Investing in Reliable Income: A Look at Hess Midstream, CMS Energy, and Comcast

In the ever-evolving landscape of investment opportunities, companies with a strong history of paying and increasing dividends stand out, particularly for income-focused investors. Hess Midstream, CMS Energy, and Comcast are three such companies that have consistently rewarded their shareholders, making them appealing options for those seeking reliable passive income. With dividend yields reaching up to 7%, these firms are worth a closer look.

Hess Midstream: A Steady Performer

Overview

Hess Midstream LP (NYSE: HESM) specializes in owning, operating, developing, and acquiring midstream assets, providing fee-based services primarily to Hess and third-party customers across the United States. This focus on midstream operations positions the company well in the energy sector, where demand for efficient transportation and storage solutions continues to grow.

Dividend History

Hess Midstream has demonstrated a robust commitment to its shareholders by increasing dividends for eight consecutive years. Most recently, on April 28, the company raised its quarterly payout from $0.7012 to $0.7098 per share, translating to an annual dividend of $2.84. This increase results in a current dividend yield of 7.20%, making it an attractive option for income-seeking investors.

Financial Performance

As of March, Hess Midstream reported annual revenues of $1.52 billion. In its Q1 2025 earnings report released on April 30, the company posted revenues of $382 million, surpassing the consensus estimate of $381.62 million. However, its earnings per share (EPS) of $0.65 fell slightly short of the consensus estimate of $0.69, indicating some room for improvement.

CMS Energy: A Utility Powerhouse

Overview

CMS Energy Corp. (NYSE: CMS) is primarily focused on utility operations in Michigan, providing essential services to millions of customers. The company’s commitment to sustainability and innovation has positioned it as a leader in the energy sector.

Dividend History

CMS Energy has a remarkable track record, having raised its dividends for 19 consecutive years. On February 6, the company increased its quarterly payout from $0.515 to $0.5425 per share, resulting in an annual figure of $2.17. Although the company maintained this payout level in its April 14 announcement, the current dividend yield stands at a respectable 3.13%.

Financial Performance

As of March 31, CMS Energy reported annual revenues of $7.79 billion. In its Q1 2025 earnings release on April 24, the company generated revenues of $2.45 billion, exceeding the consensus estimate of $2.23 billion. However, its EPS of $1.02 was slightly below the consensus estimate of $1.03, suggesting that while the company is performing well, there are areas for growth.

Comcast: A Media and Technology Leader

Overview

Comcast Corp. (NASDAQ: CMCSA) is a global media and technology company, known for its extensive cable and internet services. The company has diversified its offerings, making it a significant player in the entertainment and telecommunications sectors.

Dividend History

Comcast has consistently increased its dividends for 17 years. On January 30, the company announced a 6.5% increase in its quarterly payout to $0.33 per share, equating to an annual figure of $1.32. The company maintained this payout level in its May 21 announcement, resulting in a current dividend yield of 3.86%.

Financial Performance

As of March 31, Comcast reported annual revenues of $123.56 billion. In its Q1 2025 earnings report released on April 24, the company posted revenues of $29.89 billion and an EPS of $1.09, both exceeding consensus estimates. This strong performance underscores Comcast’s position as a reliable investment choice.

Conclusion: A Smart Choice for Passive Income

Hess Midstream, CMS Energy, and Comcast represent solid investment opportunities for those seeking reliable passive income. With their impressive dividend yields and long histories of consistent increases, these companies are well-positioned to provide value to income-focused investors. As the market continues to evolve, these firms stand out as beacons of stability and growth.

For investors looking to diversify their portfolios and secure a steady income stream, these companies are certainly worth considering. Whether you’re a seasoned investor or just starting your journey, Hess Midstream, CMS Energy, and Comcast offer compelling reasons to invest.