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Image source: Getty Images. Canada’s largest natural gas producer Tourmaline Oil ( TSX:TOU ) has been an exception in the recent energy rally. While energy producers have primarily focused on share buybacks and less on dividends, Tourmaline has done the opposite. It has doled out massive cash to shareholders in the form of special dividends. It’s raining dividends at Tourmaline! After reporting higher third-quarter earnings last week, Tourmaline issued another special dividend of $2.25 per share. It also increased its quarterly base dividend by 11% to $0.25 per share. So, for 2022, Tourmaline will pay a total dividend of $7.9 per share, implying a jaw-dropping yield of 10%. Many energy producers have avoided paying higher dividends and instead opted for share repurchases. The latter allows a short-term surge for energy stocks and permits more flexibility for management. On the other hand, shareholders tend to prefer direct cash in their hands instead of buybacks. Tourmaline has done exactly that and as a result, has been investors’ favourite in this energy rally. Note that TOU stock has returned 125% this year, while TSX energy stocks have returned 70% in the same period. Since its pandemic lows, Tourmaline stock has returned nearly […]
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