Exelon (EXC) is a Top Dividend Stock Right Now: Should You Buy?

Company Overview - Exelon (EXC) is headquartered in Chicago and operates in the Utilities sector, with a stock price change of 25.05% since the beginning of the year [3] - The company currently pays a dividend of $0.40 per share, resulting in a dividend yield of 3.4%, which is higher than the Utility - Electric Power industry's yield of 3.08% and the S&P 500's yield of 1.51% [3] Dividend Performance - Exelon's current annualized dividend of $1.60 has increased by 5.3% from the previous year [4] - Over the past 5 years, Exelon has raised its dividend three times, averaging an annual increase of 0.70% [4] - The company's current payout ratio is 60%, indicating that it pays out 60% of its trailing 12-month earnings per share as dividends [4] Earnings Growth - The Zacks Consensus Estimate for Exelon's earnings in 2025 is projected at $2.68 per share, reflecting a year-over-year earnings growth rate of 7.20% [5] - Future dividend growth will depend on earnings growth and the payout ratio [4] Investment Considerations - Exelon is considered a compelling investment opportunity due to its strong dividend profile and current Zacks Rank of 3 (Hold) [6] - Income investors typically favor dividends as they enhance stock investing profits and reduce overall portfolio risk [5]