Latest news with #BIPC
Yahoo
a day ago
- Business
- Yahoo
Why I Just Bought More of This Ultra-High-Yield Dividend Stock
Key Points Brookfield Infrastructure pays reliable and growing distributions with an exceptional yield. The company's underlying business is diversified and stable. Brookfield Infrastructure has solid growth opportunities, especially with investing in data infrastructure. 10 stocks we like better than Brookfield Infrastructure Partners › I first invested in Brookfield Infrastructure Partners (NYSE: BIP) (NYSE: BIPC) nearly five years ago. Unfortunately, the stock hasn't been a big winner for me. Given this mediocre past performance, you might think I'd consider exiting my position in the stock. Nope. Instead, I recently added to my stake in Brookfield Infrastructure. Here are three reasons why I just bought more units of this limited partnership (LP). 1. Reliable and growing distributions Brookfield Infrastructure's total returns have been significantly better than its stock performance. That's because the company pays reliable and growing distributions. Its forward distribution yield currently stands at 5.67%. Brookfield Infrastructure has a 16-year history of distribution increases. During that time, the LP has increased its distribution per unit by a compound annual growth rate (CAGR) of 9%. I think Brookfield Infrastructure should be able to continue growing its distribution. The company targets an annual growth rate of between 5% and 9%. Its payout ratio target range is a comfortable 60% to 70%. Am I relying on Brookfield Infrastructure's distributions as a source of income right now? No. However, I view the stock as a great income-generator down the road. In the meantime, I can reinvest the juicy distributions in Brookfield Infrastructure or other stocks that I expect to deliver solid total returns over the next few years. 2. A diversified and stable underlying business Another reason I recently invested more in Brookfield Infrastructure is that its underlying business of investing in infrastructure assets is diversified and stable. That's important to me with the uncertainty surrounding the ultimate impact of tariffs on the global economy. Around 41% of Brookfield Infrastructure's funds from operations (FFO) comes from its transportation businesses. The company operates 36,300 kilometers of rail operations in Australia, Brazil, Europe, North America, and the U.K. It also owns 3,300 kilometers of toll roads in Brazil and Peru. Brookfield Infrastructure also has major utility operations that generate 25% of its FFO. These include 3,500 kilometers of gas pipelines and 3,140 kilometers of electricity transmission lines. I'm a fan of midstream energy stocks. Brookfield Infrastructure is a big player in this space, too, with 15,000 kilometers of transmission pipelines, 16 natural gas and natural gas liquids processing plants, and storage facilities that can hold 570 billion cubic feet of natural gas. This LP is invested in technology and telecommunications, as well. It has 28,000 kilometers of fiber optic cable and 306,000 operational telecom towers. The company's infrastructure assets also include over 140 data centers and two semiconductor manufacturing foundries. 3. Solid growth opportunities Since 2009, Brookfield Infrastructure Partners has increased its FFO per unit by a CAGR of 14%. The company expects to continue growing FFO per unit by a double-digit percentage in the future. And I think it will be able to achieve this goal. Brookfield Infrastructure's management team likes to point to three trends driving the company's growth: digitalization, decarbonization, and deglobalization. Digitalization refers to growth opportunities related to increasing data consumption, especially in data centers. Decarbonization reflects the push to reduce carbon emissions, a trend that could boost the use of cleaner-burning natural gas. Deglobalization involves the supply chain shifts that are moving essential manufacturing closer to home, which helps Brookfield Infrastructure's transportation businesses. The company is investing heavily in growth, with a capital backlog of more than $7.9 billion. Considering the tremendous growth in demand for artificial intelligence (AI), it isn't surprising that nearly three-quarters of this backlog is related to data infrastructure assets. I also like that part of Brookfield Infrastructure's growth strategy is to sell mature assets when it can obtain attractive returns. For example, during the first seven months of 2025, the company generated proceeds of around $2.4 billion from selling nine assets. Should you buy stock in Brookfield Infrastructure Partners right now? Before you buy stock in Brookfield Infrastructure Partners, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the for investors to buy now… and Brookfield Infrastructure Partners wasn't one of them. The 10 stocks that made the cut could produce monster returns in the coming years. Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you'd have $668,155!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you'd have $1,106,071!* Now, it's worth noting Stock Advisor's total average return is 1,070% — a market-crushing outperformance compared to 184% for the S&P 500. Don't miss out on the latest top 10 list, available when you join Stock Advisor. See the 10 stocks » *Stock Advisor returns as of August 13, 2025 Keith Speights has positions in Brookfield Infrastructure and Brookfield Infrastructure Partners. The Motley Fool recommends Brookfield Infrastructure Partners. The Motley Fool has a disclosure policy. Why I Just Bought More of This Ultra-High-Yield Dividend Stock was originally published by The Motley Fool
Zawya
08-08-2025
- Business
- Zawya
Nigeria: Benue govt set to inaugurate three factories, create 1,500 jobs by October
Benue Investment and Property Company Limited (BIPC) is poised to inaugurate three factories in October 2025, with the potential to create over 1,500 jobs for youths in the state. The factories, which include the Food Basket Brewery, Benfruit, and Juice factories, are part of the company's efforts to boost the state's economy and provide employment opportunities for youths. The Group Managing Director of BIPC, Dr. Raymond Asemakaha, disclosed this on Thursday in Makurdi while receiving another 10 truckloads of machines for the Brewery in Makurdi. The CMD said that the BIPC had earlier taken delivery of 16 truckloads of machines for the beer company out of the expected 50 trucks. Asemakaha said that BIPC has focused on the establishment of factories to create jobs for youths in the state, adding that the company had earlier established water, polythene, bakery, and nail factories, which had provided 580 direct jobs and over 3000 indirect jobs for the youths in the state. According to him, 'The Food Basket Brewery, Benfruit and Juice factories all will take off in October this year. We are projecting to employ not less than 1500 direct jobs across the three businesses. 'At the moment, Benue doesn't have businesses, we are introducing these businesses so that it will help us boost our economy and take our youths out of the streets.' He said that the brewery proposed to be commissioned in October, this year is expected to gulp between N10 billion and N15 billion when completed. He also projected that the brewery, when it begins full operations, is expected to generate between N400 million and N500 million monthly. 'We want our money to rotate within the state to boost our economy. The brewery is a big market. The profit of the Nigerian Brewery, the last time I knew, was over 26 billion a month. 'At the end, Benue is one of the contributors in that market, but we didn't tap into it. Even if we can have within 50 to 60 per cent, it should be able to return the cash flow within the State. 'The businesses that we have introduced, the bread, nails, water, polythene factories, are to give our people jobs, and we feel that is the best way to contribute to the development of our economy. 'To start up a brewery, it will cost you not less than £5m to £10m . We have started and there is no going back,' Asemakaha said. The BIPC CMD expressed gratitude to the state governor, Hyacinth Alia, for his unwavering support of BIPC and promised the company's commitment to the administration's industrialisation agenda. Copyright © 2022 Nigerian Tribune Provided by SyndiGate Media Inc. (
Yahoo
03-08-2025
- Business
- Yahoo
This More Than 4%-Yielding Stock's Smart Strategy Continues to Pay Big Dividends
Key Points Brookfield Infrastructure reported solid second-quarter results. The company made excellent progress on its capital recycling strategy. That smart strategy positions it to deliver strong growth in the coming years. 10 stocks we like better than Brookfield Infrastructure › Brookfield Infrastructure (NYSE: BIPC)(NYSE: BIP) has a straightforward investment strategy. The global infrastructure operator acquires high-quality assets on a value basis, enhances their operations, and, eventually, sells the mature business. The company then recycles that capital into new investments with higher returns. This strategy has driven healthy growth in its funds from operations (FFO) and its high-yielding dividend. The payout, which yields over 4%, has grown at a 9% compound annual rate over the past 16 years. The company's wise strategy was on full display during the second quarter. It puts Brookfield in an excellent position to continue increasing its high-yielding dividend, making it an appealing option for those seeking passive dividend income. Where to invest $1,000 right now? Our analyst team just revealed what they believe are the 10 best stocks to buy right now. Learn More » Image source: Getty Images. Another solid showing Brookfield Infrastructure generated $638 million of FFO during the second quarter. This is a 5% increase from the prior year. The company benefited from strong organic growth and recently closed acquisitions. Organic growth drivers included inflation-linked rate increases in its utilities and transport sector. It also received contributions from over $1.5 billion in capital project completions, primarily new data centers. These growth catalysts helped mitigate the impact of foreign exchange rate fluctuations and asset sales associated with its capital recycling initiatives. The company's data segment provided the largest quarterly boost. FFO jumped 45% to $113 million. Brookfield benefited from its acquisition of a tower portfolio in India, which closed last year. It also commissioned several new data centers. Brookfield's midstream sector also delivered a strong quarter. FFO rose 10% to $157 million. The company's diversified midstream operations in Canada were standout performers thanks to high customer activity. This helped offset the sale of its U.S. gas pipeline in the second quarter. The robust growth from these two segments offset relatively flat results from the company's transportation and utilities businesses. Solid organic growth from rate increases and capital project completions muted the impact of asset sales and foreign exchange fluctuations in those businesses. Ready for the next wave Brookfield Infrastructure has been busy executing its capital recycling strategy this year. The company has already secured $2.4 billion in proceeds from nine asset sales. "This would be a good result in any given year, and we are only in July," the company noted in the second-quarter earnings press release. It secured four sales in the second quarter. Brookfield sold a 23% interest in its Australian export terminal, a 60% stake in a 244-megawatt portfolio of European data centers, a 33% interest in a portfolio of fully contracted shipping containers, and a partial interest in its U.K. ports operation. The company is selling these assets at very attractive values. The infrastructure operator will deploy this capital in new, higher-returning investment opportunities. Brookfield has secured three new investments to enhance its data, transport, and midstream sectors: Hotwire: Brookfield is investing $500 million into Hotwire, a leading bulk fiber-to-the-home service company. This business generates stable and steadily rising cash flow backed by long-term, take-or-pay, and inflation-linked contracts. Hotwire currently has over 300,000 billing customers and a significant contracted backlog. Railcar leasing platform: Brookfield is investing $300 million into a leading railcar leasing platform through a joint venture with GATX. The portfolio is the second-largest railcar leasing platform in North America, with over 125,000 railcars that generate very stable cash flow. Colonial Enterprises: The company is investing $500 million into the acquisition of Colonial, the largest refined products pipeline system in the country. It's paying an attractive value for an asset that generates very stable cash flows. Brookfield expects even more deals ahead. The company has several additional asset sales in advanced stages that could close in the coming months. These deals will provide more capital to recycle into new investment opportunities, which should be plentiful. In its earnings release, the company wrote, "We also continue to advance a large and diversified array of new investment opportunities that continues to grow and is driven by the digitalization, decarbonization, and deglobalization megatrends impacting our entire investable universe." The company believes that its organic growth and capital recycling strategy will drive annual FFO per share growth of over 10% in the long term. That supports its plan to increase its high-yielding dividend by 5% to 9% per year. Brookfield's brilliant growth strategy continues to pay big dividends Brookfield's approach of selling mature assets to reinvest in higher-return opportunities continues to drive growth. While the asset sales side of this strategy was a minor headwind in the second quarter, it should become a tailwind as the company closes its recently secured new investments. This strategy should also continue boosting its results in the future as Brookfield secures additional sales and new investments. Combined with healthy organic growth drivers, Brookfield should have plenty of power to continue increasing its high-yielding dividend going forward. Should you invest $1,000 in Brookfield Infrastructure right now? Before you buy stock in Brookfield Infrastructure, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the for investors to buy now… and Brookfield Infrastructure wasn't one of them. The 10 stocks that made the cut could produce monster returns in the coming years. Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you'd have $625,254!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you'd have $1,090,257!* Now, it's worth noting Stock Advisor's total average return is 1,036% — a market-crushing outperformance compared to 181% for the S&P 500. Don't miss out on the latest top 10 list, available when you join Stock Advisor. See the 10 stocks » *Stock Advisor returns as of July 29, 2025 Matt DiLallo has positions in Brookfield Infrastructure and Brookfield Infrastructure Partners. The Motley Fool recommends Brookfield Infrastructure Partners. The Motley Fool has a disclosure policy.
Forbes
29-07-2025
- Business
- Forbes
The Monthly Dividend Calendar: How The Ultra Wealthy Build Cash Machines
Sources of Wealth Warren Buffett's enduring wisdom rings especially true for America's wealthiest families: "Someone is sitting in the shade today because someone planted a tree a long time ago." For family offices managing generational wealth, this philosophy translates into sophisticated income strategies that prioritize decades over quarters and increasingly, that means embracing the monthly dividend calendar. Unlike retail investors who might check their portfolios sporadically, ultra-high-net-worth families face relentless monthly obligations. Private jet maintenance, philanthropic commitments, estate management, and don't pause for quarterly earnings reports. These families need predictable, consistent cash flow which explains why family offices overseeing $50 million to $500 million are quietly revolutionizing their approach to dividend investing. Engineering Monthly Income Streams The concept is elegantly simple yet remarkably powerful: construct a portfolio of 24 carefully selected dividend-paying stocks, with two companies distributing payments each month. The result? A synthetic salary that arrives as reliably as clockwork, without ever selling a single share. This systematic approach delivers three critical advantages for wealthy families. First, it provides reliable liquidity to fund lifestyle expenses and philanthropic initiatives. Second, qualified dividends receive favorable tax treatment compared to ordinary income. Third, the strategy enables portfolio compounding without forced liquidations that could disrupt long-term wealth accumulation. Consider this sample monthly dividend calendar, featuring blue-chip stalwarts and Dividend Aristocrats: January: Brookfield Infrastructure (BIPC) and Nike (NKE)February: Procter & Gamble (PG) and AbbVie (ABBV)March: Realty Income (O) and McDonald's (MCD)April: Verizon (VZ) and Altria (MO)May: Chevron (CVX) and Apple (AAPL)June: Microsoft (MSFT) and UnitedHealth (UNH)July: Coca-Cola (KO) and Dollar General (DG)August: Lockheed Martin (LMT) and Charles Schwab (SCHW)September: Waste Management (WM) and Deere & Co (DE)October: Canadian National Railway (CNI) and Sysco (SYY)November: Amgen (AMGN) and Citigroup (C)December: ExxonMobil (XOM) and T-Mobile (TMUS) These aren't speculative yield plays they're fortress-like businesses with decades-long track records of dividend growth and reliability. The Blue Owl Advantage Among alternative asset managers capturing family office attention, Blue Owl Capital (NYSE: OWL) stands out as a compelling case study in modern dividend strategy. Since going public in 2021, this alternative asset management powerhouse has delivered consistent quarterly distributions while building a business model specifically designed for income reliability. Blue Owl's appeal lies in its focus on permanent capital strategies, including direct lending and GP stakes, which generate durable cash flows across market cycles. Currently yielding approximately 3.9%, the company's dividend is backed by strong recurring revenue streams from management and advisory fees creating what amounts to a cash flow machine for shareholders. For family offices seeking alternatives to traditional fixed-income investments, Blue Owl represents a new breed of dividend-paying companies: those that combine the reliability of utility-like payouts with superior growth prospects and inflation protection. Strategic Advantages for Ultra-Wealthy Families The monthly dividend strategy addresses several unique challenges facing family offices. Most importantly, it synchronizes investment income with monthly outflows, eliminating the cash management headaches that come with quarterly or annual dividend payments. This approach also minimizes the wealth-eroding effect of holding excessive idle capital in low-yielding money market accounts. By keeping capital productively invested while generating monthly income, families can maintain their purchasing power against inflation while preserving long-term growth potential. Perhaps most valuable is the optionality that monthly income provides. Regular cash flow creates opportunities for tactical reinvestment, private market commitments, or opportunistic acquisitions without disrupting core portfolio positions. Avoiding Common Pitfalls Even sophisticated investors can stumble when implementing dividend strategies. The most dangerous mistake is chasing yield at the expense of quality such as prioritizing current income over dividend sustainability. Similarly, overconcentration in high-yielding sectors like REITs or utilities can create dangerous sector exposure. Smart family offices focus on dividend safety metrics, particularly payout ratios and free cash flow coverage. They also prioritize companies with dividend growth potential, recognizing that static payouts become wealth-destroying in inflationary environments. The Compounding Revolution Building a dividend-focused portfolio isn't about market timing or alpha generation, it's about creating a self-sustaining income engine that reduces dependence on asset sales. Over time, as dividends grow and compound, this strategy creates what Buffett might call "financial shade" protection from market volatility, liquidity constraints, and economic uncertainty. For America's wealthiest families, the monthly dividend calendar represents more than an investment strategy. It's a cash flow system, a liquidity solution, and a wealth preservation philosophy rolled into one elegant approach. As traditional bond yields remain suppressed and market volatility persists, this time-tested strategy is gaining momentum among those who understand that true wealth isn't just about accumulation it's about sustainable income generation that can support families for generations. The tree that Warren Buffett referenced isn't just growing, it's bearing fruit every single month.
Yahoo
27-06-2025
- Business
- Yahoo
Analyst Recommends This Data Center Dividend Stock With Over 4% Yield
David Bahnsen, The Bahnsen Group CIO, recently talked on CNBC about the importance of dividend growth stocks and said the 'ability' to sleep at night that these stocks give to investors comes from their strong track record. He believes dividend growth 'immunizes' investors from volatility. 'I think you get some of that ability to sleep at night if you're not so reliant on expensive things getting more expensive. That's really the key, is you already have the things you're talking about — top-down macro uncertainty, tariff policy, geopolitics, things like that. But when you combine that with high PEs that you just need to get higher in order to see your investments do well, I think that becomes problematic. Dividend growth immunizes investors from some of that.' Bahnsen then talked about why he loves Brookfield Infrastructure Corp (NYSE:BIPC) as a dividend growth play: "That's a name that people probably have not heard as much about, but it's investing in data center pipelines, a lot of hard assets, real infrastructure build that are cash flow generative. It's very well-managed. More famously recently, the new president in Canada was a director there at BIPC. But I mean, you're talking about major US and North American assets with good dividend yield, and it's going to be growing that yield high single digits." Photo by NeONBRAND on Unsplash Baron Real Estate Income Fund made the following comment about Brookfield Infrastructure Corporation (NYSE:BIPC) in its Q4 2022 investor letter: 'Brookfield Infrastructure Corporation (NYSE:BIPC) is one of the largest globally diversified owners and operators of high-quality infrastructure assets in the world. Core infrastructure investments include utilities, data centers, wireless towers, energy, and transportation (ports and rails). The company, with its well-capitalized balance sheet and deep and experienced management team, is well positioned to capitalize on several years of infrastructure investment opportunities around the world, which should enhance future growth. While we acknowledge the potential of BIPC as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an extremely cheap AI stock that is also a major beneficiary of Trump tariffs and onshoring, see our free report on the best short-term AI stock. READ NEXT: 20 Best AI Stocks To Buy Now and 30 Best Stocks to Buy Now According to Billionaires. Disclosure: None. This article is originally published at Insider Monkey. Sign in to access your portfolio
