Forget ONEOK: Kinder Morgan Is a Better Dividend Stock

ONEOK (NYSE: OKE) currently offers income investors an enticing 8.3% dividend yield, which is quite a bit above Kinder Morgan's (NYSE: KMI) 6.3% payout. However, that higher yield comes with a much higher risk profile. That means dividend investors are better off forgetting about ONEOK right now and should instead consider buying Kinder Morgan for its payout.

ONEOK initially expected 2020 would be a monster year. However, with all the volatility in the oil market, the company had to water down its outlook. Now it expects to generate only between $1.785 billion and $2.185 billion in distributable cash flow this year. That's well below its initial outlook that it would produce between $2.245 billion and $2.505 billion in cash, which would have been 18% ahead of 2019's level.

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Source Fool.com