Why I Can't Stop Buying This 6%-Yielding Passive Income Powerhouse

2026-02-21 05:04:00 ET

I first invested in Enterprise Products Partners L.P. (NYSE: EPD) several years ago. It's been a winner for me, especially based on total returns. But I didn't stop at only one purchase of the midstream energy stock. Here are three reasons why I can't stop buying this passive income powerhouse.

Enterprise Products Partners pays a distribution that yields roughly 6%. I don't rely on the distribution for passive income now, but I plan to do so in the future. Instead, I reinvest the cash I receive from owning units of this master limited partnership (MLP) stock . With a 6% yield, it doesn't take much unit-price appreciation to achieve double-digit total returns.

The ultra-high yield isn't the only thing that I like about Enterprise Products Partners' distribution, though. The MLP has increased its distribution for 27 consecutive years. I'm confident the company will keep that streak going for years to come.

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