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Stock impact report

New Jersey Resources: Dividend Growth Must Slow [Seeking Alpha]

NewJersey Resources Corporation (NJR) 
Last newjersey resources corporation earnings: 2/6 07:00 am Check Earnings Report
US:NYSE Investor Relations: investor.njresources.com
Company Research Source: Seeking Alpha
SummaryAlthough I think there's little risk of a dividend cut here, I think investors who buy in the hope that dividend growth will continue are doing themselves a disservice.However you choose to measure it, "profit" is the source of all sustainable dividend growth.Thankfully, the options market provides a way to potentially buy this company at a price to yield just over 5.5%.The shares of New Jersey Resources Corporation (NJRFinancial SnapshotIn my view, the dividend is the key reason to consider buying these shares, and for that reason, most of this financial analysis is going to involve the question of whether the dividend is sustainable or not.The financial history at New Jersey Resources has been spotty. Over the past five years, revenue and net income have declined at a CAGR of about 1% and 1.25% respectively. Cash from operations has fallen at an even faster rate, down at a CAGR of about 13.5% since 2015. Earnings per share has also fallen, down at a CAGR of about 2%. The resu Show less Read more
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