Why Boardwalk Pipeline Is Poised to Pop

Updated

Based on the aggregated intelligence of 180,000-plus investors participating in Motley Fool CAPS, the Fool's free investing community, natural gas pipeline and storage operator Boardwalk Pipeline Partners has earned a respected four-star ranking.

With that in mind, let's take a closer look at Boardwalk and see what CAPS investors are saying about the stock right now.

Boardwalk facts

Headquarters

Houston, Texas

Market Cap

$6.3 billion

Industry

Oil and gas storage and transportation

Trailing-12-Month Revenue

$1.2 billion

Management

CEO Stanley Horton (since 2011)

CFO Jamie Buskill (since 2005)

Return on Equity (average, past 3 years)

8%

Cash / Debt

$10.9 million / $3.2 billion

Dividend Yield

7.8%

Competitors

El Paso

Energy Future Holdings

Southwest Gas


Sources: S&P Capital IQ and Motley Fool CAPS.

On CAPS, 96% of the 493 members who have rated Boardwalk believe the stock will outperform the S&P 500 going forward.

Just yesterday, one of those Fools, yieldideas, tapped the stock as a particularly solid income opportunity:

[Boardwalk] offers a great [dividend yield] more than twice what the S&P 500 is paying right now. It will have more challenging time raising future distributions, but its relatively new assets are positioned to generate predictable cash flows. In my opinion the stock is not expensive, and if natural gas prices don't plummet further and/or interest rates increase significantly, then [Boardwalk] is a good addition to a diversified yield portfolio.

If you want market-thumping returns, you need to put together the best portfolio you can. Of course, despite a strong four-star rating, Boardwalk may not be your top choice.

If that's the case, we've compiled a special free report for investors called "Secure Your Future With 9 Rock-Solid Dividend Stocks," which uncovers several other juicy income opportunities. The report is 100% free, but it won't be around forever, so click here to access it now.


Want to see how well (or not so well) the stocks in this series are performing? Follow the TrackPoisedTo CAPS account.

The article Why Boardwalk Pipeline Is Poised to Pop originally appeared on Fool.com.

Fool contributor Brian Pacampara has no position in any stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.

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