Investors seeking to build a passive income portfolio often turn to dividend stocks as a reliable source of income. Diversifying across different sectors is key to mitigating risk and maximizing returns. In the energy sector, there are several high-dividend stocks worth considering for those looking to supercharge their passive income portfolio.
Chevron, a global petroleum giant, is a standout choice for dividend investors. With a strong presence in petroleum, natural gas, and geothermal energy, Chevron is a key player in the energy industry. Despite concerns about carbon emissions, Chevron’s products power many essential industries such as automotive, aviation, and shipping. The company’s recent performance has been impressive, with $51 billion in revenue and earnings per share exceeding expectations. With a dividend yield of 4%, Chevron offers a solid income stream for investors.
ExxonMobil, another major player in the oil and gas sector, is a dividend aristocrat with a track record of increasing dividends for 42 consecutive years. The company’s market cap exceeds $530 billion, making it the largest player in the sector. ExxonMobil’s share price has seen significant growth in recent years, with a five-year increase of over 78%. Currently offering a dividend yield of 3.27%, ExxonMobil is a reliable income generator for passive income investors.
Entergy, a Louisiana-based energy company, provides power to millions of residents across several states. As one of the largest nuclear energy providers in the country, Entergy has significant potential for growth. The company’s share price has risen nearly 50% in the last 12 months, driven by its nuclear power capabilities. With a dividend yield of 3.17%, Entergy offers investors a steady income stream.
While oil stocks may offer strong growth potential in 2025, it’s essential to diversify across different energy sectors to reduce risk. Entergy’s focus on nuclear energy presents a unique opportunity for investors looking to capitalize on the growing demand for clean energy sources. Analysts are bullish on Entergy, with a consensus “buy” rating and price targets indicating potential upside.
In a changing interest rate environment, high-yield investments are becoming increasingly attractive for income-seeking investors. Private market real estate investments, such as the Ascent Income Fund from EquityMultiple, offer historical distribution yields of 12.1% backed by real assets. With payment priority and flexible liquidity options, the Ascent Income Fund is a compelling option for income-focused investors.
Overall, high-dividend energy stocks can be a valuable addition to a passive income portfolio. By diversifying across different sectors and exploring high-yield investment opportunities, investors can supercharge their income streams and achieve their financial goals. Consider incorporating these energy stocks into your portfolio to maximize your passive income potential.