With demand rising and prices for crude oil remaining high, these are halcyon days for the energy sector. Profits are surging and cash flow hasn’t been this strong since before the Great Recession. For stocks within the sector, it reignited their appeal. And none could be more appealing than our latest Best Dividend Growth Stocks Model pick. Thanks to its strong production, our pick has been able to raise its dividend for 5 years straight as well as pay plenty of special dividends along the way.
Our pick operates as an exploration & production (E&P) firm. That is, it is an actual driller and producer of crude oil and natural gas. The secret to our pick’s success has been its low-cost mantra and prime acreage in many of the United States’ top shale-producing regions. A focus on technology and advanced drilling techniques has helped the firm create even better cash flow and production rates.
With that, our pick has been able to feast on rising energy prices but still be very profitable if oil prices dip lower. The end result is a strong portfolio of production that generates high cash flows and dividends for its shareholders.
In order to make room for our new energy pick, we’ve been forced to remove an asset manager from the list.
You can check out the Best Dividend Growth Stocks Model Portfolio to explore all the stocks.
