Pipeline Companies Offer Stable Dividends Despite Oil Price Volatility
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Oil prices are volatile, which affects oil companies' cash flows and dividends.
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Enbridge's dividends are stable because it earns fees from oil/gas transportation.
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Energy Transfer generates predictable earnings from pipeline fees, supporting its 9.2% dividend.
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Enterprise Products Partners has increased its dividend for 25 straight years despite oil volatility.
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These 3 companies collect fees for moving oil/gas, so their dividends are less affected by commodity price swings.