This is Why Essential Utilities (WTRG) is a Great Dividend Stock

Core Insights - Essential Utilities (WTRG) is positioned in the Utilities sector, with a year-to-date share price change of 6.19% and a current dividend yield of 3.55%, outperforming the Utility - Water Supply industry's yield of 2.71% and the S&P 500's yield of 1.52% [3][4]. Company Overview - The company currently pays a dividend of $0.34 per share, with an annualized dividend of $1.37, reflecting an 8.3% increase from the previous year [3][4]. - Over the past five years, Essential Utilities has increased its dividend five times, achieving an average annual increase of 6.53% [4]. Earnings and Growth Potential - The Zacks Consensus Estimate for 2025 projects earnings of $2.11 per share, indicating a year-over-year earnings growth rate of 7.11% [5]. - Future dividend growth will depend on earnings growth and the payout ratio, which is currently at 56%, meaning the company pays out 56% of its trailing 12-month EPS as dividends [4]. Investment Appeal - Essential Utilities is considered an attractive dividend play and a compelling investment opportunity, holding a Zacks Rank of 2 (Buy) [6].