Unique High-Dividend Stock Yields Over 10%, Strong Growth, Estimates Rising

With the clocks moving forward, spring may finally be on the way, bringing some warmer weather. But no so much up in the Arctic Circle, where harsh conditions can make shipping all but impossible for many months out of the year. This stock yields 10.5% with dividend coverage of 1.37x for the past four quarters. Revenue grew 12%, EBITDA 19%, and distributable cash flow was 18% in Q4 '16. It has received multiple analyst upward earnings estimate revisions over the past month. It has unique assets, long-term contracts and industry tailwinds supporting its distributions.

That's where Dynagas Partners LP (NYSE:DLNG) and its general partner/sponsor, Dynagas GP LLC come in - DLNG and its sponsor jointly own 81% of the world's ice class 1A LNG carrier fleet. As an extension of the ability to operate in ice-bound areas, DLNG is the only company in the world with the current capability and experience in transiting LNG carriers via the Northern Sea route. This unique niche affords DLNG the opportunity to lock in long-term contracts at favorable rates - its six-vessel fleet has a current backlog of $1.6B, with an average remaining contract life of 10.7 years. 86% of its fleet is contracted through 2017 and 75% contracted through 2018 and 2019 to strong counterparties, such as Statoil, (NYSE:STO), Royal Dutch Shell (NYSE:RDS.A) (NYSE:RDS.B) and Gazprom (OTCQX:GZPFY).

Source: Seeking Alpha

Related Articles:
- 13 Dividend Stocks and 3 ETFs To Balance Your Asset Allocation
- 4 Communications Services Stocks With Increasing Dividends
- 5 Stocks With Room To Grow Their Dividend
- 9 Dividend Stocks Ignoring The 4% Rule
- 10 Stocks That Have Paid Dividends For Over 100 Years