Is Energy Transfer the Best-High Yield Energy Stock for You?
Energy Transfer (NYSE: ET) has a lofty 8% or so distribution yield, which will likely sound pretty appealing to most dividend-focused investors. But don't jump in just yet. You'll probably be better off with Enterprise Products Partners (NYSE: EPD) and its still very attractive 7.2% yield. Here's what you need to know.
Both Energy Transfer and Enterprise Products Partners operate in the midstream segment of the broader energy sector. Each of these master limited partnerships (MLPs) own the vital physical assets -- like pipelines, storage, and transportation -- that help to move oil and natural gas from where they are drilled to where they get used. Midstream assets tend to be very reliable cash generators.
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Source Fool.com
