ETP Handed $319 Million Verdict… Hands You 6.6 Percent Yield
Energy Transfer Partners (ETP) is a Dallas, Texas-based, gas and oil transporting company, currently paying a 6.6 percent dividend. But that dividend may go up, and soon. Like all master limited partnerships (MLPs), the company is legally obliged to pay back 90% of its revenue to shareholders — much like a real estate investment trust (REIT). It is coming off of a solid Q412 and was just awarded $319 million by a Texas jury that found it had been wrongfully dropped from a planned oil pipeline between Oklahoma and the Gulf of Mexico. This influx of cash will do nothing to hurt ETP’s current 6.6 percent quarterly dividend. And the cash could boost the dividend next quarter.