Is Ultra-High-Yield Energy Transfer a Buy Now?

Energy Transfer offers an attractive 6.3% dividend yield and appears to be on a better trajectory with steady 3-5% annual distribution growth. However, its troubled past—including a failed 2006 Williams acquisition attempt and a 2020 dividend cut during the COVID downturn—may give conservative investors pause. While riskier than peer Enterprise Products Partners, Energy Transfer could appeal to aggressive income investors willing to overlook its history.