It’s no secret that oil prices have been moving lower on the back of recessionary outlooks and dwindling demand. This fact has already hurt several of the major producers, with dividend cuts now occurring in the industry. For those investors looking for stability in the energy sector may want to consider our Best Energy Dividend Stocks List pick. The firm has been a rock over its long history and currently offers a massive 7.8% yield!
You can check out the Best Energy Dividend Stocks List to explore all the stocks.
The reason why our pick has been a steady-eddy in the sector is that it doesn’t produce crude oil, but moves it around the nation with its massive network of pipelines, terminals, and storage assets. This huge system provides our pick with an infrastructure advantage. An advantage that comes with volume and fee-based revenues. The best part is those firm’s using its system are required to pay the fees whether or not they actually use the capacity. This provides stability to our pick’s cash lows. Speaking of those cash flows, as a master limited partnership (MLP) much of them flow back to investors as a tax advantaged dividend.
With overall oil demand still set to be at high levels for the near future, our pick’s system will be in demand. In the end, our midstream pick makes for a port in the current oil price storm.
