The pipe companies are well positioned despite the current interruption of energy markets. In general, these are road businesses where energy prices have only a moderate direct impact on their results.
At the same time, the demand for natural gas grows. This comes from the increase in energy consumption that is derived Artificial intelligence (AI)as well as the demand for export of Mexico and GNL (Liquefied Natural Gas) in Asia and Europe.
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Let’s look at four pipe actions that you can buy and keep in the long term.
Energy transfer(NYSE: ET) It operates one of the largest midstream systems in the country, with various assets of pipes, storage and processing. The company is especially well positioned in the Permian basin, which is the most prolific oil basin in the United States with some of the lowest ruptures. While operators were the oil basin, wells also produce a lot of associated natural gas. Due to the regulations (natural gas burns), this gas must be transported and find a house that, due to its abundance, leads to some of the cheapest regional prices in the country.
Access to this cheap natural gas provides a large number of growth projects opportunities. Significantly increased growth capital (CAPEX) of $ 3 billion by $ 2024 to $ 2024 by 2025. One of his projects Keystone is the Hugh Brinson canoner, which will bring out gas away from the Permian to support the increasing energy demand in Texas derived from the IA. He has also signed his first contract directly with a data center developer.
The Backlog Backlog of the Energy Transfer Project allows for solid growth in the coming years. In the meantime, the shares have an attractive performance of 7.9% with a well -covered distribution that expects to grow at a rate of 3% to 5%.
A model of coherence, Business products members(NYSE: EPD) Its distribution has increased for 26 years in a row. Like energy transfer, the company is also well positioned in the Permian and has increased its growth capex. This year is planning to spend between $ 4 billion and $ 4.5 billion on growth projects, up to $ 3.9 billion a year ago and only $ 1.6 billion by 2022.
Enterprise currently has $ 7.6 billion in growth projections under construction, of which $ 6 billion is expected to be online at some point this year. This should help its growth this year and next year. Most of these projects are focused on the Permian basin.
The action has an attractive performance of 7.1% with a sturdy coverage proportion of 1.7 times depending on its distributable cash flow (the less operational cash flow). It increased its almost 4% year -on -year distribution last quarter.
Image Source: Getty’s pictures.
Williams’ companies(NYSE: WMB) It possibly has the most valuable natural gas gas system in the country, which runs along the southeast of the United States from the rich Appalachia rich in natural gas to the golf coast. Through this system, it transports natural gas to the main cities of this growing region.
The beauty of transco is that it provides Williams numerous attractive expansion projects derived from the system. Much of this comes from public services that seek to move from coal to natural gas. However, it can also send natural gas to GNL aisle to be sent abroad and is well positioned to serve the data centers in the south. It had seven expansion projects of transcence with the purpose of service objective between the first quarter of 2025 and the fourth quarter of 2029 at the end of last year in its recoil.
Williams currently has a 3.5%performance, as it focuses more on growth. However, it plans to grow its dividend by more than 5% this year.
With about 40% of the United States natural gas production that flows through its pipes, Morgan children(NYSE: KMI) He plays a vital role in the United States Midstream sector. It also has a robust presence in the Permian basin and Tot Texas, included near Abilene, Texas, which is where the first data center will be built as part of the Stargate project.
Like other large pipe companies, Kinder is also seeing an increase in growth project opportunities arising from the increasing demand for natural gas. Its recoil of the project has gone from $ 3 billion by the end of $ 2023 to $ 8.8 billion at the end of the first quarter of 2025. He says that these projects are built around 6 times on gains, taxes, depreciation and amortization (EBITDA). This means that for every $ 6 it spends, it generates a $ 1 return to Ebitda, equal to a return of 16.7%. This should add an incremental Ebitda to $ 1.5 billion from these projects in the coming years. It is planned to generate about $ 8.3 billion in Ebitda by 2025, so it is a solid growth.
Actions are currently attractive to 4.5%, and has improved its balance in recent years, achieving its leverage (net debt divided by adjusted Ebitda of 12 months) of 5.1 times in 2017 to 4 times in 2024.
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Geoffrey Seiler It has positions in energy transfer members and business products. The Motley Fool has positions and recommends Kinder Morgan. The Motley Fool recommends business members. The mold’s fool has a Outreach policy.
