NextEra Energy, Inc. (NEE), through its subsidiaries, engages in the generation, transmission, distribution, and sale of electric energy in the United States and Canada. The company is a member of the dividend achievers index, and has boosted distributions for 18 years in a row.
The company’s last dividend increase was in February 2012 when the Board of Directors approved a 9.10% increase to 60 cents/share. The company’s peer group includes Entergy (ETR), Northeast Utilities (NU) and PPL Corp (PPL).
Over the past decade this dividend growth stock has delivered an annualized total return of 14.10% to its shareholders.
The company has managed to deliver an 8% average increase in annual EPS since 2003. Analysts expect NextEra Energy to earn $4.54 per share in 2012 and $4.95 per share in 2013. In comparison, the company earned $4.59/share in 2011. The company has been able to generate a high growth on earnings, which is something very rare for a utility.
dividend payment has increased by 7% per year over the past decade, which is lower than the growth in EPS.
is attractively valued, trading at 13.70 times earnings and yielding 3.40%. I would consider adding to my position in the stock subject to availability of funds.
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