3 Ultra-High-Yield Energy Dividend Stocks to Buy and Hold for 2026
Yahoo Finance·2026-02-09 13:50

Core Insights - The midstream segment of the energy sector is highlighted as a prime area for ultra-high-yield stocks, focusing on companies that facilitate the transportation of oil and natural gas [1] Company Summaries - Energy Transfer (NYSE: ET): Offers the highest yield at 7.2%. The company previously cut its distribution in half during the pandemic to strengthen its balance sheet, but it has since resumed growth, now exceeding pre-cut levels. Future distribution growth is projected at 3% to 5% annually, supported by capital investments of up to $5.5 billion by 2026, making it suitable for aggressive investors [2][3][4] - Enterprise Products Partners (NYSE: EPD): Known for reliability, it has increased its distribution for 27 consecutive years and holds an investment-grade credit rating. Its distributable cash flow comfortably covers its distribution by 1.7 times, appealing to conservative investors. Expected distribution growth is similar to that of Energy Transfer [5] - Enbridge (NYSE: ENB): A leader in the midstream industry with additional exposure to regulated natural gas utilities and clean energy assets. It aims to adapt its business to align with global energy transitions. Enbridge has increased its dividend for 30 consecutive years, making it a suitable option for those seeking a clean-energy hedge despite having the lowest yield among the three at 5.6% [6][7]

3 Ultra-High-Yield Energy Dividend Stocks to Buy and Hold for 2026 - Reportify