The Globe and Mail reports in its Saturday, May 23, edition that utilities are no longer considered cheap stocks, but Ottawa's plan to double Canada's power grid by 2050 highlights why investors value them: consistent growth and significant dividend increases for years to come. The Globe's David Berman writes that Hydro One is on the higher end of the sector, with its share price rising over 92 per cent in the past five years, surpassing the S&P/TSX Composite Index by 18 percentage points. This rally has pushed its forward price-to-earnings ratio above 25. The current valuation is near a record high and well above the 10-year average P/E ratio of over 20. It also exceeds peers like Fortis and Emera, whose P/E ratios are below 21. Hydro One's lofty valuation can be seen in its relatively paltry dividend yield as well, which has fallen as the share price has rallied. Despite regular increases to the quarterly payout, including a 6-per-cent bump last week, the yield sits at just 2.4 per cent. That's considerably lower than peers, whose dividend yields can be as high as 4 per cent in the case of Emera. For investors who prefer their utilities cheap, it's tempting to give Hydro One a pass.