I must seek your candid feedback, my thoughtful contrarian! Is it time for this reader to seek advice elsewhere?

"I am 89 years young and still active," Peter wrote. "I require no income, only growth."

(I focus on income strategies. Can I offer a growth option, or should this energetic individual look elsewhere for gains?)

First, Peter, you are impressive. You are handling many aspects correctly by avoiding current income needs at the active age of 89. Well done for remaining engaged and positioned to chase portfolio appreciation.

Peter continued by noting he owns six of my core suggestions. He also holds the Vanguard Information Technology ETF (VGT). Then he posed a direct challenge:

"Should I discontinue following your updates? If yes, which author should I pursue instead?"

Which author, meaning another one! Peter, I value the directness. Stay youthful, Peter. And continue sharing your straightforward views.

My primary focus is high-yield strategies. Most readers here are retired or nearing it, aiming to secure strong income now. They want to convert lifetime savings into a reliable dividend system for retirement support.

Many hold between $500K and $1 million, or up to $2 million. They favor 8% yields that produce $40,000 yearly from a $500K portfolio, or $160K annually from $2 million.

Yet you appear well situated. Your resources provide ample buffer, and your goal is continued expansion. Excellent.

A growth priority at age 89 is uncommon. Typically we emphasize expansion at ages 39, 49 or 59, with decades until retirement. So Peter, stay young at heart! We will sustain your holdings with the most reliable path to appreciation, the dividend approach.

Over extended periods, share prices track their distributions upward or downward. Show me a firm raising its dividend at double-digit rates, and I will demonstrate a long-term machine delivering over 10% annual total returns. Dividend increases offer the steadiest route to expansion. We build wealth following the payout calendar.

The present yield on a dividend-growth stock does not reveal the full picture. It may appear modest at 1%, 2% or 3%. Yet the reality is steady double-digit annual progress alongside rising payouts.

We are adapting this for you, Peter, relative to your VGT holding. It involves a more selective method. Allow me to illustrate with an example.

EQT Corp (EQT) supplies many holdings within your Vanguard fund.

We included it in our dividend-growth portfolio in January 2024, noting three certainties: death, taxes and natural-gas cycles.

At that time, gas traded near $3.25 per million BTUs. Producers idled wells due to poor economics, and investors exited the area. That prompted our purchase, recognizing that low prices eventually correct themselves.

EQT leads production in Appalachia, with nearly 4,000 viable sites even at minimal prices. The stock traded at roughly six times free cash flow. The firm projected about $14 billion in free cash over five years against a $15 billion market value. Essentially we could acquire the company and recover costs by 2028. We are past the midpoint, with cash continuing to arrive and likely accelerating.

Today EQT's market value has risen to $37 billion. Demand for natural gas in power generation has surged, driven by AI needs. Every ChatGPT or Claude query requires energy from spinning servers. While single-query usage varies in estimates, aggregate AI demand for gigawatts is undisputed.

Current results for EQT show the share price up 47% since purchase, with further potential.

Overall we have gained 52%, including dividends. Additional upside remains because EQT gas supports ongoing AI expansion.

Why retain EQT after this advance? Two words, or two letters: AI.

Consider Homer City, unrelated to the cartoon character. This former coal facility in Pennsylvania, once the state's largest, is being repurposed as an AI power site. The 3,200-acre location will generate 4.4 gigawatts via on-site gas, matching roughly four large nuclear plants. Operations begin next year, with EQT as exclusive supplier under one of the largest single-site gas agreements in North America.

EQT powers the AI infrastructure. AI depends on electricity ultimately fueled by EQT gas.

This marks the largest infrastructure push in recent U.S. history. Hyperscalers such as Google, Microsoft and Amazon plan $700 billion in data-center outlays this year, nearly double last year's level.

Grid connection delays exceed five years. On-site natural gas offers faster deployment in about two years. This drives the current natural-gas surge, with more similar projects expected nationwide.

Data centers are forecast to lift U.S. power-sector gas consumption 20% by 2030. Homer City's agreement alone covers one-tenth of that rise, locking in benefits for EQT.

Results already appear in EQT's financials. First-quarter revenue nearly doubled to $3.4 billion, with profits also nearly doubling.

Gas prices remain low. Henry Hub trades near $3.20 per million BTUs, similar to our entry point. The company has nearly doubled profits without any price increase so far.

As noted earlier, these selective payers seldom show high current yields. EQT yields 1.3% today, suitable for your situation. It distributes just 12% of earnings as dividends, and management raised the payout 5% in October. Further increases are probable.

To address your question, Peter: please continue reading. Keep posing the inquiries that many younger investors overlook. Yes, we can pursue growth responsibly.

As my children note, I am 44 and a half. Halfway to your age, Peter, and I hope to match your vitality. A recent comment from a young friend suggested I appear in my 30s. I will accept that. Still pursuing growth with prudent safeguards.

EQT is not the sole dividend grower available. Above its operations we have identified a firm that owns facilities and collects rent from hyperscalers. It serves as landlord to major tech participants in the AI expansion. We will discuss it further on Friday.

If you are not yet subscribed to the Hidden Yields dividend-growth service, this new selection may interest you.

Further EQT Research:

Warren Buffett Dividend Stocks
Dividend Growth Stocks: 25 Aristocrats
Future Dividend Aristocrats: Close Contenders

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.