Well-managed electric utilities are excellent candidates for a dividend reinvestment portfolio. Typically, electric utilities generate lots of excess cash and pay it out as dividends to shareholders.But not all utilities are equal. Some pay high amounts of their net income to shareholders in form of dividends, other only a small part. Be very wary of stocks with high dividend yields and high payout ratios. They are not sustainable and increase the debt level of the company over the long-term.
I'm looking for those utilities with low dividend payouts in order to get sustainable dividend payments over years that might grow, year over year for decades.
Attached you can find a detailed list of 20 electric utilities that might give investors a small hedge due to a solid dividend growth history and sustainable dividend payouts.
These are the 4 top yielding results in detail...
Entergy Corporation -- Yield: 4.97%
Entergy Corporation (NYSE:ETR) employs 13,000 people, generates revenue of $12,494.92 million and has a net income of $960.26 million. The current market capitalization stands at $12.20 billion.Entergy Corporation’s earnings before interest, taxes, depreciation and amortization (EBITDA) amounts to $4,314.53 million. The EBITDA margin is 34.53% (the operating margin is 16.06% and the net profit margin 7.69%).
Financials: The total debt represents 30.15% of Entergy Corporation assets and the total debt in relation to the equity amounts to 136.05%. Due to the financial situation, a return on equity of 9.58% was realized by Entergy Corporation.
Twelve trailing months earnings per share reached a value of $-0.89. Last fiscal year, Entergy Corporation paid $3.32 in the form of dividends to shareholders.
Market Valuation: Here are the price ratios of the company: The P/E ratio is not calculable, the P/S ratio is 0.98 and the P/B ratio is finally 1.23. The dividend yield amounts to 4.97%.
Stock Charts:
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| Long-Term Stock Price Chart of Entergy Corporation (ETR) |
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| Long-Term Dividend Payment History of Entergy Corporation (ETR) |
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| Long-Term Dividend Yield History of Entergy Corporation (ETR) |
Southern Company -- Yield: 4.67%
Southern Company (NYSE:SO) employs 26,369 people, generates revenue of $18,467.00 million and has a net income of $2,031.00 million. The current market capitalization stands at $42.22 billion.Southern Company’s earnings before interest, taxes, depreciation and amortization (EBITDA) amounts to $6,803.00 million. The EBITDA margin is 36.84% (the operating margin is 19.72% and the net profit margin 11.00%).
Financials: The total debt represents 35.22% of Southern Company assets and the total debt in relation to the equity amounts to 118.49%. Due to the financial situation, a return on equity of 10.08% was realized by Southern Company.
Twelve trailing months earnings per share reached a value of $2.61. Last fiscal year, Southern Company paid $2.08 in the form of dividends to shareholders.
Market Valuation: Here are the price ratios of the company: The P/E ratio is 17.93, the P/S ratio is 2.29 and the P/B ratio is finally 2.11. The dividend yield amounts to 4.67%.
Stock Charts:
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| Long-Term Stock Price Chart of Southern Company (SO) |
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| Long-Term Dividend Payment History of Southern Company (SO) |
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| Long-Term Dividend Yield History of Southern Company (SO) |
Duke Energy -- Yield: 4.63%
Duke Energy (NYSE:DUK) employs 28,344 people, generates revenue of $23,925.00 million and has a net income of $2,465.00 million. The current market capitalization stands at $49.06 billion.Duke Energy’s earnings before interest, taxes, depreciation and amortization (EBITDA) amounts to $10,359.00 million. The EBITDA margin is 43.30% (the operating margin is 21.98% and the net profit margin 10.30%).
Financials: The total debt represents 35.24% of Duke Energy assets and the total debt in relation to the equity amounts to 104.06%. Due to the financial situation, a return on equity of 5.98% was realized by Duke Energy.
Twelve trailing months earnings per share reached a value of $3.46. Last fiscal year, Duke Energy paid $3.15 in the form of dividends to shareholders.
Market Valuation: Here are the price ratios of the company: The P/E ratio is 20.75, the P/S ratio is 2.05 and the P/B ratio is finally 1.23. The dividend yield amounts to 4.63%.
Stock Charts:
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| Long-Term Stock Price Chart of Duke Energy (DUK) |
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| Long-Term Dividend Payment History of Duke Energy (DUK) |
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| Long-Term Dividend Yield History of Duke Energy (DUK) |
FirstEnergy -- Yield: 4.47%
FirstEnergy (NYSE:FE) employs 15,557 people, generates revenue of $15,049.00 million and has a net income of $213.00 million. The current market capitalization stands at $13.61 billion.FirstEnergy’s earnings before interest, taxes, depreciation and amortization (EBITDA) amounts to $3,261.00 million. The EBITDA margin is 21.67% (the operating margin is 7.00% and the net profit margin 1.42%).
Financials: The total debt represents 41.75% of FirstEnergy assets and the total debt in relation to the equity amounts to 175.35%. Due to the financial situation, a return on equity of 1.70% was realized by FirstEnergy.
Twelve trailing months earnings per share reached a value of $1.18. Last fiscal year, FirstEnergy paid $1.44 in the form of dividends to shareholders.
Market Valuation: Here are the price ratios of the company: The P/E ratio is 26.81, the P/S ratio is 0.90 and the P/B ratio is finally 1.09. The dividend yield amounts to 4.47%.
Stock Charts:
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| Long-Term Stock Price Chart of FirstEnergy (FE) |
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| Long-Term Dividend Payment History of FirstEnergy (FE) |
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| Long-Term Dividend Yield History of FirstEnergy (FE) |
Here are the 20 electric utilities...
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| 20 Top Yielding Electic Utilites With Sustainable Dividend Payouts For Growth (click to enlarge) |
