Over the past several months, we’ve fielded innumerable questions about whether specific master limited partnerships (MLP) will be able to maintain their distributions, with readers focusing on higher-yielding Portfolio holdings and names that we highlighted when we ran The Energy Strategist and MLP Profits. (Roger and I have covered MLPs for almost a decade.)
Our focus has always been on the quality of an MLP’s underlying assets and cash flow—the foundation for long-term wealth building. But in this environment, liquidity and cost of capital can also exert a profound influence on a partnership’s distribution policy, particularly for names with significant capital spending needs.
In this issue, we delve into many of the popular large-cap MLPs to evaluate the pressure points in their underlying businesses if energy prices remain lower for longer and their ability to meet near-term debt maturities and planned capital expenditures.
In This Issue
1. The payout cuts announced by Kinder Morgan (NYSE: KMI) and Teekay LNG Partners LP (NYSE: TGP) have several important implications for MLP investors. See Taking the MLP Market’s Temperature.
Your complete guide to energy investing, from growth stocks to high-yielders.
In October 2012, renowned energy expert Elliott Gue launched the Energy & Income Advisor, a twice-monthly investment advisory that's dedicated to unearthing the most profitable opportunities in the sector, from growth stocks to high-yielding utilities, royalty trusts and master limited partnerships.
Elliott and Roger on May. 26, 2021
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Our take on more than 50 energy-related equities, from upstream to downstream and everything in between.
Our assessment of every energy-related master limited partnership.
Roger Conrad’s coverage of more than 70 dividend-paying energy names.