Woodside Energy Group Ltd (ASX: WDS) shares are bucking the broader market retrace today.
Shares in the S&P/ASX 200 Index (ASX: XJO) energy stock closed yesterday trading for $24.94. In morning trade on Wednesday, shares are changing hands for $24.99 apiece, up 0.2%.
As for the ASX 200, it's down 0.3% at this same time, while the S&P/ASX 200 Energy Index (ASX: XEJ) has dropped 0.7% amid an overnight slide in crude oil prices. Brent crude is currently trading for US$64.34 per barrel, down 0.9%.
Woodside shares are getting plenty of attention today following the company's 2025 Capital Markets Day.
Here are some key takeaways.
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Woodside shares tipped for big dividend boost
If its long-term passive income you're after, then you may want to snap up some Woodside shares this week.
The company revealed its projections of a 50% increase in dividends from 2024 levels to what it aims to pay out in 2032.
Over the last 12 months, Woodside has paid two fully franked dividends totalling $1.667 per share. The ASX 200 energy stock currently trades on a fully franked trailing dividend yield of 6.7%.
The company aims to support the boosted dividend payout with expectations of increasing its net operating cash flow by 55%, from US$5.8 billion in 2024 to some US$9 billion by the early 2030s. That represents a compound annual rate of more than 6%.
On the sales front, Woodside forecasts sales will increase from 203.5 million barrels of oil equivalent (MMboe) to more than 300MMboe by 2032.
What about the major growth projects?
Woodside shares should get ongoing support from the company's growth projects.
The company reported that its Scarborough LNG project is now 91% complete, with first LNG expected in the second half of calendar year 2026. Woodside's Beaumont New Ammonia project is 97% complete, with first production expected by the end of this year. And its Louisiana LNG project is underway, with the first LNG targeted for 2029.
What did management say?
Commenting on the investment case for Woodside shares, CEO Meg O'Neill said:
Woodside is a compelling investment opportunity supported by world-class assets, an integrated value chain, long-term customer relationships and a strong balance sheet. Woodside generates durable cash flows and has rewarded shareholders with approximately US$11 billion in dividends since 2022.
O'Neill added, "Our strategy is supported by ongoing robust global demand for our products. Woodside's major growth projects will capitalise on this demand."
On the demand front, she noted that global LNG demand is forecast to grow 60% by 2035.
Despite the low oil price environment, Woodside shares are up 4% since this time last year, not including those dividends.
