Discover the Power of Growth: Energy Stocks with Remarkable Dividend Increases in the Last Quarter
Dividends
October 25, 2023
Viper Energy Partners LP (NASDAQ: VNOM) recently announced its second-quarter 2023 results, and there's exciting news for investors. Viper Energy Partners reported impressive growth, with a 5.1% increase in average production from the first quarter of the year and a remarkable 7.0% year-over-year growth, marking a historic high for Viper. This growth was backed by solid financials, with a consolidated net income of $79.9 million.
Moreover, Viper's commitment to its investors is evident in its decision to raise the annual base distribution by 8% to $1.08 per common unit. This increase, providing over a 4% annualized yield, showcases Viper's strong balance sheet and confidence in long-term capital returns through cash distributions. Viper Energy Partners's CEO, Travis Stice, highlighted their focus on sustainable and growing returns, driven by the robust growth in oil production and their advantageous partnership with Diamondback Energy. Viper's future looks promising, with expectations of continued growth and a positive outlook for the stock and its dividend prospects. This is certainly an exciting development for Viper Energy Partners LP and its investors.
Viper Energy Partners LP owns, acquires, and exploits oil and natural gas properties in North America. As of December 31, 2019, it had mineral interests in 24,304 net royalty acres in the Permian Basin and Eagle Ford Shale with estimated proved oil and natural gas reserves of 88,946 thousand barrels of crude oil equivalent. Viper Energy Partners GP LLC operates as the general partner of Viper Energy Partners. Viper Energy Partners was founded in 2013 and is based in Midland, Texas. Viper Energy Partners LP operates as a subsidiary of Diamondback Energy, Inc.
Alliance Resource Partners, L.P. (ARLP) has just made a significant move by increasing its dividend to $0.70 per unit for the 2023 Quarter, marking a substantial 75% boost from the previous year's distribution of $0.40 per unit. This substantial increase speaks volumes about Alliance Resource Partners's financial health and its commitment to delivering value to its unitholders.
The decision to raise dividends can be attributed to a combination of factors, including robust financial performance and an optimistic outlook. With ARLP set to report its financial results for the 2023 Quarter shortly, this move suggests that Alliance Resource Partners is confident in its ability to sustain and grow its earnings, making it an appealing prospect for investors. It's worth keeping a close eye on ARLP's stock, as this dividend increase hints at a positive outlook for Alliance Resource Partners and its potential for generating consistent returns for investors. The upcoming conference call on July 31, 2023, will likely provide more insights into ARLP's financial health and future prospects.
Alliance Resource Partners, L.P. is a diversified natural resource company in the United States specializing in coal production and distribution. Operating through three segments, including Illinois Basin, Appalachia, and Minerals, Alliance Resource Partners has seven underground mining complexes across several states. They also manage a coal loading terminal on the Ohio River and offer various industrial and mining technology products and services. With substantial coal reserves and interests in oil and gas mineral rights, Alliance Resource Partners, L.P. has been serving its customers since its founding in 1971, with headquarters in Tulsa, Oklahoma.
Archrock, Inc. (AROC) is bolstering its commitment to shareholder value by increasing its quarterly dividend to $0.155 per share, equating to $0.62 per share annually. This 3% surge from the first quarter of 2023 and a 7% rise from the second quarter of 2022 is a testament to Archrock's dedication to providing its investors with a competitive and sustainable dividend. Brad Childers, President and CEO of Archrock, affirms this dedication and hints at forthcoming updates during the second quarter 2023 earnings call. The dividend increase likely stems from Archrock's strong performance and its ability to allocate capital effectively. With Archrock's upward dividend trajectory, investors can anticipate favorable returns and an attractive prospect in their stock portfolio.
Archrock, Inc. operates as a midstream energy infrastructure company in the United States. It operates in two segments, Contract Operations and Aftermarket Services. Archrock offers natural gas compression services to customers in the oil and natural gas industry. It also provides various aftermarket services, such as parts and components; and operation, maintenance, overhaul, and reconfiguration services to customers who own compression equipment. Archrock was formerly known as Exterran Holdings, Inc. and changed its name to Archrock, Inc. in November 2015. Archrock, Inc. was founded in 1990 and is headquartered in Houston, Texas.
Delek Logistics Partners, LP (DKL) is pleased to announce a robust 1.0 percent increase in its quarterly cash distribution for the second quarter of 2023. The distribution now stands at $1.035 per common limited partner unit, amounting to $4.14 annually. This positive move follows a 5.1 percent increase compared to the second quarter of 2022, where the distribution was $0.985 per common limited partner unit, translating to $3.94 annually.
This dividend increase reflects Delek Logistics' commitment to providing value to its investors and is likely influenced by Delek Logistics Partners's steady growth and improved financial performance. The oil and gas industry is witnessing a resurgence in demand, which could be a contributing factor to this dividend boost. Investors in DKL can expect continued returns on their investments, making this stock an attractive choice for those looking for dependable dividend prospects in the energy sector. With a strong track record and a focus on enhancing shareholder value, Delek Logistics stands as an enticing option for investors seeking stable dividend income.
Delek Logistics Partners, LP owns and operates logistics and marketing assets for crude oil, and intermediate and refined products in the United States. It operates in two segments, Pipelines and Transportation, and Wholesale Marketing and Terminalling. The Pipelines and Transportation segment includes pipelines, trucks, and ancillary assets that provide crude oil gathering, crude oil intermediate and finished products transportation, and storage services primarily in support of the Tyler, El Dorado, and Big Spring refineries, as well as offers crude oil and other products transportation services to third parties. This segment operates approximately 700 miles of crude oil gathering system. The Wholesale Marketing and Terminalling segment provides wholesale marketing, transporting, storage, and terminalling services related to refined products to independent third parties. Delek Logistics GP, LLC serves as the general partner of Delek Logistics Partners. Delek Logistics Partners, LP was founded in 2012 and is headquartered in Brentwood, Tennessee. Delek Logistics Partners, LP is a subsidiary of Delek US Holdings, Inc.
Baker Hughes, the industry stalwart, recently delighted its shareholders by declaring a significant dividend boost. Baker Hughes's Board of Directors unveiled an augmented quarterly cash dividend of $0.20 per share for its Class A common stock, slated for disbursement on August 18, 2023, to shareholders recorded by August 8, 2023. This generous dividend hike, a testament to Baker Hughes' commitment to prudent growth, translates into a noteworthy 5.3% increment ($0.01) from the previous quarter and a substantial 11.1% surge ($0.02) when compared to the same period last year.
The decision to raise the dividend is not only a reward to loyal investors but also a reflection of Baker Hughes' confidence in its ability to generate substantial cash from operations, ensuring sustained financial well-being. This development is promising for potential and existing stockholders, positioning Baker Hughes as a compelling option in the ever-evolving landscape of dividend-paying stocks. Keep an eye on Baker Hughes as it continues to navigate the dynamic energy sector, offering potential for solid returns and dividend growth in the foreseeable future.
Baker Hughes Company, headquartered in Houston, Texas, is a global provider of diversified technologies and services. Baker Hughes operates through four key segments: Oilfield Services, Oilfield Equipment, Turbomachinery & Process Solutions, and Digital Solutions. Their offerings encompass a wide range of services and products, from oilfield services and equipment to turbomachinery and digital solutions, catering to industries including oil and gas, power generation, aerospace, metals, and transportation. Formerly known as Baker Hughes, a GE company, it adopted the name Baker Hughes Company in October 2019.
Kinder Morgan, Inc. (KMI) recently announced a 2% increase in its cash dividend, now at $0.2825 per share for the second quarter of 2023 ($1.13 annualized). This decision reflects KMI's commitment to benefiting its shareholders by leveraging strong cash flow. Kinder Morgan's robust coverage and a growing dividend, combined with opportunistic share repurchases, have contributed to a top 10 yield in the S&P 500.
KMI's dividend increase comes as they continue to excel in their Natural Gas Pipeline and Terminals business segments, responding to volatile market conditions and demand for renewable energy sources. Their ongoing focus on lower-carbon energy investments and expansions in the natural gas pipeline and storage systems position KMI well for the future. With a strong balance sheet and a solid project backlog, KMI's outlook for 2023 remains positive, despite lower commodity prices, making it a potential investment prospect in the energy sector.
Kinder Morgan, Inc. operates as an energy infrastructure company in North America. Kinder Morgan operates through Natural Gas Pipelines, Products Pipelines, Terminals, and CO2 segments. The Natural Gas Pipelines segment owns and operates interstate and intrastate natural gas pipeline and storage systems; natural gas gathering systems and natural gas processing and treating facilities; natural gas liquids fractionation facilities and transportation systems; and liquefied natural gas liquefaction and storage facilities. The Products Pipelines segment owns and operates refined petroleum products, and crude oil and condensate pipelines; and associated product terminals and petroleum pipeline transmix facilities. The Terminals segment owns and/or operates liquids and bulk terminals that stores and handles various commodities, including gasoline, diesel fuel, chemicals, ethanol, metals, and petroleum coke; and owns tankers. The CO2 segment produces, transports, and markets CO2 to recovery and production crude oil from mature oil fields; and owns interests in/or operates oil fields and gasoline processing plants, as well as operates a crude oil pipeline system in West Texas. It owns and operates approximately 83,000 miles of pipelines and 147 terminals. Kinder Morgan was formerly known as Kinder Morgan Holdco LLC and changed its name to Kinder Morgan, Inc. in February 2011. Kinder Morgan, Inc. was founded in 1936 and is headquartered in Houston, Texas.
Delek US Holdings, Inc. (DK) recently reported its second-quarter 2023 financial results, and it's evident that Delek US Holdings's strategic efforts are paying off. The President and CEO, Avigal Soreq, expressed satisfaction with the quarter's results, highlighting strong performance in the refining segment driven by their wholesale and asphalt businesses, largely supported by local market demand. Additionally, their logistics segment benefited from their Permian position and projected ongoing growth in this area.
One significant development for shareholders is Delek US Holdings's commitment to returning value. Delek US increased its quarterly dividend for the fourth consecutive quarter, now standing at $0.235 per share. This indicates Delek US Holdings's confidence in its competitive and sustainable dividend policy. Notably, Delek US has already returned $95 million to shareholders in the form of dividends and share buybacks. These positive results, cost-saving measures, and value return strategies suggest a promising outlook for Delek US and its dividend prospects, reflecting a strong commitment to shareholder value.
The increase in the quarterly dividend coincided with Delek US Holdings's sound financial performance, reflecting its growing confidence in its operations and capital allocation strategies. This move is in line with Delek US's focus on value creation for its shareholders, underpinned by its robust balance sheet and sustainable dividend policy.
Delek US Holdings, Inc. is a US-based integrated downstream energy company with three key segments: Refining, Logistics, and Retail. In the Refining segment, Delek US Holdings operates four independent refineries and two biodiesel facilities, producing various petroleum-based products distributed through owned and third-party terminals. The Logistics segment handles the gathering, transportation, and storage of crude oil and refined products, owning significant pipeline capacity and storage tanks. The Retail segment consists of 252 convenience store sites primarily in Texas and New Mexico, offering fuel, food, tobacco, beverages, and general merchandise. Delek US Holdings, Inc. serves a wide range of clients and was founded in 2001, with headquarters in Brentwood, Tennessee.
Diamondback Energy, Inc. (FANG) has reported impressive second-quarter 2023 results, reflecting its commitment to delivering value to investors. Notably, Diamondback Energy increased its annual base dividend by 5% to $3.36 per share, reinforcing its dedication to rewarding shareholders. This move is underpinned by Diamondback Energy's robust financial performance, evident in its net cash provided by operating activities of $1.51 billion. With cash capital expenditures of $711 million, Diamondback generated Free Cash Flow of $547 million, strengthening its capacity to fund dividend increases.
The dividend boost could be attributed to Diamondback's strategic asset management, including the divestiture of its 43% equity ownership in the OMOG crude oil gathering system for gross proceeds of $225 million. This, along with other non-core asset sales, exceeded their 2023 target of $1.0 billion, further enhancing their financial flexibility. With a solid foundation and sound financials, Diamondback appears poised for sustained growth and offers an enticing investment opportunity for those eyeing the energy sector.
As Diamondback Energy continues to optimize its operations and exhibit strong financial performance, investors can look forward to not just the recent dividend increase but also the potential for sustained growth in stock value.
Diamondback Energy, Inc., an independent oil and natural gas company, focuses on the acquisition, development, exploration, and exploitation of unconventional and onshore oil and natural gas reserves in the Permian Basin in West Texas. It primarily focuses on the development of the Spraberry and Wolfcamp formations of the Midland basin; and the Wolfcamp and Bone Spring formations of the Delaware basin, which are part of the Permian Basin in West Texas and New Mexico. As of December 31, 2019, Diamondback Energy's total acreage position was approximately 455,378 gross acres in the Permian Basin; and estimated proved oil and natural gas reserves were 1,127,575 thousand barrels of crude oil equivalent. It also held working interests in 2,656 gross producing wells, as well as royalty interests in 4,161 additional wells. In addition, Diamondback Energy owns mineral interests approximately 814,224 gross acres and 24,304 net royalty acres in the Permian Basin and Eagle Ford Shale; and owns, operates, develops, and acquires midstream infrastructure assets, such as 867 miles of crude oil gathering pipelines, natural gas gathering pipelines, and an integrated water system in the Midland and Delaware Basins of the Permian Basin. Diamondback Energy, Inc. was founded in 2007 and is headquartered in Midland, Texas.
Hess Midstream LP (NYSE: HESM) recently made an exciting announcement, revealing a 2.7% boost in its quarterly cash distribution for Class A shares, now at $0.6011 for the second quarter of 2023, up from the previous quarter. This dividend increase is a testament to Hess Midstream's commitment to delivering consistent returns to its valued shareholders.
Jonathan Stein, the CFO of Hess Midstream, emphasized their prudent financial management and strong cash flow, enabling this distribution growth. Hess Midstream has successfully raised its distribution levels twice this year, reflecting its goal of achieving at least 5% annual distribution growth through 2025. With over $1 billion of financial flexibility expected through 2025, Hess Midstream is well-positioned to support their return of capital framework, potentially fueling more distribution per share increases. This move reaffirms Hess Midstream's dedication to providing value to its investors and stands as a promising development for those considering its stock and dividend prospects.
Investors in HESM can look forward to the enhanced dividend payout, with the upcoming distribution set to be payable on August 14, 2023, to Class A shareholders. This strategic financial decision, along with Hess Midstream's strong financial position, makes Hess Midstream a stock worth watching for potential growth and income investors.
Hess Midstream LP owns, operates, develops, and acquires midstream assets. Hess Midstream operates through three segments: Gathering; Processing and Storage; and Terminaling and Export. The Gathering segment owns natural gas gathering and crude oil gathering systems; and produced water gathering and disposal facilities. Its gathering systems consists of approximately 1,350 miles of high and low pressure natural gas and natural gas liquids gathering pipelines with capacity of approximately 450 million cubic feet per day; and crude oil gathering system comprises approximately 550 miles of crude oil gathering pipelines. The Processing and Storage segment comprises Tioga Gas Plant, a natural gas processing and fractionation plant located in Tioga, North Dakota; 50% of the Little Missouri 4 gas processing plant located in south of the Missouri River in McKenzie County, North Dakota; and Mentor Storage Terminal, a propane storage cavern and rail, and truck loading and unloading facility located in Mentor, Minnesota. The Terminaling and Export segment owns Ramberg terminal facility; Tioga rail terminal; and crude oil rail cars, as well as Johnson''s Corner Header System, a crude oil pipeline header system. Hess Midstream LP was founded in 2014 and is based in Houston, Texas.
Northern Oil and Gas, Inc. (NOG) is pleased to announce an exciting development for its investors. Northern Oil and Gas's Board of Directors has just greenlit a cash dividend for its common stock, with a substantial increase of ~3% compared to the previous quarterly dividend. Shareholders can look forward to receiving $0.38 per share on October 31, 2023, provided they were on record as of September 28, 2023.
This dividend boost reflects NOG's commitment to delivering value to its investors, even amidst challenging market conditions. Nick O'Grady, the CEO of NOG, highlights Northern Oil and Gas's focus on sustainable growth and flexibility in capital allocation, despite a tough year for commodity prices. Chad Allen, the CFO, underscores Northern Oil and Gas's prudent risk management, ensuring the protection of all stakeholders. As NOG remains on track for differentiated growth, this dividend increase of over 50% compared to the previous year's payout signals a promising outlook for investors and Northern Oil and Gas's dedication to maximizing returns. Stay tuned as NOG continues to set its future dividend policy, considering changes in commodity prices, corporate actions, and other events in the coming fiscal quarters.
Northern Oil & Gas, Inc. engages in the acquisition, exploration, development, and production of crude oil and natural gas properties. Northern Oil and Gas is headquartered in Minnetonka, Minnesota and currently employs 20 full-time employees. The firm is engaged in the acquisition, exploration, development and production of oil and natural gas properties, primarily in the Bakken and Three Forks formations within the Williston Basin in North Dakota and Montana. The firm holds working interests in over 2,630 gross (204.3 net) producing wells, including over 2,630 wells targeting the Bakken and Three Forks formations and over two wells targeting other formations. The firm leases approximately 165,910 net acres, all located in the Williston Basin. The firm engages in oil exploration and production through non-operated working interests in wells drilled and completed in spacing units that include its acreage. The firm''s proved reserves are approximately 65.3 million barrels of oil equivalent (MMBoe).
All data was sourced from LevelFields AI
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