This sustainable infrastructure company could generate steady dividend growth over the coming years. The company did experience some foreign exchange headwinds and lower solar energy resources in some of the regions where it operates. However, it offset those negatives thanks in part to higher availability levels at its transmission lines and water assets. Furthermore, it's worth noting that it didn't experience any material impact from the COVID-19 outbreak during the quarter as its infrastructure assets are essential and backed by long-term, fixed-rate contracts that insulate it from near-term pricing and volume fluctuations.
Atlantica Yield (NASDAQ:AY) is all about sustainability. The company focuses on operating a portfolio of sustainable infrastructure assets like renewable energy projects and water desalinization plants that generate durable cash flows backed by long-term contracts. That provides it with the funds to pay an attractive dividend, which currently yields 6.8%. While higher-yielding payouts like that often come with more risk, Atlantica aims to sustain its payout by keeping its leverage low so that it can continue expanding its portfolio. Those durable characteristics were on full display during the first quarter.
Source: Motley Fool
Related Articles:
- 5 Dividend Stocks With A Low Payout Ratio
- 5 Dividend Stocks Beating the S&P With Positive Returns In Excess of 50% YTD
- Income Annuities vs. Dividend Stocks
- 5 Tech Stocks With A History of Growing Their Dividends
- How To Manage Your Dividend Portfolio In A Downturn
This 6.8%-Yielding Renewable Energy Stock Has Lots of Growth Ahead
Posted by D4L | Wednesday, May 27, 2020 | ArticleLinks | 0 comments »________________________________________________________________
Subscribe to:
Post Comments (Atom)
Popular Posts Last 30 Days
-
At times like this, it is tempting to jump on a bandwagon and buy up the growth stocks, aiming to capitalize on the broader trends. But is t...
-
In today’s near-zero interest rate environment, it’s been tough for investors looking for yield. There are many high-yielding dividend stock...
-
There are some dividend aristocrats which have not only maintained but increased their dividends for over half a century. Having survived ev...
-
Three high dividend stocks to buy now feature a business development company (BDC), a national real estate investment trust (REIT) and the o...
-
The research analysts at Wells Fargo have been searching the markets for the ‘right’ buys, and their picks bear a closer look. They’ve been ...
-
This past year has been the ultimate stress test for dividend stocks. Some companies failed miserably as they either slashed or suspended th...
-
Dividend stocks are a great choice for investors looking for a regular income stream. The best dividend stocks offer a growing payout in add...
-
The dividend-paying cleaning stocks to buy now amid the COVID-19 pandemic should benefit from heightened sanitary expectations by consumers ...
-
Rather than subject themselves to this risk, savvy investors can stabilize their portfolios by taking positions in reliable dividend growth ...
-
The best dividend stocks can generate excellent long-term returns. Even better, investors can buy high-quality dividend stocks when they are...

0 comments
Post a Comment
Post a Comment
Note: Only a member of this blog may post a comment.