Petroleum products distributor
Global Partners L.P.
) raised its fourth quarter 2012 cash distribution to 57 cents
per unit ($2.28 per unit annualized), representing an increase of
approximately 7% sequentially and 14% year over year.
Global Partners' announced distribution boost is in sync with its
goal of delivering disciplined growth to unitholders. The
partnership boasts a consistent and improving financial policy
with high distribution coverage. Global Partners' new
distribution is payable on Feb 14 to unitholders of record as on
Feb 5, 2013.
Waltham, Massachusetts-based Global Partners L.P. is a publicly
traded master limited partnership that distributes refined
petroleum products to customers in the northeastern U.S. It
possesses one of the largest networks of refined petroleum
terminals in the region. Additionally, Global Partners supplies
fuel to approximately 800 retail gas stations in nine
Global Partners - which entered into a five-year oil
transportation and logistics agreement with refiner
) earlier this month - currently retains a Zacks Rank #1 (Strong
Buy), implying that it is expected to significantly outperform
the broader U.S. equity market over the next one to three months.
It's not too often one can find a stock with big earnings growth
and a high yield. But in the case of Global Partners, an
estimated long-term earnings growth projection of 47% coalesces
with an 8% distribution. Presently trading near its 52-week high,
units of this #1 Ranked partnership have climbed nearly 20%
during the past month. With accretive acquisitions, incremental
growth projects and a PEG ratio of less than 1.0, Global Partners
looks like a solid aggressive play with a potential for further
In addition to Global Partners, there are certain other
downstream energy operators like
Northern Tier Energy L.P.
CVR Energy Inc.
) that offer value and are worth buying now. Both these firms
sport a Zacks Rank #1 (Strong Buy).
CVR ENERGY INC (CVI): Free Stock Analysis
GLOBAL PARTNERS (GLP): Free Stock Analysis
NORTHERN TIER (NTI): Free Stock Analysis
PHILLIPS 66 (PSX): Free Stock Analysis Report
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