This 9.7%-Yielding Dividend Stock Easily Has 30% Upside

Energy Transfer's (NYSE: ET) performance this year has been an enigma. On the one hand, the energy company has delivered record results. Despite its high-octane earnings growth, the master limited partnership's unit price has declined by about 5% in 2019 and roughly 25% in the past year. Because of that, the midstream company trades at a bottom-of-the-barrel valuation. That suggests it has some big-time upside, especially when adding in its nearly 10%-yielding distribution.

Thanks to its strong showing during the first half of the year, Energy Transfer is on track to produce between $10.8 billion and $11 billion in adjusted EBITDA this year. That's about 15% above last year's level and about $200 million more than it initially anticipated.

Image source: Getty Images.

Continue reading

Source Fool.com