Energy Transfer Just Raised Its Distribution for the 20th Straight Quarter. Here's How Much $10,000 Invested Pays Annually.

Energy Transfer has announced its 20th consecutive increase in quarterly cash distributions. According to Motley Fool, the company raised its quarterly distribution by more than 3%, bringing the payout to $0.3425 per unit quarterly, or $1.37 per unit annually. Nasdaq Markets reports that the pipeline master limited partnership (MLP) now has a forward yield of approximately 7%.

Motley Fool notes that based on a stock price of roughly $19 per share, a $10,000 investment would purchase approximately 526 units, resulting in about $720 in annual distributions. This represents a 7.1% forward distribution yield. Motley Fool observes that this yield is higher than peers such as Enbridge, which has a 5.7% yield, and Enterprise Products Partners, which has a 6.1% yield.

While the company has achieved 20 straight increases, Motley Fool states that management's claim is somewhat misleading because Energy Transfer has implemented a dividend cut in the past, primarily due to the COVID-19 outbreak.

Brief written by urgent.news from Nasdaq Markets, Motley Fool — 2 reports on this story. Machine-written — may contain errors; check the original before relying on it.