#7 - Enterprise Products Partners (NYSE:EPD)
The last stock pick I’m offering is that of Enterprise Products Partners (NYSE:EPD). It’s been a volatile year in the energy sector. Rising crude prices are typically a leading indicator of economic growth. And with crude oil prices on the rise, the start of 2021 may bring more of the same. Still, Enterprise manages to keep its profits in line with pre-pandemic levels, and the company’s revenue is starting to recover.
With that as a backdrop, Enterprise Product Partners is a set-it-and-forget-it play for value-oriented investors. The company is a master limited partnership (MLP). This means that the company does not pay federal taxes at the entity level. Those taxes are passed through to individual shareholders (partners). This allows them to offers shareholders an impressive dividend that is currently yielding over 8.7%.
But perhaps an even better benefit than the absence of double taxation is that Enterprise Product Partners has increased its dividend for 21 consecutive years.
About Enterprise Products Partners
Enterprise Products Partners L.P. provides midstream energy services to producers and consumers of natural gas, natural gas liquids (NGLs), crude oil, petrochemicals, and refined products. It operates in four segments: NGL Pipelines & Services, Crude Oil Pipelines & Services, Natural Gas Pipelines & Services, and Petrochemical & Refined Products Services.
Read More - Current Price
- $30.88
- Consensus Rating
- Moderate Buy
- Ratings Breakdown
- 9 Buy Ratings, 2 Hold Ratings, 0 Sell Ratings.
- Consensus Price Target
- $34.20 (10.8% Upside)
“Next year all our troubles will be far away” make for nice lyrics to a melancholy holiday song. But for investors finding a way to muddle through 2020 hasn’t been easy. But the good news is that 2021 brings the hope of a vaccine and, with that, a return to the activities and interests that bind us together.
During times like these, it’s okay to be a little boring with your choices. Sometimes betting on quality is a good thing. Any of the stocks in this presentation may not deliver the eye-popping performance that you’ll read about in an email newsletter. And some of them may have room to drop.
But investing, as opposed to trading, is a long game. And over the long haul, these are stocks that should continue to reward you with solid performance and, in many cases, a nice dividend.
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