Top Dividend Stocks Achieve Strong Total Returns in 2024

In a recent report, three top-performing dividend stocks have demonstrated significant growth and total returns throughout the year. Brookfield Infrastructure, Energy Transfer, and Kinder Morgan all exhibit promising financial trajectories that may influence their stock prices positively.

Date: 28-11-2024

AI Rating: 8

The report highlights three key dividend stocks: Brookfield Infrastructure, Energy Transfer, and Kinder Morgan, all of which have shown substantial growth in 2024. These companies are notable for their high total returns, which are bolstered by a combination of capital growth and dividend income.

Brookfield Infrastructure (BIPC, BIP)

Brookfield Infrastructure has gained over 25% this year, resulting in a total return approaching 30% when accounting for a high-yielding dividend of over 3.5%. Significant factors driving this growth include:

Funds from operations (FFO) up by 10%, adjusted for foreign exchange.
A target of $2 billion in capital recycling achieved, enhancing financial flexibility.
A projected growth in FFO per share by more than 10% annually, supporting consistent dividend increases.

Energy Transfer (ET)

Energy Transfer's units have surged more than 35%, contributing to a near 50% total return due in part to:

Three acquisitions leading to increased operational volumes and efficiencies.
An anticipated growth of 12% in adjusted EBITDA.
A robust backlog of capital projects poised to capitalize on natural gas demand.

Kinder Morgan (KMI)

Kinder Morgan has witnessed a staggering near 60% rally this year, resulting in a total return exceeding 70%. This can be attributed to:

Effective expansion of natural gas pipeline projects contributing to cash flow growth of around 8%.
An historically rich environment for new infrastructure projects driven by rising demand.

Overall, the performance of these stocks could influence investment decisions positively. Each of these companies demonstrates strong growth potential and has successfully leveraged capital opportunities to enhance shareholder returns while maintaining attractive dividend yields.

Stocks: BIPC BIP ET KMI