Dividends are always an important aspect to consider when investing. However, it is necessary to make sure that your investment is wisely balancing its free cash flow between dividend payments and capital expenditures. Marathon Oil is one energy company that has been keenly aware of focusing on striking the optimal balance. Its yield is a close match for the majority of its competition, and management has been improving the solvency of the company's balance sheet to ensure growth initiatives will have the necessary capital to be explored. Tune in to the video below, where Fool energy analyst, Taylor Muckerman, provides a broader perspective on how Marathon is accomplishing this goal, and what it means for total returns and future prospects for shareholders.
Exelon, with its best-in-class dividend, has been in the news, regarding the sustainability of its distributions to shareholders, after its third-quarter release. Management has been targeting debt reductions and strategically trimming future capital expenditures in order to maintain both its dividend and credit rating. To determine if Exelon is a good, long-term fit for your portfolio, you're invited to check out The Motley Fool's premium research report on the company. Simply click here now for instant access.
The article 1 Oil Company That Knows How to Balance Growth and Dividends originally appeared on Fool.com.
Joel South has no positions in the stocks mentioned above. Taylor Muckerman has no positions in the stocks mentioned above. The Motley Fool has no positions in the stocks mentioned above. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.