3 High-Yield Energy Stocks to Buy in February

Core Viewpoint - The energy sector presents attractive dividend yields, with three high-yield energy stocks recommended for investment in February [1] Group 1: Enbridge - Enbridge offers a forward dividend yield of 5.6% and has increased its dividend for 30 consecutive years, supported by strong free cash flow [2] - The company operates over 18,000 miles of liquids pipelines and over 19,200 miles of natural gas pipelines, ranking as the largest natural gas utility by volume in North America [2] - Enbridge has expanded into renewable energy, with projects generating over 7.2 gigawatts of electricity [2] - JP Morgan downgraded Enbridge due to sluggish growth in its crude oil business, but it is expected to provide stability and reliable income [3] Group 2: Energy Transfer - Energy Transfer operates over 140,000 miles of pipeline across the U.S., transporting crude oil, natural gas, natural gas liquids, and refined products [4] - The company has a distribution yield of 7.3%, appealing to income investors, and benefits from the construction boom of data centers for AI systems [5] - Energy Transfer has signed agreements to supply natural gas to multiple data center operators, including CloudBurst, Fermi America, and Oracle over the past year [5] Group 3: Enterprise Products Partners - Enterprise Products Partners has a distribution yield of approximately 6.3% and has increased its distribution for 27 consecutive years [6] - The company is also positioned to capitalize on growth opportunities related to AI, with around $4.8 billion of projects under construction, expected to begin operations in 2026 [7] - Despite modest growth expectations for 2026, management projects a 10% growth in EBITDA and cash flow in 2027 [8]