This company moves crude oil for a living, and it does that job with a beta of just 0.49, meaning its stock barely tracks the broader market’s swings. That kind of steadiness is rare in the energy sector, where prices can move sharply on headlines alone. Add to that a 16% three-year dividend growth rate, which ranks in the top 20% of all dividend-paying stocks, and you get a business that has been raising its payout aggressively while keeping its price relatively calm. Few income names manage both traits at once.
The business itself is built around physical infrastructure, pipelines, storage terminals and gathering systems that move crude oil from the point of production to refineries, exporters and other buyers. Growth here tends to come from adding capacity in already-active production regions and buying smaller, complementary systems rather than chasing large, transformative deals. That approach lowers execution risk. At the same time, the company’s revenue is tied to how much oil gets pumped and shipped, which means broader swings in production activity and commodity pricing remain a real risk worth watching.
Following a recent divestiture that narrowed its focus to a single core business line, the company has used the proceeds to meaningfully cut down its debt. That kind of balance sheet cleanup is exactly the sort of quality signal our Best Dividend Stocks Portfolio looks for. We have added this stock to the portfolio because it pairs an attractive yield with a business that is getting simpler and financially stronger at the same time.
