Enterprise Products Partners L.P. (NYSE:EPD) has recently been highlighted as one of the “14 Under-the-Radar High Dividend Stocks to Buy Now” by Scotiabank. The financial firm raised its price target on EPD to $39 from $37, reaffirming a Sector Perform rating on the stock. This update comes as part of Scotiabank’s overall adjustment of price targets for U.S. midstream stocks, with slight increases in target multiples across the board.
During the Q4 2025 earnings call, Co-CEO A. Teague shared positive news about Enterprise Products Partners. The company achieved record EBITDA of $2.7 billion for the quarter, surpassing the previous high of $2.6 billion in Q4 2024. Teague attributed this success to the performance of new assets that came online in 2025. However, he also noted challenges, such as weakness in commodity-sensitive businesses and tighter marketing spreads.
Lower crude prices have impacted EPD’s results, with oil prices averaging $12 per barrel less than in 2024. This has led to reduced pricing spreads compared to previous years. Despite these challenges, Teague highlighted that the company’s ethane export terminals and planned Permian processing trains are fully contracted. Additionally, LPG exports are largely committed through the end of the decade, with strong demand for long-term agreements.
Enterprise Products Partners L.P. specializes in providing midstream energy services to producers and consumers of natural gas, natural gas liquids, crude oil, refined products, and petrochemicals. While EPD offers potential as an investment, some experts believe that certain AI stocks may present greater upside potential with lower downside risk.
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In conclusion, Enterprise Products Partners L.P. continues to be a key player in the midstream energy sector, with a strong track record of performance and strategic investments. Investors looking for diversification and growth potential in their portfolios may want to consider EPD as part of their investment strategy.
