The average utility -- using the Vanguard Utilities Index ETF (NYSEMKT: VPU) as a proxy -- has a yield of 3.2%. By comparison, NextEra Energy (NYSE: NEE) has a yield of just 2.5%. Why the difference? NextEra Energy is not your "average" utility. Here's why a lot of investors will find this dividend growth stock worth a deep dive.
NextEra Energy is really two companies in one. The boring side of the business is the company's regulated electric utility operations in Florida, largely comprised of Florida Power & Light. It is one of the largest utilities in the United States and continues to see demand growth driven by population growth, which makes it a fundamentally strong business. This is the solid core on which the company has layered NextEra Energy Resources, which is a fairly nondescript name for something that is quite exciting.
Image source: Getty Images.
Source Fool.com