Meet the U.S. Oil & Gas Company Raising Its Dividend 40 Percent
Meet the U.S. Oil & Gas Company Raising Its Dividend 40 Percent (DividendChannel)
Given the immediate future of the United States natural gas sector, it’s almost impossible to ignore an infrastructure company that just increased available assets by some $1 billion in value. So meet Oneok, Inc. (OKE), a company engaged in the gathering, processing, storage and transportation of natural gas in Texas, Oklahoma and Kansas. In addition to its infrastructure revenue, OKE’s local distribution companies serve wholesale and public customers, as well. So OKE is charging to transport natural gas, and then getting paid by end users as well? That’s called having your cake and eating it, too. And OKE’s management knows what a great spot it’s in. That’s why, for Q114, the company raised its quarterly cash dividend by 40 percent. Granted, that takes the yield up to a less-than-stunning 3.65 percent, but share holders as of April 30, 2014 won’t be complaining… Nor should they be in the future, as OKE will continue to make money with both hands and provide an irreplaceable service to the natural gas industry.