- OMP's sponsor, Oasis Petroleum, has a best-in-class balance sheet, and OMP has high quality and diversified assets around North America.
- OMP generates strong operational cash flow from long-term and fixed fee contracts that provide income stability.
- Their operating cash generation will be even better in 2022 and 2023 thanks to key investments this year, and this will result in a dividend increase.
- I expect 5-10% stock price appreciation along with a 9% dividend yield.
For further details see:
Oasis Midstream Partners: 9% Dividend With Strong Balance Sheet