#5 - Energy Transfer (NYSE:ET)
The energy sector is likely to be a big winner from lower interest rates. Oil is already starting to rise due to geopolitical concerns, particularly concerns about an escalation and expansion of the Middle East conflict.
That should have you considering oil stocks. However, the case for Energy Transfer LP (NYSE: ET) is broader than that. For starters, Energy Transfer is a midstream company, which means its business model focuses on delivering oil through a network of pipelines. That makes it less sensitive to oil prices.
But that doesn’t mean you should completely ignore basic supply and demand dynamics. A growth driver for Energy Transfer will likely come from data centers' insatiable demand for natural gas. This demand is going to grow sharply in coming years, and after that, it will remain steady.
And ET stock is another high-yielding dividend player with a yield of 8.12%. That goes along with analysts’ projections for a 22% increase in the ET stock price.
About Energy Transfer
Energy Transfer LP provides energy-related services. The company owns and operates natural gas transportation pipeline, and natural gas storage facilities in Texas and Oklahoma; and approximately 20,090 miles of interstate natural gas pipeline. It also sells natural gas to electric utilities, independent power plants, local distribution and other marketing companies, and industrial end-users.
Read More - Current Price
- $17.15
- Consensus Rating
- Buy
- Ratings Breakdown
- 8 Buy Ratings, 0 Hold Ratings, 0 Sell Ratings.
- Consensus Price Target
- $20.00 (16.7% Upside)
