Utility companies typically have a beta that is:

Utility companies typically have a beta that is below one because they are considered to be less volatile than the overall market. Beta is a measure of a stock's volatility in relation to the market; a beta of less than one indicates that the stock tends to be less sensitive to market movements.

In the case of utility companies, which provide essential services like electricity, water, and gas, their revenues tend to be more stable regardless of economic conditions. This stability arises from consistent demand for their services, leading to a lower risk profile. As a result, during market fluctuations, utility stocks are less likely to experience drastic changes in price compared to more volatile sectors. This characteristic contributes to a beta below one.

Understanding this context is important when evaluating investment risk and making decisions based on market conditions.