3 Dividend Stocks to Double Up on Right Now
Investors looking for dividend stocks to buy often stop with a high dividend yield. A good dividend stock, however, may not yield much but pays you regularly -- and even better, pays you more and more with time. That's the only real way to earn income from dividend stocks. And once you understand the importance of dividend stability and growth, picking the right stocks to buy becomes that much easier. For instance, few dividend stocks look so compelling that you'd want to double up on them right now. Here are three to start with.
My first stock pick for income investors today is NextEra Energy (NYSE: NEE). It's a dividend powerhouse, with a growing payout year after year backed by earnings growth. Of course, NextEra Energy's incredible foothold in two big industries helps.
NextEra Energy owns and operates the largest utility in the U.S., Florida Power Light Company (FPL). It is also the largest producer of energy from wind and solar and a top player in energy storage. So while its utility business generates stable earnings and cash flows, clean energy is the company's growth driver. Combined, the two businesses allow NextEra Energy to pay steady and growing dividends -- it grew its dividend at a compound annual growth rate (CAGR) of nearly 10% over the past 20 years, driven by around 9% growth in its adjusted earnings per share (EPS).
Source Fool.com
