In the video below, Motley Fool energy analysts Taylor Muckerman and Joel South discuss Enerplus (NYSE: ERF ) . In 2013 the company is looking to cut its capital expenditures by 20%. Instead of going after a lot of natural gas plays like before, Enerplus is focusing 85% of capex on oils and liquids, and 75% of that directly at crude. This is going to give a higher rate of return -- over 25%. It is important for Enerplus to generate growth while keeping its dividend. If everything moves forward with this company, then as it increases its payments on debt its adjusted payout ratio can go down from 190% at year's end to 130% at the end of 2013. Enerplus is definitely moving in the right direction.
Another company moving in the right direction is Exelon; it is perfectly positioned to capitalize on having the largest nuclear fleet in North America. This strength combined with an increased focus on renewable energy, along with its recent merger with Constellation, puts Exelon and its best-in-class dividend on a short list of top utilities. 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.