Updated: August 9, 2017
If you’re buying utility stocks for dividends, focus on the firms that are boosting their payouts the fastest. I’ll give you my top 5 in a minute. But first, let me explain why this strategy is a must for utility investors today.
The Utilities Select Sector Spider ETF (XLU) pays just 3.3% currently. This puts utility dividends near 7-year low.
The problem with buying utility stocks with low yields is that, in most cases, payout boosts aren’t going to provide much help. XLU has only raised its dividend by a total of 24% over the last 7 years. That’s less than 3.5% annually.…