Pipeline Stocks To Consider

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Pipeline Stocks To Consider

Two Pipeline Stocks To Consider

The oil prices are trading at elevated levels amid high geopolitical tension and supply disruptions. In situations like this, buying pipeline stocks can be the perfect strategy.

The pipeline companie earn fees based on how much hydrocarbons move through the system. So, it doesn't relate to whether the oil prices are low or high.

Right now, the two best pipeline stocks in the US market are Enterprise Products Partners and Energy Transfer.

Enterprise Products Partners

Enterprise Products Partners is one of those rare stocks that has delivered consistent growth for 27 years! In fact, Enterprise Products Partners emerged as the winner during the 2008 financial crisis, the COVID-19 pandemic, and the oil collapse during 2014-2016.

Enterprise Products Partners works on a fee-based model, which means any changes in oil prices will have no effect on its bottom line.

The P/E ratio of Enterprise Products Partners is 14.10, while its Q4 2025 results also show an upbeat EPS. However, the stock is trading at multi-years high, which means it is better to wait for a good entry point.

Energy Transfer

Another good pipeline stock to consider buying is Energy Transfer. The data shows that Energy Transfer had a revenue of around $85.54 billion in 2025. Also, the distribution yield of Energy Transfer was $18.75 per unit, which is around 7.07%.

Energy Transfer also has a partnership with the Oracle data center. The agreement states that Energy Transfer will supply natural gas to around 3 data centers.

Although the Q4 data showed an EPS miss, the Energy Transfer stock is still a very strong contender. In fact, Energy Transfer has no operational weakness, which makes it a great pipeline stock for almost anyone.

The Energy Transfer stock is also trading at a high level if we look at its performance in the last 5 years. So, the safe option is to get an entry into Energy Transfer stock on dips.

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