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This Dividend Stock Has Raised Its Payout for 71 Years. Is It a Buy in 2025?


Published on 2025-01-08 21:01:14 - MSN
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  • Utility stocks have shown surprising strength recently, with the S&P 500 Electric Utilities Index ($UYBB) gaining nearly 20% in 2024. In previous years, the index was largely trading sideways. The utilities sector's strong performance comes during a major shift in the industry,

The article discusses the merits of investing in Canadian Utilities, a company known for its consistent dividend increases over 71 years, making it a Dividend Aristocrat. It highlights that Canadian Utilities has a diversified portfolio in utilities, energy infrastructure, and retail energy, which supports its stable earnings and ability to pay dividends. The stock offers a high yield of about 5.7%, which is attractive for income-focused investors. However, the article also points out potential risks such as regulatory changes, economic downturns, and the company's high debt levels. Despite these concerns, the article suggests that for investors looking for reliable income, Canadian Utilities could still be a good buy in 2025, especially if one considers its long history of dividend growth and the essential nature of its services. The piece concludes by advising investors to consider their risk tolerance and investment horizon before deciding to invest.

Read the Full MSN Article at:
[ https://www.msn.com/en-ca/money/savingandinvesting/this-dividend-stock-has-raised-its-payout-for-71-years-is-it-a-buy-in-2025/ar-AA1x8IUR ]
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