Wednesday, September 7, 2011

10,000 Natural Gas Filling Stations in 5 Years: High Yield Gas Stocks

According to Aubrey McClendon, the CEO of Chesapeake Energy Corp., the United States could have tens of thousands of natural gas filling stations for cars and trucks within a few years. Many investors prefer natural gas over oil, as it is a greener fuel generating a lower carbon footprint. Plus, it also has a long history as a fuel.

The yields on natural gas stocks are fairly decent. Based on the recently updated list at WallStreetNewsNetwork.com, over 20 gas utilities have yields ranging from 2% to over 7%. One example is Energy Transfer Partners L.P. (ETP), which is a publicly traded limited partnership that processes, transports, and sells natural gas. The stock trades at 17.4 times forward earnings and pays a generous yield of 8.2%. The company has been paying quarterly since 1997.

Dallas Texas based Atmos Energy Corp. (ATO) trades at 13.7 times forward earnings and yields 4.1%. The company has been paying dividends since 1989.

Chesapeake Utilities Corporation (CPK) is a provider of natural gas distribution services in Delaware, Maryland, and Florida. The stock has a forward price to earnings ratio of 13.3 and pays a yield of 3.5%.

For a free list of high yield natural gas utility stocks, which can be downloaded, sorted, and added to, go to WallStreetNewsNetwork.com. The list has over twenty different stocks with yields above 2%.

Disclosure: Author did not own any of the above at the time the article was written.

By Stockerblog.com

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