Enterprise Products Partners Increases Distribution for 27th Year, Yield at 6.8%
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 1h ago
0mins
Source: Yahoo Finance
- Reliable Income Source: Enterprise Products Partners (EPD) has increased its distribution annually for 27 consecutive years, demonstrating its reliability as an income investment, especially when peers like Kinder Morgan and Energy Transfer cut their distributions while EPD continued to rise.
- Attractive High Yield: EPD boasts a distribution yield of 6.8%, significantly higher than the S&P 500's 1.1% and the average energy stock's 3.2%, making it an ideal choice for investors seeking stable income.
- Financial Strength: With an investment-grade rated balance sheet and a 1.7x coverage ratio of distributable cash flow, EPD ensures the safety of its distributions, indicating strong resilience against market fluctuations.
- Long-Term Growth Potential: Although EPD's growth prospects are relatively modest, its stable income stream and robust financial foundation position it as a key player for investors looking for reliable income over the long term.
EPD
$31.92+Infinity%1D
Analyst Views on EPD
Wall Street analysts forecast EPD stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for EPD is 35.11 USD with a low forecast of 33.00 USD and a high forecast of 38.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
9 Analyst Rating
5 Buy
4 Hold
0 Sell
Moderate Buy
Current: 31.870
Low
33.00
Averages
35.11
High
38.00
Current: 31.870
Low
33.00
Averages
35.11
High
38.00
About EPD
Enterprise Products Partners L.P. is a provider of midstream energy services to producers and consumers of natural gas, natural gas liquids (NGLs), crude oil, refined products and petrochemicals. Its NGL Pipelines & Services segment includes natural gas processing and related NGL marketing activities, NGL pipelines, NGL fractionation facilities, NGL and related product storage facilities and NGL marine terminals. Its Crude Oil Pipelines & Services segment includes crude oil pipelines, crude oil storage and marine terminals and related crude oil marketing activities. Its Natural Gas Pipelines & Services segment includes natural gas pipeline systems that provide for the gathering, treating and transportation of natural gas. Its Petrochemical & Refined Products Services segment includes propylene production facilities; butane isomerization complex and related deisobutanizer (DIB) operations; octane enhancement, iBDH and HPIB production facilities; refined products pipelines, and others.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
