Phillips 66 Partners LP PSXP recently announced an approval from the board of directors to increase quarterly cash distribution.
The third-quarter 2019 cash distribution has been recorded at 86.5 cents per common unit, reflecting a sequential increase of 1.2% and a year-over-year hike of 9%. The increased distribution is likely be paid on Nov 13, to unitholders of record as of Oct 31.
With the latest hike, the partnership has managed to raise distributions for 24 quarters in a row since the initial public offering in 2013. This reflects Phillips 66 Partners’ diversified and stable business model, generating steady fee-based revenues. The partnership’s diversified midstream assets comprise pipeline networks that transport crude oil, refined petroleum products and natural gas liquids.
Importantly, Phillips 66 Partners is well placed to continue to hike quarterly distributions since it has a solid backlog of organic midstream growth projects.
The partnership, formed by Phillips 66 PSX, is scheduled to report third-quarter 2019 earnings on Oct 25. Notably, the Zacks Consensus Estimate for the partnership’s earnings for the September quarter is pegged at $1.02 per unit.
Headquartered in Houston, TX, Phillips 66 Partners currently carries a Zacks Rank #3 (Hold). Meanwhile, better-ranked players in the energy space include Crescent Point Energy Corp. CPG and Matrix Service Company MTRX. Both the stocks sport a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.
Crescent beat the Zacks Consensus Estimate in three of the prior four quarters, the average positive earnings surprise being 235.1%.
Matrix Service has managed to beat the Zacks Consensus Estimate for earnings in three of the past four quarters.
7 Best Stocks for the Next 30 Days
Just released: Experts distill 7 elite stocks from the current list of 220 Zacks Rank #1 Strong Buys. They deem these tickers “Most Likely for Early Price Pops.”
Since 1988, the full list has beaten the market more than 2X over with an average gain of +24.50% per year. So be sure to give these hand-picked 7 your immediate attention.
See them now >>
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
Phillips 66 Partners LP (PSXP) : Free Stock Analysis Report
Matrix Service Company (MTRX) : Free Stock Analysis Report
Phillips 66 (PSX) : Free Stock Analysis Report
Crescent Point Energy Corporation (CPG) : Free Stock Analysis Report
To read this article on Zacks.com click here.
Zacks Investment Research