Ameren Corp (AEE), PPL Corporation (PPL): This Week in Utilities, Dividend Stocks Head High and Low

It’s been another busy week for utilities, with new highs as dividend stocks (and their dividends) soar and shrink. Here’s what you need to know to keep pulling profits for your portfolio.

Let’s get high
Ameren Corp
(NYSE:AEE), PPL Corporation (NYSE:PPL) , and several other utilities all recently hit 52-week highs as stocks soared. Utilities in general have been on the rise in 2013, but a common thread among these companies is their stability. They’re heavy on the regulated side, and in times of economic volatility, there’s nothing income investors like more than a stable dividend stock.

PPL Corporation (NYSE:PPL)

It’s the circle of dividends

Atlantic Power Corp (NYSE:AT) distributed its first newly downsized dividend this week. The utility first announced that it would cut its dividend by 66% during its Q4 2012 earnings report, and its stock has been sliding ever since. With its new dividend in place and a plan to focus on natural gas and renewables, I’ll be keeping a close eye on Atlantic Power Corp (NYSE:AT)’s activity over the next few months.

On the other side of dividend stocks, The Southern Company (NYSE:SO) announced a 3.6% increase in its dividend, effective June 6. This news comes as little surprise to The Southern Company (NYSE:SO) shareholders, since it’s the 12th straight year that the utility has upped its dividend. This news also marks the 262nd consecutive quarter The Southern Company (NYSE:SO) has distributed a dividend to shareholders. Looking ahead, the company’s coal-heavy portfolio could benefit in the short term from higher natural gas prices, but it’ll need to continue its modernization projects to stay cost-competitive and keep its status as a sustainable dividend stock.

Nuclear surprise
After five years of work and billions of dollars spent, NextEra Energy, Inc. (NYSE:NEE) completed its nuclear modernization project this week. In an unsuspected turn of events, the uprates exceeded expectations, as NextEra Energy, Inc. (NYSE:NEE) had previously estimated a 400 megawatt improvement.

The utility relies on nuclear power for around 16% of its total generation capacity, and these newest upgrades add an additional 500 MW to its energy portfolio. According to the company, the project will increase efficiency savings by $100 million in the next year alone.

Stay current on electricity
The world of utilities is changing fast, and dividend stocks aren’t the stable stalwarts they once were. Be sure to check back weekly for the latest on your portfolio’s moves, and you’ll be well on your way to electrifying earnings.

The article This Week in Utilities: Dividend Stocks Head High and Low originally appeared on Fool.com is written by Justin Loiseau .

Fool contributor Justin Loiseau has no position in any stocks mentioned, but he does use electricity. You can follow him on Twitter, @TMFJLo, and on Motley Fool CAPS, @TMFJLo. The Motley Fool recommends Exelon and Southern

Copyright © 1995 – 2013 The Motley Fool, LLC. All rights reserved. The Motley Fool has a disclosure policy.

Biotech Insider Alert - $6 Stock To Hit $40

$200 Million Dollar Healthcare Hedge Fund's #1 Best Idea Right Now

The best healthcare hedge fund out there right now is one of the largest shareholders in this biotech stock. The fund returned more than 20% in each of the last 2 years with a virtually fully hedged portfolio, and it's sending out a BUY signal on this biotech stock. Get your FREE REPORT today (retail value of $300)

This is a FREE report from Insider Monkey. Credit Card is NOT required.
Comments
Insider Monkey Small Cap Strategy
Insider Monkey Small Cap Strategy

Insider Monkey beat the market by 52 percentage points in 24 months. Our beta is only 1.2 (don't click this link if beating the market isn't important to you).

Lists

The World’s Most Famous Circuses

Best Hair Stylists

Most Popular NASCAR Drivers

The Best Romance Movies of all Time

The Most Wanted Drug Lords

The Oldest Money Managers

The Greatest Directors in the World

Largest Animals in the World

World’s Most Expensive Desserts

Best Selling Comic Books of All Time

A-list Actors who Sabotaged Their Career

Rappers With a College Degree

The Best Jazz Albums of all Time

The Most Influential Jazz Musicians

The World’s Most Famous Photographers

The Best Oscar-Winning Songs

Most Influential Choreographers Ever

Most Expensive Department Stores in the World

The Most Expensive Stolen Paintings in the World

The World’s Most Expensive Teas

Top Oscar Record Holders

The Most Expensive Flowers in the World

Countries With a Booming Film Industry

Most Expensive Cupcakes in the World

Uncommon European Escapes

The Most Stolen Artists in History

Best Travel Destinations in Australia

World’s Most Expensive Musical Instruments

World’s Most Famous Animals

Most Expensive Cakes in the World

Most Expensive Kosher Champagne in the World

Most Expensive Kosher Wine in the World

The Most Surprisingly Dark Fairy Tales

Most Popular Travel Destinations in Asia

The 10 Most Expensive Dresses Ever Worn to the Oscars

World’s Most Visited Art Museums

Best Countries for Photographers to Work in

Best Paid Jobs in the Film Industry

The Most Renowned Recovered Paintings Ever

Child Stars That Turned out Just Fine

Books That Were Banned in the Past Century

World’s Richest Dancers

Best Remedies against Bad Breath

Foods That Improve Your Skin Texture

Best-Selling Children’s Books of all Time

Foods That Boost Your Libido

Best-Selling Books of all Time

The Most Expensive Academy Awards Jewelry in History

Most Expensive Japanese Restaurant In New York City

The Best B-Boy Movies

Subscribe

Enter your email:

Delivered by FeedBurner

X

Thanks! An email with instructions is sent to !

Your email already exists in our database. Click here to go to your subscriptions

Insider Monkey returned 129% in 2.5 years!! Wondering How?

Download a complete edition of our newsletter for free!