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What Makes MPLX’s 7.5% Yield Attractive

Ruth King
What Makes MPLX’s 7.5% Yield Attractive

MPLX (MPLX) is trading at an attractive yield of ~7.5%. The company’s coverage ratio for the third quarter was 1.47x. With a healthy coverage and conservative leverage, MPLX’s yield looks attractive. MPLX had impressive earnings growth over the years, driven by drop-down assets from parent Marathon Petroleum (MPC). The company reported strong volume growth in the third quarter of 2018.