Energy Transfer offers higher yield than Enbridge, but Enbridge has more consistent dividend history

From Yahoo Finance: 2025-04-21 09:30:00

Energy Transfer (ET) stands out in the energy stock market with a 7.7% yield, higher than the S&P 500’s 1.3% and the industry average of 3.1%. However, Enbridge (ENB) might be a better investment option due to its historical distribution stability.

Energy Transfer’s high yield surpasses Enbridge’s 5.8%, but its history shows significant fluctuations in yield, notably in 2016 and 2020. Enbridge, on the other hand, has maintained a more consistent yield over time, attracting dividend investors seeking reliability.

Energy Transfer’s past includes a potential dividend cut during the 2016 acquisition of Williams Companies and a distribution halving in 2020 due to the pandemic. Enbridge, in contrast, has a reliable dividend history, increasing payouts for 30 years.

Enbridge offers stability with diversified revenue streams, including regulated utilities and clean energy. Its solid balance sheet and acquisition strategy have never led to a dividend cut, unlike Energy Transfer’s history of uncertain distributions.

While Energy Transfer may offer a higher yield, Enbridge’s track record of reliable dividend payments for 30 years makes it a more attractive choice for dividend investors seeking consistency and growth.

The Motley Fool’s Stock Advisor team recommends 10 stocks for potential high returns, not including Energy Transfer. Historically, their picks have outperformed the market significantly.



Read more at Yahoo Finance: You Can Buy Energy Transfer, but You’d Be Better Off With This High-Yield Stock