4 No-Brainer Pipeline Stocks to Buy With $1,000 Right Now

Core Viewpoint - The rise in energy consumption, driven by the increased use of AI applications, is leading to a greater demand for natural gas, benefiting pipeline operators in the sector [1][2]. Group 1: Pipeline Operators - Williams Companies is a leader in natural gas infrastructure, owning the Transco pipeline, which connects natural gas from Appalachia to energy demand centers in the Southeast and Gulf Coast [3][4]. - Kinder Morgan operates the largest natural gas pipeline system in the U.S., transporting about 40% of the country's natural gas, with 90% of its contracts being "take or pay" [6][7]. - Enterprise Products Partners is ramping up growth projects in response to increasing demand, with a projected capital expenditure increase from $1.6 billion in 2022 to between $3.5 billion and $4 billion in the following years [10][12]. - Energy Transfer has a strong position in the Permian Basin and is seeing increased power demand from AI and data centers, with a new $2.7 billion pipeline project planned to support this growth [14][15]. Group 2: Financial Projections - Williams Companies expects its 2025 EBITDA to be between $7.2 billion and $7.6 billion, with a compound annual growth rate of over 7% for the following five years [5]. - Kinder Morgan anticipates a 4% growth in adjusted EBITDA and an 8% increase in adjusted EPS for 2025 [9]. - Enterprise Products Partners has a forward yield of 6.6% and has consistently grown its distribution for 26 years [13]. - Energy Transfer projects a distribution increase of 3% to 5% annually, with a forward yield of 6.8% and an enterprise value-to-EBITDA multiple of 8.7 times, making it an attractive investment option [16].