ExxonMobil (NYSE: XOM), NextEra Energy (NYSE: NEE), and Air Products and Chemicals (NYSE: APD) represent three energy dividend stocks with long track records of consistent annual payout increases.
Companies that consistently raise their dividends tend to demonstrate strong business models, disciplined capital management, and lower volatility during market downturns compared to non-dividend payers.
ExxonMobil has grown its dividend for 43 consecutive years, paying out $17 billion in dividends to shareholders last year, making it one of the largest dividend payers in the S&P 500.
The oil giant also returned $20 billion to shareholders through share repurchases, underscoring its commitment to rewarding investors through multiple capital return channels.
ExxonMobil’s integrated business model spans the full oil and gas value chain, with a strategic focus on what the company calls “advantaged” assets characterized by low operating costs, low emissions, and high returns.
These advantaged assets are projected to account for 65% of ExxonMobil’s upstream production by 2030, and the company targets upstream output growth to approximately 5.5 million oil-equivalent barrels per day by that same year.
Since 2019, ExxonMobil has divested $25 billion in assets and captured $15 billion in cumulative structural cost savings, reflecting disciplined portfolio management across its energy holdings.
NextEra Energy has raised its annual dividend for 32 consecutive years, supported by its regulated utility business, Florida Power and Light, alongside its renewable energy arm, NextEra Energy Resources.
The company recently announced an all-stock acquisition of Dominion Energy, a deal that would create the world’s largest regulated electric utility, serving 10 million customers across Florida, Virginia, North Carolina, and South Carolina.
Management expects to close the Dominion transaction within 12 to 18 months, subject to regulatory approvals, and projects earnings per share for the current year between $3.92 and $4.02.
NextEra Energy also expects to grow dividends per share by approximately 10% and anticipates finalizing a deal with one large-load data center customer before the end of this year.
Air Products and Chemicals (NYSE: APD) has paid a dividend every year since 1954 and raised its payout for each of the past 44 consecutive years, the longest streak of the three companies highlighted.
The company’s business is underpinned by 15- to 20-year contracts, providing strong visibility into future earnings and supporting its capacity to sustain and grow its dividend over time.
As one of only a few major players in the industrial gases and chemicals industry, Air Products benefits from high barriers to entry and significant pricing power, giving it a durable competitive advantage.
The company is pivoting toward clean energy, investing in green hydrogen production in Saudi Arabia and blue hydrogen production and carbon capture projects in Louisiana and Canada.
Disruptions in the Middle East have affected helium prices, including at Qatar’s Ras Laffan energy complex, which controls 30% of global helium production, reversing a prior decline driven by oversupply.
Higher oil prices and supply constraints have also pushed chemical prices upward, with Air Products’ pricing power enabling its North American refining and chemical segments to perform well in the current environment.
