Thor 5 Art Teases The Return Of 3 MCU Heroes screenrant.com - get the latest breaking news, showbiz & celebrity photos, sport news & rumours, viral videos and top stories from screenrant.com Daily Mail and Mail on Sunday newspapers.
Order Reprints Print Article
A debt-laden Dominion Energy recently cut its payout. Here, its Whitehouse solar project in Louisa County, Va. Courtesy of Dominion Energy Text size
For utilities, especially ones with regulated businesses like electricity transmission, dividend cuts are rare even in challenging times like those brought on by Covid-19.
One exception is
Dominion Energy (ticker: D). The company, based in Richmond, Va., cut its payout early last month in declaring a fourth-quarter dividend of 63 cents a share, down 33% from 94 cents previously. The stock, which yields 3.4%, has returned about minus 6% this year.
Although Dominion is lowering its debt load and retains investment-grade credit ratings, the dividend cut is a cautionary tale. “The bottom line was that Dominion got overextended,” says John Bartlett, a portfolio manager and analyst at Reaves Asset Management.