In the world of dividend investing, most companies typically raise their payouts once a year. However, a select few are more generous, increasing dividends every fiscal quarter, providing investors with a steadily growing income stream. Clearway Energy (CWEN.A) and Energy Transfer (ET) stand out in this regard, having consistently raised their dividends over the past few years, making them ideal choices for passive income investors.
Clearway Energy is a renewable energy-focused company that sells electricity to utilities and large corporate customers through long-term, fixed-price power purchase agreements (PPAs), ensuring stable cash flow. Currently, the company pays a quarterly dividend of $0.4384 per share (annualized $1.75), yielding 5.7%. Clearway continues to invest in clean energy projects, such as acquiring solar farms, wind farms in Washington, and upgrading wind projects in West Virginia—including a 20-year PPA with Microsoft.
Dividend Growth Plan:
Energy Transfer is one of the largest midstream energy companies in the U.S., specializing in the transportation and storage of natural gas, crude oil, and liquefied natural gas (LNG). It currently pays a quarterly distribution of $0.3275 per unit (annualized $1.31), offering a high yield of 7.3%. Last year, the company acquired WTG Midstream for $3.3 billion, which is expected to boost cash flow by $0.04 per unit this year, increasing to $0.07 per unit by 2027. This growth supports its strategy of raising payouts every quarter.
Dividend Growth Strategy:
Clearway Energy is ideal for investors seeking clean energy exposure + stable dividend growth. Energy Transfer, with its 7%+ yield and expanding operations, is a core pick in the midstream energy sector. While future payouts are never guaranteed, both companies’ business models and growth strategies position them as top-tier dividend stocks for investors looking for quarterly dividend increases and consistent passive income.
