1 Exceptional Passive-Income Stock to Buy Right Now
Enterprise Products Partners (NYSE: EPD) is a golden opportunity for income-seeking investors. The master limited partnership (MLP) offers a high-yielding distribution that it consistently increases. It recently declared its latest quarterly distribution, which was 5.4% above the year-ago level.
The midstream giant will make that next payment in mid-February to investors who own shares by the end of January. Investors who buy now can lock in a 7.7% yield at the payment rate. With more distribution growth likely, Enterprise is an excellent passive income investment to make these days.
Enterprise Products Partners has one of the lowest-risk business models in the energy sector. The company operates a diversified portfolio of midstream assets, including pipelines, processing plants, petrochemical facilities, storage terminals, and export sites. Those assets generate very stable cash flow backed by long-term contracts and government-regulated rate structures. The company has minimal exposure to commodity price volatility and has limited volume risk as it often gets paid fees even if customers don't use all of their contracted capacity.
Source Fool.com
