I am a beautiful girl active investor. Ready money routinely flows into my brokerage accounts from passive income sources and recurring transfers. I like to put most of the money in right away THE JOBS to generate more passive income.
high quality, high yield dividend stocks are my favorite investment. I routinely add my favorite positions. This month, I plan to continue buying shares of Income from real estate (NYSE: O), Brookfield Infrastructure (NYSE: BIPC)(NYSE: BIP)AND Enbridge (NYSE: ENB). That is why I can not it seems that get plenty of these top income stocks.
The name says it everything
Real estate income has a phenomenal record of paying dividends. Diverse REIT has declared 647 in a row monthly dividends. It has raised its payout 126 times since going public in 1994, including the past 107 consecutive quarters, increasing its payout at a compound annual rate of 4.3%.
I fully expect that steady upward trend in payout, which at a 6% yield is much higher than S&P 500average is 1.3%, to continue. The internal drivers of real estate income growth — increasing rents and using cash flow retained after paying dividends to finance new investments — should increase adjusted funds from operations (FFO) by about 2% per share every year. This provides a strong basis for a continuously growing dividend.
Meanwhile, the company estimates it can add about 0.5% to its FFO-per-share growth rate for every $1 billion of externally financed acquisitions it makes. These acquisitions are financed by the sale of shares and the issuance of new debt. The real estate proceeds conservatively estimate that they could fund $4 billion to $6 billion in acquisitions abroad. every year. When added to its internal growth drivers, this should push its FFO per share growth rate to around 4% to 5% annually, in line with its historical growth rate. With trillions of dollars in commercial real estate in the US and Europe, real estate income should have many new investment opportunities.
High-powered growth should they continue
Brookfield Infrastructure has done a great job of growing its dividend. The global infrastructure operator has increased its payout at an annual rate of 9% since 2009.
She should have plenty of fuel to increase her payout in the future. Brookfield expects a trio of organic drivers — an increase in the rate of indexed inflation, volume growth as the global economy expands and expansion projects funded with retained cash flow after paying dividends — to boost FFO. its per share from 6% to 9% per year. The company has a number of expansion projects underway, including several data center developments and two new semiconductor fabrication facilities that are helping to finance.
On top of organic growth, Brookfield has an excellent track record of making accretive acquisitions. It recently agreed to buy an additional 10% interest in its integrated Brazilian rail and logistics provider, and is working to acquire a portfolio of telecom towers in India. It is financing these agreements from recycling capital. Brookfield believes the acquisitions will help boost its FFO growth rate to double digits. That easily supports its plan to raise its dividend, which yields around 5%, from 5% to 9% annually.
Plenty of fuel to keep growing
Enbridge has paid dividends to its investors for nearly seven decades. The Canadian pipeline and utilities giant has increased its payout every year for 29 the past.
The company should have plenty of fuel to keep growing its dividend, which yields a monster 7.5% these days, for the next several years. It is in the process of closing one once in a generation purchase of the three high quality gas utilities in the United States. This deal will immediately increase its revenue, increase diversification and stability of revenue and add to its growth profile.
In addition, the company has a stable organic growth. It has billions of dollars in commercially secured projects under construction that should come online by 2028. These projects should help grow its cash flow per share by 3% annually through 2026 and by a rate of approximately 5% per year thereafter. This apparent increase in profitstogether with its high level financial profilepositions Enbridge to continue to increase the dividend every year.
High quality income stocks
Real Estate Income, Brookfield Infrastructure and Enbridge are my ideal income stocks. They pay well above average dividends and these payouts should continue to grow steadily in the future. Those factors are driving My decision to continue buying these high-end income stocks will be delivered in July.
Should you invest $1,000 in Enbridge right now?
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Matt DiLallo has positions in Brookfield Infrastructure Corporation, Brookfield Infrastructure Partners, Enbridge and Realty Income. The Motley Fool has positions in and recommends Enbridge and Realty Income. The Motley Fool recommends Brookfield Infrastructure Partners. The Motley Fool has a disclosure policy.
The Top 3 Dividend Stocks I Plan to Buy Out of Hand This July was originally published by The Motley Fool