This Nearly 8.5%-Yielding Dividend Stock Has Plenty of Fuel to Grow Through at Least 2026

Core Viewpoint - MPLX has consistently expanded its operations and maintained a strong financial position, allowing for continued growth and distribution increases in the future [1][2][11] Financial Performance - MPLX generated nearly $4.3 billion in net cash from operating activities in the first nine months of the year, a 9.3% increase year-over-year [5] - The company invested over $1.6 billion in organic expansion projects and acquisitions, resulting in approximately $2.6 billion in free cash flow, just $5 million short of its distribution payments [5] - As of the end of the third quarter, MPLX had $2.4 billion in cash and a leverage ratio of 3.4, well below the 4.0 ratio its cash flows can support [6] Growth Strategy - MPLX has a growing list of expansion projects, including the BANGL pipeline, Blackcomb and Rio Bravo pipelines, and new processing plants in the Permian and Marcellus regions, expected to come online between 2025 and 2026 [8][9] - The company has achieved mid-single-digit growth in earnings and cash flow since 2020, with a 10.7% compound annual distribution increase since 2021, including a 12.5% increase this year [7] Future Outlook - The ongoing expansion projects are expected to provide incremental cash flow, supporting future distribution increases [9] - MPLX has the financial flexibility to pursue additional accretive acquisitions, enhancing its growth potential [10]