Analysis – NRG Engery Inc. Increases Dividend by 3%


NRG Energy Incorporated announced a regular quarterly dividend of $0.145 per share, a 3 percent increase from the prior rate of $0.14 per share.  The dividend will be paid at the new higher rate on February 17, 2015 to shareholders of record at close of business on February 2, 2015.

Date Quarterly Dividend
2/2/2015 0.145
10/30/2014 0.14
7/30/2014 0.14
4/29/2014 0.14
1/30/2014 0.12
10/30/2013 0.12
7/30/2013 0.12
4/29/2013 0.12
1/30/2013 0.09
10/31/2012 0.09
7/30/2012 0.09

Analysis of Valuation of NRG Energy Inc.. (Symbol NRG).

NRG Energy is trading below its average price/sale (P/S) range. NRG Energy is trading at the top of its average dividend yield range.

Price 1/22/15 % Yield 5 Year Div. Growth Rate SPS 2015 P/S  Ratio 10 yr P/S  Low 10 yr P/S  High 5 yr max Yield % 5 yr lowest Yield %
25.09 2.30% 18 44.00 0.71 0.44 1.87 2.3% 0.8%

NRG Energy Dividend Yield Chart (Click to enlarge)


Explanation:  Dividend growth stocks may be valued upon historical relative price/sales and current yield analysis. Dividend stocks trading at a low historical price/sales (P/S) ratio should be viewed more highly to investors due to their depressed valuation versus other higher P/S ratio stocks.  Max P/S price target is based upon company reaching its highest historical P/S ratio.  Dividend stocks should also be viewed favorably when the current yield is above historical readings for the past 10 years.

Further information on evaluating dividend growth candidates can be found


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