One of the better-performing sectors has been a bit of a shock for many investors. Energy stocks have quickly become the industry du jour. Thanks to rising prices for crude oil and natural gas amid a mega-sized supply crunch, the sector has seen surging profits and cash flow. So much so that energy stocks have been a major source of dividends.
The question now is whether or not their income potential is cracking?
Several energy firms embraced the concept of variable dividends. However, with some firms now cutting those variable dividends and investors punishing those that do, should investors be concerned? Is the energy stock party over?
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