Just wanted to appeal to some of the more knowledgeable posters here. I'd like to take a position in one of the MLPs. I do like Kinder Morgan (KMI), but my concern is that its payout ratio is awful. There seems to be more reputable institutional owners in EPD, and its payout ratio seems a lot more manageable. However, I did not like seeing the public offering today.
My question to long-time shareholders is how sustainable is the dividend here? Is this a company that you could conceivably see continue to pay out dividends (and raise them) over the next 15-20+ years?
also consider PAA and MMP, among others
don't put it all in 1, add a few
PAA reports today
MMP is down today, good entry
EPD market cap is twice the size of the both above combined!
Pick your poison, I own all 3, among others fyi
It is precisely these offerings which facilitate the growth which supports distribution growth.
Look at EPD's distribution history and read a primer on MLPs if you want to understand why your concerns are unfounded. The answer to your last sentence is yes.