5 Utility Dividend Stocks with Over 3% Yield

3. UGI Corporation (NYSE:UGI)

Number of Hedge Fund Holders: 31

Forward Dividend Yield: 3.77% 

UGI Corporation (NYSE:UGI) markets energy-related products and services. In early January, the company announced that it agreed to purchase the Stonehenge Appalachia midstream natural gas gathering system from Stonehenge Energy Holdings in a deal worth $190 million. The system includes 47 miles of pipeline and associated compression assets and has a capacity of 130M cf/day. The firm expects stable revenue from the system that is already under a long-term contract. 

UGI has raised its annual dividend payouts for 18 consecutive years. On March 22, Barclays analyst Christine Cho maintained an ‘Equal Weight’ rating on UGI Corporation (NYSE:UGI) with a price target of $40, noting that tail risks in energy marketing could sustain for the near-term. 

Among the hedge funds tracked by Insider Monkey, New York-based investment firm First Eagle Investment Management is a leading shareholder in UGI Corporation (NYSE:UGI) with 8.6 million shares worth more than $396 million.