Duke Energy: Over 90 Years of Uninterrupted Dividends

Duke Energy’s (DUK) history dates back to the early 1900s, and the company is the largest electric utility in the country today, serving approximately 7.7 million electric customers and 1.6 million gas customers across the Southeast and Midwest regions of the U.S. Regulated electric utilities and infrastructure account for 85% of Duke Energy’s earnings, but the company also has a fast-growing gas infrastructure and utilities business (9%) and a commercial portfolio of renewables (6%). A blend of residential (32%), commercial (30%), industrial (21%), and wholesale (17%) customers make up the company's mix. It's also worth noting that Duke Energy continues investing in cleaner power generation, which has helped reduce its fuel mix of coal and oil from 61% in 2005 [...]

February 14th, 2019|

How Safe is Qualcomm’s Dividend?

Qualcomm (QCOM), an embattled tech giant, has seen its share of drama over the years. Most recently, the company's stock has sold off 30% since early September 2018, causing its dividend yield to soar to a record high near 5%. Let's take a look at Qualcomm's latest slump to review if anything appears to have changed with its dividend safety profile or long-term outlook.

February 13th, 2019|

Dominion Energy: 16 Consecutive Years of Dividend Growth

Dominion Energy (D) and its predecessors have delivered energy since 1898. Today the company is one of America's largest diversified utilities with a customer base of 7.5 million gas and electric customers in 18 states. In recent years Dominion has grown through various acquisitions including its 2016 purchase of Questar (natural gas distributor) for $5.9 billion and its $14.6 billion acquisition of SCANA (regulated gas and electric utility in South Carolina) which closed in January 2019. The firm also completed the roll-up of its midstream MLP, Dominion Midstream Partners, in January 2019. The company's earnings are diversified by both region and business focus:

February 13th, 2019|

Reviewing IFF’s $7 Billion Acquisition of Frutarom

Many companies grow through acquisitions, but Wall Street is often skeptical of big deals given the risks involved. In May 2018, International Flavors & Fragrances (IFF) announced it was buying rival Frutarom in a $7.1 billion cash-and-stock deal. Given that IFF's market cap at the time was just over $12 billion, this qualified as a big acquisition. Investors didn't like it. IFF's share price fell over 10% on the news, causing some dividend growth investors to worry about what this merger might mean for the company's long-term outlook. The acquisition will finally be reflected on IFF's books when it reports earnings later this week, so let's take a look at whether or not this deal seems to makes sense for IFF and [...]

February 12th, 2019|
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