#2 - Brookfield Renewable Partners (NYSE:BEP)
Brookfield Renewable Partners (NYSE: BEP) Another consideration when investing in high-quality, low-risk stocks is finding companies that are the largest in class. That’s one of the many strengths of Brookfield Renewable Partners. Brookfield is a subsidiary of Brookfield Asset Management and they own a portfolio of power generation facilities that use renewable energy. The reach of the company extends internationally. Like other low-risk stocks, BEP maintains a very sound balance sheet highlighted by a stable cash flow that is anchored by long-term contracts which make up 92% of the company’s funds from operations (FFO). The company uses 70% of their FFO as a payout in the form of a dividend. In their latest earnings report, the company expressed confidence that they will be able to increase their payout by 5% to 9%. This makes it likely that their dividend will not only continue but also increase over time. The company is also putting their stockpile of cash to use in acquiring $500-$600 million per year of additional assets that should lead to double-digit growth over the next several years. The company is currently trading at a discount compared to other companies in its sector.
About Brookfield Renewable Partners
Brookfield Renewable Partners L.P. owns a portfolio of renewable power generating facilities primarily in North America, Colombia, and Brazil. The company generates electricity through hydroelectric, wind, solar, distributed generation, and pumped storage, as well as renewable natural gas, carbon capture and storage, recycling, cogeneration biomass, nuclear services, and power transformation.
Read More - Current Price
- $25.17
- Consensus Rating
- Buy
- Ratings Breakdown
- 7 Buy Ratings, 1 Hold Ratings, 0 Sell Ratings.
- Consensus Price Target
- $31.78 (26.3% Upside)
