This Oil Stock Could Pay a Gusher of Dividends This Year
Pioneer Natural Resources (NYSE: PXD) might not look like an attractive dividend stock at first glance. The oil company currently offers a dividend yield of around 1.1%, below the S&P 500's 1.4% dividend yield. However, that doesn't tell the whole story.
The oil company has an innovative framework that could see it pay enormous dividends this year. That income upside makes it a much more attractive option for dividend investors.
Pioneer Natural Resources recently reported its fourth-quarter results. The oil company generated $1.1 billion of free cash flow in the quarter, pushing its full-year total to a record $3.2 billion. The company benefited from higher production -- output was in the upper end of its guidance range in the fourth quarter -- and strong oil pricing, realizing an average of $76.38 per barrel of oil produced in the period.
Source Fool.com
