My Best Pipeline Stock for 2021
To say 2020 was a brutal year for the oil market is an understatement. It was one of the worst in history as demand fell off a cliff because of the COVID-19 outbreak, causing crude prices to collapse. That ushered in a wave of bankruptcies across the industry, followed by a merger wave of those surviving to keep their head above water. As a result of the downturn, most oil stocks nosedived last year.
However, 2021 has the potential to be a much better year in the oil patch. Saudi Arabia recently unexpectedly reduced its production, which helped push oil prices back above $50 a barrel, the sweet spot for most producers. That'll give them the cash to drill more wells, which should boost the volumes flowing through midstream systems. One of the many beneficiaries of this rebound is pipeline operator ONEOK (NYSE: OKE). Because of that and the shellacking it took last year, it's my top pipeline stock for 2021.
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Source Fool.com
