Time Warner Cable ( TWC) provides cable television, internet, and phone services to a network that reaches nearly 27 million homes and businesses spread throughout major geographic areas of the U.S. The firm has had a relatively limited operating history as an independent company following its 2009 spin off from Time Warner ( TWX), but that hasn't stopped the firm from establishing a hefty dividend payout. Last week, Time Warner Cable announced a 16.67% dividend hike, bringing the firm's yield to 3%. With nearly a quarter of U.S. householders in TWC's operation regions, the firm has massive scale that few alternatives can offer. Like most cable operators, TWC's network is relatively modern and benefits from significant capacity over coaxial cable -- something that firms like Verizon ( VZ) and AT&T ( T) are having to spend mountains of capital on to achieve for their own competing networks. The combination of size (which is crucial for negotiating favorable rates for channels) and dry powder (being used on the company's $3 billion acquisition of Insight Communications) makes it particularly attractive. Net debt is high but manageable right now. A large cash flow generation engine in TWC's business model should keep the firm's dividend payout flowing to shareholders for the foreseeable future. Time Warner, one of 5 Consumer Stocks Outpacing S&P 500 Growth, was featured recently in " 6 Stocks Reaping the Benefits of Big Buybacks."