Dominion Resources Inc Dividend Stock Analysis

Dominion Resources, Inc. (D) is one of the largest utility companies in America operating in the electric and gas utility subsectors. The company produces and transports energy serving 5 million utility and retail energy customers in 10 states. The company operates through three segments: Dominion Virginia Power, Dominion Generation, and Dominion Energy.

A combined gas-and-electric utility business has been identified in the industry as the path to growth going forward. Dominion owning its own natural gas infrastructure, has a competitive advantage in this sense over its competitors, and while they play catch up, Dominion is investing to incrementally upgrade and better the infrastructure totaling upto $19.2B between 2015 and 2020. Going forward this should bode well for the earnings growth. The company is a dividend contender having raised dividends for 12 consecutive years, with a 5-year dividend CAGR of 6.5%, and has a Chowder Rule of 10.04.

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