In this article, I present the latest additions to The Dividend Income Accelerator Portfolio: Canadian Natural Resources and NextEra Energy. These companies were strategically selected to strengthen the portfolio’s balance of dividend income and dividend growth, while enhancing sector diversification and reducing risk.
Canadian Natural Resources offers a Dividend Yield [FWD] of 5.67% and a 5-Year Dividend Growth Rate [CAGR] of 22.41%, supported by strong profitability and an attractive valuation (P/E [FWD] of 11.34). NextEra Energy, with a Dividend Yield [FWD] of 3.12% and a 10-Year Dividend Growth Rate [CAGR] of 11.11%, brings stability and sector diversification through its presence in the Utilities sector.
Following these acquisitions, the portfolio maintains a Weighted Average Yield on Cost [TTM] of 4.43% while increasing its 5-Year Weighted Average Dividend Growth Rate [CAGR] to 7.53%. It also improves diversification by raising exposure to the Energy and Utilities sectors and lowering the concentration in Financials.
With Berkshire Hathaway, BlackRock, Johnson & Johnson, Apple, and Altria as the top five holdings, this portfolio continues to aim for strong risk-adjusted returns by blending high-quality dividend income with consistent growth potential.
