Here's How Many Shares of NextEra Energy You Should Own to Get $1,000 in Yearly Dividends

Dividend payers such as NextEra Energy (NYSE: NEE) can be powerful wealth builders. They're attractive for a bunch of reasons. For starters, companies typically wait until they're generating fairly reliable income before committing to a dividend payout. And once they start paying one, they're generally loath to reduce it or suspend it.

With dividend-paying shares of healthy and growing companies, you can look forward to share price appreciation, dividend payouts, and dividend increases over time. It's a win-win-win!

Where to invest $1,000 right now? Our analyst team just revealed what they believe are the 10 best stocks to buy right now. See the 10 stocks »

Image source: Getty Images.

Check out the impressive stats below:

Data source: Ned Davis Research and Hartford Funds.

If you're considering NextEra Energy, you might be wondering how many shares of it you'll need to own to generate annual income of, say, $1,000. Here's how to figure that out: Look up the stock online and you'll likely see that it's paying $0.52 per quarter, or $2.06 per year, per share. Its dividend yield was recently a solid 3%. (It's also expecting to increase its payouts by around 10% annually for the coming few years.)

Take your desired total dividend income of $1,000 and divide it by $2.06. You'll arrive at 486, which is the number of shares of NextEra Energy you'll need in order to receive $1,000 in dividends -- a sum that will likely increase over time. At recent share prices, that amount will cost you a little more than $34,000.

NextEra Energy has been a solid performer for its shareholders for many years, with average annual gains of around 12% over the past decade. The renewable energy stock, with a recent market value near $150 billion, is the largest producer of wind and solar energy in the world -- and is a major presence in battery storage, too.

If you're looking for growing dividend income and you're bullish on renewable energy, give NextEra Energy a closer look.

Don’t miss this second chance at a potentially lucrative opportunity

Ever feel like you missed the boat in buying the most successful stocks? Then you’ll want to hear this.

On rare occasions, our expert team of analysts issues a “Double Down” stock recommendation for companies that they think are about to pop. If you’re worried you’ve already missed your chance to invest, now is the best time to buy before it’s too late. And the numbers speak for themselves:

• Nvidia: if you invested $1,000 when we doubled down in 2009, you’d have $302,501!*
• Apple: if you invested $1,000 when we doubled down in 2008, you’d have $43,181!*
• Netflix: if you invested $1,000 when we doubled down in 2004, you’d have $527,934!*

Right now, we’re issuing “Double Down” alerts for three incredible companies, and there may not be another chance like this anytime soon.

Learn more »

*Stock Advisor returns as of February 3, 2025

Selena Maranjian has positions in NextEra Energy. The Motley Fool has positions in and recommends NextEra Energy. The Motley Fool has a disclosure policy.