As the world continues to look towards lower carbon sources of energy, natural gas is emerging as one of the top choices for “bridging the gap.” With that, demand for the fuel continues to rise, and those firms operating in the distribution of natural gas are starting to see their stars shine brightly. Our latest Best Dividend Stocks Model Portfolio pick is just one such star.
Our pick operates as a utility holding company and under that umbrella it features a vast portfolio of natural gas and electricity generation assets. The key is that our pick has been able to use the steady cash flows from regulated holdings to fund buyouts/bolt-on transactions in non-regulated ones. This has provided a steady stream of cash flows and dividends for its shareholders for decades.
Now, with natural gas starting to take off and demand rising, our pick’s portfolio of assets continues to generate high levels of cash and dividend potential. With a long history of rewarding shareholders, investors should watch for the stock going ex-dividend on Tuesday, June 14.
In order to make more room for our utility pick and a chemicals producer, we’ve decreased our holdings in two pharmaceutical stocks.
You can check out the Best Dividend Stocks Model Portfolio to explore all the stocks.
