10 High Yield Utilities With a Positive Dividend Growth Rate

Long considered the domain of “widows and orphans”, utilities have developed a somewhat stodgy reputation. Why have utilities been considered good for widows and orphans? Here a few reasons: 1. They are generally less volatile than the market as a whole (low beta). 2. Their products are something that people continue to need and use no matter what the economy is doing, thus, 3. Their dividends tend to be more stable and secure. Utilities would be the perfect dividend income investment, except for one thing - they tend to have low a dividend growth rate. As such, you wouldn’t want a whole portfolio of utilities and you need to be very selective in which utilities are added, and when they are purchased. The dividend growth rate is a key metric in many calculations. As such, I use a conservative estimate as follows: The minimum dividend growth rate of the 1,... Read more