Back to top

Image: Bigstock

Enterprise Products Ups Distribution for 59 Straight Quarters

Read MoreHide Full Article

Enterprise Products Partners L.P. (EPD - Free Report) recently announced the receipt of approvals from the board of directors of its general partners for hiking its quarterly cash distribution.

The first-quarter 2019 distribution of 43.75 cents per common unit represents a sequential increase of 0.6% and year-over-year growth of 2.3%. The new distribution is likely to be paid on May 13, to unitholders of record as of Apr 30.

With this, the partnership has raised distributions for 59 quarters in a row.The consistent returns to limited partners have been backed by the partnership’s strong presence in North America's midstream energy businesses.

Notably, Enterprise Products’ midstream assets comprise pipeline networks that spread across roughly 49,200 miles to connect consumers and producers of natural gas, NGL, oil, petrochemicals and refined products. This extensive pipeline networks will continue to provide the partnership with stable fee-based revenues.

The partnership also boasts $5.1-billion of midstream growth projects that are yet to come online. Overall, Enterprise Products’ existing pipeline networks along with the backlog of capital growth projects are likely to help the partnership consistently raise quarterly distributions in the coming quarters. 

Headquartered in Houston, TX,Enterprise Products is planning to report first-quarter 2019 results on May 1, before the opening bell. Currently, the partnership carries a Zacks Rank #3 (Hold).

Meanwhile, a few better-ranked players in the energy space are Antero Resources Corporation (AR - Free Report) , NGL Energy Partners LP (NGL - Free Report) and ProPetro Holding Corp. (PUMP - Free Report) . While Antero Resources and NGL Energy sport a Zacks Rank #1 (Strong Buy), ProPetro Holding carries a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.  

Antero Resources is likely to see earnings growth of 20% over the next five years. 

NGL Energy is likely to witness earnings growth of 227% for the fiscal year ending March 2019.

ProPetro Holding is likely to see 19.5% earnings growth through 2019.

Today's Best Stocks from Zacks

Would you like to see the updated picks from our best market-beating strategies? From 2017 through 2018, while the S&P 500 gained +15.8%, five of our screens returned +38.0%, +61.3%, +61.6%, +68.1%, and +98.3%.

This outperformance has not just been a recent phenomenon. From 2000 – 2018, while the S&P averaged +4.8% per year, our top strategies averaged up to +56.2% per year.

See their latest picks free >>

More from Zacks Analyst Blog

You May Like

Published in