Coca-Cola Yields 2.3% and Nike Yields 4.4%. Here's Why Only 1 of These High-Yield Dividend Stocks Is a Buy This October.

As Treasury yields climb to multi-decade highs and inflation rises, high-yield energy stocks have become increasingly attractive. Midstream sector stocks, in particular, offer compelling valuations and robust income potential. Here are three top midstream energy stocks to consider in October.

Enterprise Products Partners LP (EPD) stands out as a leading choice. This company boasts an impressive balance sheet and a management team considered among the best in the industry. While other midstream firms provide higher yields, EPD maintains a forward distribution yield of 6.3%, which remains appealing. What sets EPD apart is its reliable distribution, with a coverage ratio of 1.9x. Additionally, EPD has increased its distribution for 28 consecutive years, placing it in the elite group of Dividend Champions.

Energy Transfer LP (ET) offers a slightly higher yield at 6.8% and a robust distributable cash flow coverage ratio of 2.28x in the first half of 2026. Furthermore, ET has committed to increasing its distribution by 3% to 5% annually over the long term. The company recently raised its distribution payout by more than 3%, marking its 19th consecutive quarterly increase.

ET's diversified business, including crude oil, natural gas, and natural gas liquids (NGLs), presents growth opportunities, especially with the recent launch of its 442-mile Hugh Brinson Pipeline.

MPLX LP (MPLX) provides the highest yield among the three at roughly 7.5%. Though its distribution coverage ratio of 1.3x is lower than EPD and ET, it still offers sufficient income generation. MPLX has increased its distribution by 12.5% in both 2024 and 2025 and aims for similar growth in 2026 and 2027. The company is heavily investing in its natural gas and NGL segments, with several projects already underway, such as the Harlon Creek III processing plant and expansions of the Belvieu Alternative Natural Gas Liquids (BANGL) pipeline and Delaware sour gas treating facility.

With a $10,000 investment in MPLX, investors could generate around $2,068 annually in income. Despite not relying on elevated oil prices or steady interest rates, these pipeline stocks benefit from the consistent flow of natural gas and other fuels through their infrastructure, making them reliable income sources.