Core Insights - The article discusses the author's journey in dividend growth investing and the establishment of a blog that documents this journey, aiming for financial independence [1]. Group 1 - The author has been investing since September 2017 and has a long-standing interest in dividend investing since 2009 [1]. - The blog "Kody's Dividends" serves as a platform for sharing insights and experiences related to dividend growth investing [1]. - The author expresses gratitude for the blog's role in connecting with the Seeking Alpha community as an analyst [1].

Core Insights - Blue Owl Capital Corporation (NYSE: OBDC) operates as a business development company focused on generating earnings through a diverse portfolio of debt investments [1] - The company lends capital to businesses, aiming to create a hybrid investment strategy that combines growth and income [1] Company Overview - OBDC is characterized as a business development company that seeks to provide capital to various businesses [1] - The investment strategy includes a mix of classic dividend growth stocks, Business Development Companies, REITs, and Closed End Funds to enhance investment income [1] Investment Strategy - The company emphasizes a hybrid system that balances growth and income, aiming to achieve total returns comparable to traditional index funds like the S&P [1]

Core Viewpoint - NextEra Energy offers an attractive combination of above-average yield and rapidly expanding dividends, making it a strong candidate for long-term total returns [1][11]. Company Overview - NextEra Energy operates a regulated utility in Florida, known as Florida Power & Light, which benefits from population growth in the state, leading to increased customer demand and capital spending [4][5]. - The company has established itself as one of the largest solar and wind power producers globally, with 39 gigawatts of operational capacity and an additional 30 gigawatts in construction, positioning it for continued growth [6]. Financial Performance - NextEra Energy has a history of increasing its dividend for over three decades, with an annualized increase of 10% over the past decade, which is exceptional for the utility sector [7]. - The company anticipates earnings growth of 6% to 8% annually through at least 2027, with dividends projected to increase by 10% per year through at least 2026 [9][10]. Investment Appeal - The current dividend yield for NextEra Energy is nearly 3.2%, significantly higher than the S&P 500's yield of around 1.2% and the average utility's yield of 2.7%, making it attractive for dividend and growth-and-income investors [11]. - NextEra Energy is distinguished from typical utilities due to its combination of high yield and high dividend growth rate, making it a top choice for investors seeking dividend opportunities [12].

Core Insights - Dividend growth investing is not aimed at maximizing current income and is distinct from traditional growth investing, with the Morningstar US Dividend Growth Index currently positioned on the value side of the US stock market [1] Group 1: Dividend Growth Strategy - A dividend growth strategy is characterized as a quality-focused investment approach with defensive traits, where companies increasing payouts are generally seen as financially secure [2] - Dividend growth stocks are perceived to be less volatile than the broader market, attracting significant investor capital into related funds [2] Group 2: Performance Analysis - Over the past decade, dividend growth stocks have underperformed the broader US equity market, although not as severely as high-yield stocks [3] - The Morningstar US Dividend Growth Index includes companies with a five-year history of increasing cash payouts, requiring positive earnings forecasts and a payout ratio under 75%, with 397 US companies meeting these criteria as of July 2025 [3] Group 3: Quality Metrics - Currently, dividend growth stocks score lower than the broad stock market on measures of corporate quality, including profitability, financial strength, and returns on capital [4] - The concentration of the broad market in key technology companies, which are often not dividend growers, contributes to the underperformance of dividend growth stocks [5] Group 4: Market Composition - The dividend growth index excludes highly profitable companies like Nvidia, Amazon, Alphabet, and Meta, which impacts the quality gap and underperformance of the index [6] - The underperformance is primarily attributed to the index's lower exposure to technology stocks and the exclusion of Alphabet and Meta [6] Group 5: Market Changes - The initiation of quarterly payouts by Meta and Alphabet in 2024 indicates a maturation phase for these companies, with only Amazon, Berkshire Hathaway, and Tesla among the largest stocks not paying dividends [7]

Core Insights - The article discusses the journey to financial independence through disciplined living and strategic investing [2] - It emphasizes the importance of dividend growth investing and identifying undervalued high-quality stocks [2] Group 1: Financial Independence Journey - The individual transitioned from being financially unstable at age 27 to achieving financial freedom by age 33 [2] - The approach involved living below means and making intelligent investment decisions [2] Group 2: Investment Strategies - Focus on dividend growth investing as a primary strategy for generating income [2] - Highlighting the significance of high-yield situations and long-term investment opportunities [2]

Core Viewpoint - YieldMax Ultra Option Income Strategy ETF (NYSEARCA: ULTY) has become one of the most popular weekly-paying option ETFs, primarily due to its high starting dividend yield [1] Group 1: Investment Strategy - The company emphasizes a hybrid investment strategy that combines classic dividend growth stocks with Business Development Companies, REITs, and Closed End Funds to enhance investment income while achieving total returns comparable to traditional index funds [1] Group 2: Performance and Popularity - ULTY's popularity is attributed to its attractive dividend yield, which appeals to investors seeking regular income [1]

Group 1 - The article discusses the author's journey in dividend growth investing and the establishment of a blog to document this journey [1] - The author has been investing since September 2017 and has a long-standing interest in dividend investing since 2009 [1] - The blog serves as a platform for the author to share insights on dividend growth stocks and growth stocks occasionally [1] Group 2 - The author expresses gratitude for the blog's role in connecting with the Seeking Alpha community as an analyst [1] - There is a disclosure stating that the author has no current stock positions in any mentioned companies and no plans to initiate any within the next 72 hours [1] - The article emphasizes that the author's opinions are personal and not influenced by compensation from any company [1]

Core Insights - The article discusses the author's journey in dividend growth investing and the establishment of a blog that documents this journey, aiming for financial independence [1]. Group 1 - The author has been investing since September 2017 and has a long-standing interest in dividend investing since 2009 [1]. - The blog "Kody's Dividends" serves as a platform for sharing insights and experiences related to dividend growth investing [1]. - The author expresses gratitude for the blog's role in connecting with the Seeking Alpha community as an analyst [1].

Core Investment Philosophy - The focus is on value-oriented investing, specifically targeting high-quality companies with a history of dividend growth [1] - Emphasis on building a core portfolio of dividend-paying equities to achieve retirement goals without unnecessary risk [1] - Dividend growth profiles are highlighted as key indicators of management's commitment to returning cash to shareholders [1] Investment Strategy - The strategy involves identifying quality companies with competitive advantages that provide visibility towards future cash flow growth [1] - Fundamental analysis and patience are essential tools for constructing a portfolio aimed at comfortable retirement [1] - The approach encourages exploring value and growth-at-a-reasonable-price opportunities to build an income-producing portfolio of dividend stocks [1] Investor Background - The investor has over 20 years of market experience and holds a Bachelor of Management and an MBA, with a focus on corporate and personal finance [1]

Group 1 - The shift from pension plans to 401k retirement plans has made it more difficult for Americans to secure a comfortable retirement [1] - Many individuals are unprepared for retirement due to reliance on self-funded options [1] Group 2 - The article discusses the challenges faced by Americans in achieving retirement security [1] - It highlights the historical context of retirement planning in the U.S. and its implications for future retirees [1]