This Overlooked Pipeline Stock Could Be a Generational Wealth Builder for Patient Investors
Key PointsHess Midstream shares fell sharply following news that Chevron is divesting its stake.
Generational wealth is achieved through patience, a virtue that applies to overlooked equities. Hess Midstream (HESM) is one such stock that investors might overlook. However, this mid-cap company has the potential to reward patient investors. Recently, Chevron announced it would sell its Hess Midstream stake, leading to a 20% dip in HESM's share price.
Despite the short-term dip, Hess Midstream's dividend yield of 10% and upcoming dividend hikes could compensate investors for their patience. The transfer of Chevron's equity interest in Hess Midstream will also reduce the company's outstanding share count by 40%, making it easier for the company to consistently raise its payout over time.
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