After hinting at it late in 2012, Exelon (NYSE:EXC) finally announced its decision to cut its industry-leading dividend rate. Starting in the second quarter of 2013, investors will receive $0.31 per share rather than the current $0.525 per share. While this might seem a bit steep, investors must consider management's reasoning behind the cut before jumping to rash conclusions. In this case, Motley Fool energy analyst Taylor Muckerman believes it puts Exelon in a much more sustainable position to grow competitively compared to its peers. Foolish investors should check out the video below for his take on why this could be a great long-term investment.
Follow @t_Muckerman Taylor is an Associate GM in our Fool International operations. Prior to that he covered all things Energy + Materials as an analyst. Over the years, he has built an investing skill set to rely on when evaluating companies inside and out. While at the Fool, he has made appearances on CNBC and Fox Business. In addition, he completed his MBA at the University of Maryland and will sit for the Level II CFA Exam.
- Feb 7, 2013 at 3:00PM
- Energy, Materials, and Utilities