- Not only did Oasis Midstream Partners survive seeing their parent company file for Chapter 11 bankruptcy in 2020 but they also sustained their very high 11% distribution yield.
- Their very large capital expenditure reductions have allowed them to adequately cover their distributions with free cash flow during 2020 and this appears set to continue through 2021.
- Most impressively, unlike many of their peers, they only have low leverage.
- This is further supported by their adequate liquidity, which works together to keep their double-digit distribution yield sustainable.
- This favorable situation pays investors very well to watch 2021 unfold without taking on too much risk and thus is worthy of a bullish rating.
For further details see:
Oasis Midstream Partners: Grab An 11% Yield For 2021 After A Scary 2020