As the stock market continues to surge, investors may be wondering when the next market sell-off will occur. While market downturns can be concerning, they also present great opportunities to buy high-quality companies at discounted prices. Two companies that are likely to be great buys during the next market slump are NextEra Energy and Brookfield Infrastructure.
NextEra Energy is a leader in clean energy, with a strong track record of growth in adjusted earnings per share and dividends. The company has a target of delivering above-average dividend growth of roughly 10% annually through 2026, supported by strong demand for renewable energy. A market sell-off could send shares of NextEra Energy lower, providing investors with the opportunity to lock in a higher dividend yield on new shares and potentially earn powerful total returns in the future.
Brookfield Infrastructure, on the other hand, is a world leader in infrastructure with a diverse portfolio of assets that generate stable cash flow. The company has a history of growing its funds from operations and dividends, with expectations of more than 10% annual growth in FFO per share in the coming years. Brookfield Infrastructure’s capital recycling strategy and pipeline of acquisition opportunities position it well for continued growth, making it a great buy during market sell-offs.
Both NextEra Energy and Brookfield Infrastructure offer above-average yields and strong growth prospects, making them top picks for investors looking to capitalize on market downturns. By buying shares of these high-quality companies during a sell-off, investors can position themselves to earn higher dividend income and potentially achieve greater total returns in the future.
