NEE - 3 Energy Stocks to Buy Hand Over Fist in May
2023-05-04 07:18:00 ET
Oil prices have cooled off considerably over the past year, despite continued supply issues following the fallout of Russia's invasion of Ukraine. That volatility showcases one of the pitfalls of investing in energy stocks .
However, not all energy stocks have exposure to pricing volatility. Many generate stable cash flows, giving them the funds to pay attractive dividends and invest in growing their operations. Brookfield Infrastructure (NYSE: BIP) (NYSE: BIPC) , Enterprise Products Partners (NYSE: EPD) , and NextEra Energy (NYSE: NEE) stand out for their stable cash flows and growing dividends. With their stock prices falling along with the broader market over the past year, investors should consider buying as many shares as they can get their hands on this month.
Brookfield's durable cash flows were on full display during the first quarter. The global infrastructure company grew its funds from operations ( FFO ) by 12% in the period, driven by 9% organic growth. The company benefited from inflation-driven rate increases, higher volumes, and finishing $1 billion of expansion projects. The biggest growth driver was Brookfield's utility segment, where FFO jumped 25%, powered by inflation and $450 million of expansion projects.
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3 Energy Stocks to Buy Hand Over Fist in May