The Best Performing Utilities And Which Of Them Are Still Cheap

Utility dividend stocks with highest performance year-to-date originally published at long-term-investments.blogspot.com. Utilities are often high dividend payers but they also have high debt amounts and their growth abilities are very limited.

Normally, you should not expect higher capital gains due to the slow growth and high investment costs.

It’s surprising that the best performing utilities gained 18 percent to 80 percent within the first six months of the year. I my view, it’s a shift to quality business models with higher yields and stable returns. Investors look for investment alternatives outside the bond sector and utilities are a place to be for the time being.

You can find a small list of the 20 best performing utility dividend stocks. I excluded all companies with a market capitalization below 300 million. They are definitely too risky and some of them have an extraordinary high return. Lower valuated companies dominating the top results. The average market capitalization amounts to 3.6 billion.

Despite the large price increase of the stocks, twelve of them still have a buy or better rating.

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20 Of The Safest Dividend Challengers On The Market

Dividend Challengers with lowest beta ratios originally published at "long-term-investments.blogspot.com". I love high-quality dividend growth stocks and the stocks with the longest history of consecutive payments are definitely Dividend Kings and Dividend Champions. But the big disadvantage of them is that they are also highly priced.

You cannot make a greater return with stocks that have a P/E ratio of 22 and grows only at 5 percent. You need real bargains to make big profit with your asset.

This problem can be solved when you look into the dividend potentials. Those stocks haven’t yet reached a longer dividend payment history but they can become a great Dividend Champion within the next years. The price ratios are also lower for some companies and you have a better choice to find good investments because out there are around 160 stocks with five or more years of consecutive dividend payments and 207 with a payment between 10 to 25 years.

Today I like to screen the third class of dividend growth stocks by the safest alternatives. The 20 safest dividend growth stocks have a beta ratio between 0.18 and 0.55. All three top picks come from the oil & gas pipeline industry, a branch with very stable sales and future growth perspectives due to the shale gas boom in the United States.

From the 20 safest Dividend Challengers have nine a current buy or better rating.

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