Why Long-Term Investors Should Look at Enterprise Products Partners (EPD) Among Cheap Dividend Stocks

Group 1 - Enterprise Products Partners L.P. (NYSE:EPD) is recognized as a major player in the midstream energy sector, consistently generating reliable cash flow even during economic downturns such as the 2007–2009 financial crisis, the 2015–2017 oil price downturn, and the COVID-19 pandemic from 2020 to 2022 [2][3] - The company's stability is attributed to its business model as a limited partnership, managing over 50,000 miles of pipelines that transport crude oil, natural gas, and natural gas liquids (NGLs) across the US, which tends to perform well during recessions [3] - Approximately 90% of EPD's long-term contracts include escalation clauses tied to inflation, reducing the risk posed by inflation [3] Group 2 - Data centers supporting artificial intelligence (AI) applications represent a significant growth opportunity for EPD, as these facilities require substantial electricity, with natural gas being a primary fuel for power plants meeting this demand [4] - EPD has a strong dividend history, having increased its payouts for 27 consecutive years, currently offering a quarterly dividend of $0.545 per share and a dividend yield of 6.88% as of September 19 [5]