3 Dividend Stocks That Were Home Runs in the First Half (Will the Second Half Be as Good?)

These energy stocks have been performing well in the first half of the year, showing strong potential for dividends and total returns. The S&P 500 saw a 14.5% rally in the first half, but with election uncertainty and macroeconomic concerns, it may be challenging to maintain that momentum in the second half.

NextEra Energy, Targa Resources, and ExxonMobil are among the dividend stocks that saw impressive returns in the first half. NextEra Energy, a utility company, rebounded with a total return of over 18%, driven by dividend growth averaging 10% annually. Targa Resources saw a surge of 48.2% in the first half, fueled by record earnings and free cash flow, leading to a 50% dividend increase. ExxonMobil also experienced a 15% surge in the first half, propelled by rising crude oil prices and a major acquisition.

Looking ahead, these energy stocks have promising growth prospects. NextEra Energy is expected to continue its dividend growth trend, while Targa Resources anticipates further expansion projects that will boost earnings and cash flow. ExxonMobil’s recent acquisition is projected to enhance its earnings and cash flow, indicating continued momentum in the upcoming quarters.

Overall, these energy stocks have the potential to deliver strong returns in the second half of the year and beyond. Investors should keep an eye on their growth trajectories and dividend payouts to capitalize on their potential for generating strong total returns.