Regulated distribution utilities are among the most defensive investments available with solid cash flow, high dividend pay-out ratios, and low cyclicality. These businesses, therefore, generate robust cash flows and payout high income to shareholders, making them valuable diversifiers during downturns. If you’re a long term investor, these high-dividend utilities stocks can boost your monthly portfolio income.
RGC Resources, Inc. (NASDAQ:RGCO)
RGCO has a good-sized dividend yield of 2.65% and pays 70.41% of it’s earnings as dividends . The company’s dividends per share have risen from $0.4167 to $0.62 over the last 10 years. It should comfort existing and potential future shareholders to know that RGCO hasn’t missed a payment during this time. Investors will be glad to know the company has maintained a positive earnings growth over the last few years. It’s eps growth rate over the past five years has been 5.43%. Interested in RGC Resources? Find out more here.
Star Group, L.P. (NYSE:SGU)
SGU has an appealing dividend yield of 4.35% and is distributing 69.52% of earnings as dividends . SGU’s last dividend payment was $0.44, up from it’s payment 10 years ago of $0.27. During this period, they haven’t missed a payment, as one would expect from a company increasing their dividend. The company also looks promising for it’s future growth, with analysts expecting an impressive doubling of earnings per share over the next year. Dig deeper into Star Group here.
Middlesex Water Company (NASDAQ:MSEX)
MSEX has a nice dividend yield of 2.45% and is currently distributing 67.12% of profits to shareholders . MSEX’s dividends have increased in the last 10 years, with DPS increasing from $0.7 to $0.895. During this period, they haven’t missed a payment, as one would expect from a company increasing their dividend. In the last few years, Middlesex Water has sustained a positive EPS growth. It’s five year average earnings growth is 8.19%. Interested in Middlesex Water? Find out more here.
For more solid dividend payers to add to your portfolio, you can use our free platform to explore our interactive list of top dividend payers.
To help readers see pass the short term volatility of the financial market, we aim to bring you a long-term focused research analysis purely driven by fundamental data. Note that our analysis does not factor in the latest price sensitive company announcements.
The author is an independent contributor and at the time of publication had no position in the stocks mentioned.