Down 15%, NextEra Energy Is Still a Dividend Growth Machine
As the impact of COVID-19 started to become more clear on a global scale, investors quickly pushed U.S. stocks into a bear market. The selling was across the board, forcing even great companies with solid prospects sharply lower. The market has since pared those losses, technically entering a bull market. However, utility giant NextEra Energy (NYSE: NEE) is still around 15% below its early-year highs. It remains worthy of a close look for dividend growth investors.
When it comes to large investor-owned electric utilities, the normal expectation is a slow and steady tortoise with a sizable dividend yield. NextEra breaks that mold, offering just a 2.2% yield. That's well below the industry average of roughly 3.2%, using Vanguard Utilities Index ETF as a proxy for the sector. Other industry giants, like Duke Energy (NYSE: DUK) and The Southern Company (NYSE: SO), offer yields of 4% or more.
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Source Fool.com
