Thanks to a variety of tech and renewable energy initiatives, some utilities have taken on a more growthier moniker by shedding their “widow and orphan” past. But that doesn’t mean they can’t also provide great income opportunities. This includes our latest pick for the Best Dividend Capture Stocks List and its 1.88% yield!
Our pick is one of the largest utilities in the country dedicated to renewable energy. Thanks to its focus on cogeneration, solar and wind, our pick has continued to see its profits surge. Even better is that our pick operates both regulated and non-regulated assets. This allows it to profit from its home region in the Sun Belt while providing green power to other utilities.
The combination has made our pick a dividend-growth superstar for years.
Because of this, our pick is also a great dividend capture play. A dividend capture strategy involves buying a stock before its ex-dividend date and then selling it after it has recovered the payout. With an ex-dividend date of Monday, August 29, our pick is primed for the strategy, as is evident from its historical track record of a recovery period within an average of 1.9 days after going ex-dividend.
For investors looking for a quick total return of income and capital appreciation, our latest utility pick could be a lucrative option.
You can check out the Best Dividend Capture Stocks List to explore all the stocks.
