Understand any stock in simple English
Enter a ticker to learn what the company does and how it makes money.
It delivers natural gas to homes and businesses in New Jersey and invests in energy projects across the country.
New Jersey Resources does two main things. First, it runs a regulated natural gas utility called New Jersey Natural Gas, which pipes gas to about 580,000 homes and businesses in Monmouth, Ocean, Middlesex, and Morris counties. That utility is the steady bread-and-butter, making up roughly three-quarters of revenue and earnings. Second, it has a clean energy arm called NJR Clean Energy Ventures, which owns solar projects and sells the electricity, plus a midstream business that stores gas and holds stakes in pipelines. Think of it as a family: the regulated utility is the reliable parent with a guaranteed paycheck, and the solar and pipeline siblings are the riskier, growth-minded kids.
The way it makes money is straightforward. The utility charges customers for the gas they use and for the pipes that deliver it, and regulators let it earn a set return on the money it invests in pipes and equipment. So when NJR spends on upgrading its system, it gets to earn a profit on that spending, which is why the utility keeps growing its rate base year after year. The solar business sells power under long-term contracts, and the midstream business collects fees for storing and moving gas. Customers pay because they need heat and hot water, and they can't easily switch to another pipe in the ground.
Recent developments: NJR has been pushing hard into clean energy, with solar farms and a growing stake in renewable natural gas. It also invests in pipeline projects like PennEast, though that one ran into legal trouble and was cancelled. The company pays a decent dividend and has raised it for decades, which income-focused investors like. It funds growth mostly by reinvesting cash and borrowing, and it has been steadily growing its customer base and rate base. For a curious reader, the key takeaway is simple: NJR is a slow-and-steady utility with a side bet on green energy, and it makes money by owning the pipes and panels that people depend on.
Saved answer · last researched 11 Oct 2026