Top Dividend Stocks: Suncor Shimmers With Solid Yield After Record Year

Income Investor highlights top dividend stocks and Suncor (SU) is back in focus after posting Q4 earnings that capped off a record year. The Canadian energy giant specializes in oil production, refining and marketing, 


Suncor posted a Q4 2022 profit of $1.81 Canadian dollars per share on CA$13.85 billion ($10.17 billion) in revenue. It earned CA$8.32 per share for the fiscal year, skyrocketing from CA$2.56 in 2021.

Record results have allowed the company to return CA$8 billion to shareholders over the past year, through share repurchases and dividend buybacks.

Suncor raised its dividend by CA$0.52 in November, now yielding an annualized 4.6% payout. For investors looking to catch the next dividend, act quickly because shares will trade ex-dividend March 2.

Top Dividend Stocks: Rising Distributions and Buybacks

Earnings are expected to moderate to CA$4.87 per share this year. But distributions and share buybacks may continue their upward trajectory going forward.

Suncor, among top dividend stocks, has prioritized paying off its sizable debt load, with 40% of 2022’s excess funds allocated toward debt reduction. It expects to return even more cash to shareholders as debt reduction goals near. This is great news for investors seeking both growth and income.

If oil prices remain buoyant, this could play out perfectly for Suncor’s investors.

Nevertheless, the decreasing debt is still higher than many industry group peers. In fact, S&P Global downgraded Suncor’s debt to “BBB” in September as oil prices moderated.

SU stock is grinding through a long-term consolidation base and has traded within an eight-point range for the last four months.


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