Should You Buy Energy Transfer While It's Trading Below $20?

For dividend investors, the big attraction with Energy Transfer (NYSE: ET) today is its lofty 7.8% distribution yield. Before you jump at that yield, however, you should consider some historical facts.Here's a quick primer on this midstream master limited partnership (MLP) to get you started.From a big picture perspective, Energy Transfer operates midstream businesses. The plural "businesses" is important here. It owns and operates midstream assets, like pipelines. It collects fees from the companies that use its services, which tends to provide reliable cash flows through the energy cycle. That's the core of Energy Transfer's business.Continue reading

Apr 24, 2025 - 09:48
 0
Should You Buy Energy Transfer While It's Trading Below $20?

For dividend investors, the big attraction with Energy Transfer (NYSE: ET) today is its lofty 7.8% distribution yield. Before you jump at that yield, however, you should consider some historical facts.

Here's a quick primer on this midstream master limited partnership (MLP) to get you started.

From a big picture perspective, Energy Transfer operates midstream businesses. The plural "businesses" is important here. It owns and operates midstream assets, like pipelines. It collects fees from the companies that use its services, which tends to provide reliable cash flows through the energy cycle. That's the core of Energy Transfer's business.

Continue reading