Recession-Proof Energy Stocks to Watch in 2025

Three recession-resistant energy stocks to consider in 2025 are NextEra Energy, Enterprise Products Partners, and Black Hills. NextEra has regulated utility operations in Florida and a growing wind and solar power business. Enterprise Products Partners is a toll-taker for energy infrastructure, such as pipelines, and has a history of stable revenue. Black Hills is a small regulated natural gas and electric utility with a long history of dividend payments. All three stocks offer a strong dividend yield, with NextEra at 3.1%, Enterprise at 7%, and Black Hills at 3.4%.

The energy sector is a critical component of the global economy, and as the world transitions towards cleaner energy sources, investing in companies that can navigate economic downturns is essential. Three stocks stand out in this regard: NextEra Energy, Enterprise Products Partners, and Black Hills. These companies offer strong dividend yields and have demonstrated resilience in various economic conditions.

NextEra Energy (NEE) is a leading utility company with operations in Florida, a state known for its growing population and favorable tax policies. The company's regulated utility operations in Florida provide a stable foundation for growth. Additionally, NextEra Energy has built a significant wind and solar power business, which positions it well for the transition to cleaner energy sources. The company's dividend yield is 3.1%, making it an attractive option for investors seeking recession-resistant income [1].

Enterprise Products Partners (EPD) is a North American midstream giant that operates energy infrastructure, such as pipelines. This toll-taker model allows the company to generate revenue regardless of commodity prices. The company's stable revenue stream has supported 26 consecutive annual distribution increases, and its dividend yield is 7%, making it a compelling choice for investors concerned about a recession [2].

Black Hills (BKH) is a small regulated natural gas and electric utility with a long history of dividend payments. The company's stable and predictable revenue stream, combined with its high dividend yield of 3.4%, makes it an attractive option for investors seeking income in uncertain economic times [2].

In conclusion, NextEra Energy, Enterprise Products Partners, and Black Hills are three recession-resistant energy stocks that investors should consider in 2025. Each company offers strong dividend yields and has demonstrated resilience in various economic conditions. These stocks provide a balance between income generation and growth potential, making them suitable for investors seeking to navigate the challenges of the current economic environment.

References:
[1] https://www.fool.com/investing/2025/08/13/the-smartest-energy-stocks-to-buy-with-1000-right/
[2] https://www.nasdaq.com/articles/3-recession-resistant-energy-stocks-consider-2025