Spark Energy (NASDAQ: SPKE) is a retail electricity and natural gas operator that serves over 1 million customers throughout the contiguous United States. The company supplies up to 6 million megawatts/h annually, as well as the equivalent of 18 million BTU of natural gas. The company first went public in Q3 of 2014. Since then, it has acquired 10 smaller companies and seen its stock grow in the market.
Spark is an ideal pick for investors seeking alternative energy stocks. While Spark does take most of its energy from traditional sources, it has increased its renewable energy purchasing in recent years. The company sells plans where it pledges to purchase as much green energy as a customer uses in a year, reducing its reliance on unsustainable sources like coal, oil, and gas.
Spark is a strong defensive pick. Utility companies provide essential services that will always be in demand. This protects the revenues of Spark, even in an unstable economy. Revenue has consistently increased for five straight years as the company has grown its customer base. In 2018, total sales revenue reached $1.01 billion, a new record for Spark and the first time it broke the billion-dollar barrier.
Stock has rallied in 2019, exceeding average market performance. This stock also comes with an impressive dividend yield of 7.30%, making it an excellent pick for income-focused investors.
- 1 Year Price Growth: -0.20%
- YTD Price Growth: 65%
- 3 Month Price Growth: 97%
All information is based on current and historical market data, as well as publicly available financial data. As with any financial decision, your own research is important. Stock market outcomes can never be 100% accurately predicted. Familiarity with historical data, individual industries, and individual stocks is key to developing a robust portfolio. Note that stock prices can fluctuate rapidly during trading sessions.