Why El Paso Pipeline Is Poised to Keep Popping

Updated

Based on the aggregated intelligence of 180,000-plus investors participating in Motley Fool CAPS, the Fool's free investing community, natural gas storage and transportation company El Paso Pipeline Partners has earned a coveted five-star ranking.

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

El Paso Pipeline facts

Headquarters (founded)

Houston, Texas (2007)

Market Cap

$9.5 billion

Industry

Oil and gas storage and transportation

Trailing-12-Month Revenue

$1.5 billion

Management

Chairman/CEO Richard Kinder

President/Director Park Sharper

Return on Equity (average, past 3 years)

25.9%

Cash/Debt

$114.0 million / $4.3 billion

Dividend Yield

5.7%

Competitors

ANR Pipeline Company

Southern Union Company

Transcontinental Gas Pipe Line


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

On CAPS, 98% of the 290 members who have rated El Paso Pipeline believe the stock will outperform the S&P 500 going forward.

Just yesterday, one of those Fools, MMcCabeNMC, succinctly summed up the El Paso Pipeline bull case for our community:

Natural gas has been cheap, so demand is high. Supply continues to increase, keeping prices low. So, who makes money as more users switch to natural gas? Pipeline companies are, in my opinion, a good bet. This firm has sound financials, and should be well positioned to take advantage of the continued boom in natural gas demand.

If you want market-topping returns, you need to put together the best portfolio you can. Of course, despite its five-star rating, El Paso Pipeline may not be your top choice.

We've found another energy play we are incredibly excited about -- excited enough to dub it "The Only Energy Stock You'll Ever Need." We have compiled a special free report for investors to uncover this stock today. The report is 100% free, but it won't be here forever, so click here to access it now.

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The article Why El Paso Pipeline Is Poised to Keep Popping originally appeared on Fool.com.

Fool contributor Brian Pacampara has no position in any stocks mentioned. The Motley Fool recommends El Paso Pipeline Partners LP. 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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