Magellan Midstream Partners (MMP) Update - Oct 13
Posted: Wed Oct 13, 2021 9:03 am
I have updated my forecast and profile for MMP and them to the EPG website. You can view and download them from the EPG Home Page.
It has a strong balance sheet, steady operating cash flow and more than enough DCF coverage to maintain their cash distributions of $1.0275/quarter.
If your primary investment goal is to build a portfolio that generates steady dividend income, MMP should be near the top of your list. It is one of the largest midstream companies in the middle third of the U.S. that primarily operates pipelines and storage facilities for liquids. At today's unit price the partially tax-deferred yield is approximately 8.6% per year. The unit price also has about 10% upside to reach my current valuation.
It is an MLP, so better suited for a taxable account.
It has a strong balance sheet, steady operating cash flow and more than enough DCF coverage to maintain their cash distributions of $1.0275/quarter.
If your primary investment goal is to build a portfolio that generates steady dividend income, MMP should be near the top of your list. It is one of the largest midstream companies in the middle third of the U.S. that primarily operates pipelines and storage facilities for liquids. At today's unit price the partially tax-deferred yield is approximately 8.6% per year. The unit price also has about 10% upside to reach my current valuation.
It is an MLP, so better suited for a taxable account.