite these investments, the utility’s core net income was $181 million in 2024. The utility is now pursuing legislative initiatives to establish a wildfire recovery fund and support independent power producer financing for clean energy projects.