Why NextEra Energy (NEE) is a Top Dividend Stock for Your Portfolio

Company Overview - NextEra Energy (NEE) is based in Juno Beach and operates in the Utilities sector, with a year-to-date share price change of -1.38% [3] - The company currently pays a dividend of $0.57 per share, resulting in a dividend yield of 3.21$2.27 has increased by 10.2% from the previous year [4] - Over the past 5 years, the company has raised its dividend 5 times, achieving an average annual increase of 9.75% [4] - The current payout ratio is 60%, indicating that the company distributes 60% of its trailing 12-month earnings per share as dividends [4] Earnings Growth Expectations - For the fiscal year, NextEra Energy anticipates solid earnings growth, with the Zacks Consensus Estimate for 2025 at $3.67 per share, reflecting a 7% increase from the previous year [5] Investment Considerations - Dividends are favored by investors as they enhance stock investing profits, reduce overall portfolio risk, and offer tax advantages [6] - High-growth firms or tech start-ups typically do not provide dividends, while established companies with secure profits are preferred for dividend investments [7] - NextEra Energy is considered a compelling investment opportunity due to its strong dividend profile and current Zacks Rank of 3 (Hold) [7]