LSE:UKW (Greencoat UK Wind)
About UKW
Greencoat UK Wind Plc is a renewable infrastructure fund listed as a real estate investment trust based in the United Kingdom. The company owns a portfolio of on- and offshore UK wind farms.
Its wind farms generate clean electricity that's sold to the national grid via a long list of corporate clients, including EDF, SSE, Centrica, and Axpo, among others. In 2021 the group's electricity generating capacity stood at 1,422 megawatts which is roughly enough to power 1.4 million British homes.
Management returns the bulk of cash flow back to shareholders in a dividend that's linked to the Retail Price Index - a proxy for inflation. With the UK government placing a heavy emphasis on expanding renewable energy infrastructure, the business has been able to rapidly expand its portfolio of assets.
Frequently Asked Questions
-
Being a renewable energy business, Greencoat UK Wind is bound to the same pricing restrictions by the regulator Ofgem. As such, it holds no pricing power over its product. And if price caps are lowered, it will directly impact the group’s profitability, given the fixed-cost nature of the business.
However, with demand for green electricity continuing to rise thanks to the growing popularity of electric vehicles, the firm’s wind farm assets have been steadily increasing in value. And when pairing this with a 96% operating profit margin, pressure from regulators may be negligible.
Regardless, investors need to consider all the risks before committing to an investment decision.
-
Yes. Greencoat UK Wind shares pay a cash dividend at an average 41% payout ratio. The stock has seven years of consecutive dividend growth.
-
Greencoat UK Wind shares pay out a dividend four times a year, in February, May, August, and November.
-
Greencoat UK Wind shares are listed on the London Stock Exchange. They can be bought from any investment account that provides access to this exchange platform.
Greencoat UK Wind (LSE: UKW) Latest News
Investing Articles
£30k of savings? Here’s how I’d aim to turn that into a £2,100 passive income overnight!
Investing Articles
An exceptional value stock to buy before it’s too late?
Investing Articles
2 defensive income stocks investors should consider buying for bumper returns!
Investing Articles
£20,000 invested in these cheap FTSE 250 shares could make me £1,380 in passive income!
Investing Articles
The top 3 renewable energy income shares to buy today?
Investing Articles
3 high-dividend UK shares I think are too cheap to miss!
Investing Articles
Could buying these green energy UK shares today be like investing in Amazon in 2013?
Investing Articles
2 high-yield investment trusts I’m hoping to buy in November!
Investing Articles
With inflation at 6.7%, here are 2 FTSE dividend stocks I’d buy today
Investing Articles
The FTSE 250 fire sale continues! 2 bargain stocks to buy today
Investing Articles
6.4% and 5.7% yields! 2 top dividend shares I’d buy before the end of 2023