This High-Yield Stock Is Nearing an Acceleration Point

ONEOK (NYSE:OKE) CEO Terry Spencer has called 2019 "a year of project execution" for the midstream company. That's because the pipeline giant entered the year with $5.5 billion of growth projects under construction. The company hopes to finish the bulk of those expansions by the early part of 2020, which would set it up to enjoy accelerated earnings growth. That would give ONEOK more fuel so that it can continue growing its 5.1%-yielding dividend.

Spencer concluded his prepared remarks by stating: "After more than a year of talking about our capital growth projects, we are nearing completion on several of them. Over the coming months, these projects will add critical NGL takeaway, fractionation, and natural gas processing capacity for our customers where they need it the most, providing ONEOK with substantial long-term fee-based earnings and cash flow growth." In the company's view, earnings growth will accelerate to more than 20% next year. Meanwhile, with more growth on the way, it should be able to continue expanding cash flow at a healthy pace well into the future. That should give ONEOK the fuel to continue increasing its high-yielding dividend.

Source: Motley Fool

Related Articles:
- 10 Fun Facts That You Might Not Know About Microsoft
- 5 Dividend Stocks To Beat The Wall Street Giants
- A Disciplined Approach To Dividend Growth Stocks
- 3 Low Beta, Higher Yielding Dividend Stocks For The Next Downturn
- 6 High-Yield REITs With Growing Dividends