Dividend increases can reassure investors of a company’s potential to earn profits over the long term. That being said, the companies on our list today have a dividend payout that exceeded its earned Net Income over the last quarter – signifying that cash was paid from its reserves, rather than from cash generated from business operations.
TransAlta Corp. (TSX: TA) – $4.29
Electric Utilities
TransAlta Corporation (TransAlta) is engaged in the production and sale of electric energy. The Company is organized into three business segments: Generation, Energy Marketing and Corporate.
- Market Cap: $1,243,890,687
- Dividend Payout (LFQ): 31%
- Growth in Dividend (Q/Q): 2%
- Dividend Yield (LFQ annualized): 16%
Related: 5 Stocks That Recently Boosted Its Dividend Payout >>
Capital Power Corporation (TSX: CPX) – $16.22
Independent Power Producers
Capital Power Corporation (Capital Power) is a Canada-based power producing company, which develops, acquires, operates and optimizes power generation from a range of energy sources. Capital Power owns over 2,700 megawatts (MW) of power generation capacity at 15 facilities across North America and owns 371 MW of capacity through its interest in Sundance PPA.
- Market Cap: $1,617,182,234
- Dividend Payout (LFQ): 73%
- Growth in Dividend (Q/Q): 6%
- Dividend Yield (LFQ annualized): 9%
Innergex Renewable Energy Inc. (TSX: INE) – $10.20
Electric Utilities
Innergex Renewable Energy Inc. is an independent renewable power producer. The Company is a developer, owner and operator of renewable power-generating facilities with a focus on hydroelectric, wind power and solar photovoltaic (PV) projects. It operates through four segments: hydroelectric generation, wind power generation, solar power generation and site development.
- Market Cap: $1,065,152,943
- Dividend Payout (LFQ): 279%
- Growth in Dividend (Q/Q): 3%
- Dividend Yield (LFQ annualized): 6%
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Caribbean Utilities Co Ltd. (TSX: CUP.U) – $11.00
Electric Utilities
Caribbean Utilities Company, Ltd. is engaged in the generation, transmission and distribution of electricity in its license area of Grand Cayman, Cayman Islands. The Company provides these services pursuant to a 2-year exclusive year transmission and distribution license and a 25 year non-exclusive Generation license with the Cayman Islands Government, which expires in April 2028 and November 2039, respectively.
- Market Cap: $482,872,246
- Dividend Payout (LFQ): 67%
- Growth in Dividend (Q/Q): 7%
- Dividend Yield (LFQ annualized): 6%
Algonquin Power & Utilities Corp. (TSX: AQN) – $10.36
Independent Power Producers
Algonquin Power & Utilities Corp. (APUC) is based in Canada and is engaged in ownership of power generation facilities and water, gas and energy utilities, through investments in securities of subsidiaries, including companies, limited partnerships and trusts. It operates in two segments: APCo, which owns or has interests in renewable energy facilities and thermal energy facilities, and Liberty Utilities, which owns and operates utilities in the United States of America providing water, wastewater and local electric distribution services.
- Market Cap: $2,639,849,612
- Dividend Payout (LFQ): 198%
- Growth in Dividend (Q/Q): 8%
- Dividend Yield (LFQ annualized): 5%
