Enterprise Products Partners LP (EPD) - 7.78% Dividend Yield
Enterprise Products Partners LP (EPD) is a Fortune 500 company and one of the largest midstream energy companies that operate independently in North America. The Houston-based firm transports, stores, and processes natural gas, propane, crude oil, refined products, and other specialty liquids.
In 2020 EPD stock had a strong performance and is currently yielding 7.68%, making it an attractive pick for investors looking to receive a steady income stream from their investments. EPD has consistently increased its dividend since 2013, with a 4% compound annual growth rate (CAGR). In addition, the company offers certain tax advantages, which can make holding the stock even more rewarding for investors.
Investors looking to add EPD to their portfolio should know that the company has historically dealt with high volatility in commodity prices, which can affect its performance and dividend payments. Moreover, investors should also consider potential risks associated with investing in energy companies, such as declining demand for oil and gas due to environmental concerns and political uncertainty. Despite these risks, analysts view EPD as an excellent long-term investment and a reliable source of income.
In fact, at the time of writing, Wall Street analysts recommend EPD as a strong buy. According to the forecast by ten analysts in the last three months, EPD's share price could reach an average price of $31.60, a 29% increase from its current price.