Record Earnings And A 10% Yield On Qualified Dividends - Buy This Niche MLP On The Dip (No K-1)

When does an LP not act like an LP? When it issues a 1099 at tax time, so you can avoid the complications of a K-1. The yield is 10.32%, with record 1.46x coverage in Q3 '17. These are qualified dividends - no K-1 at tax time. The price just dipped over 12.5% due to a secondary offering. The stock is only 2% above its 52-week low, and distribution coverage will remain strong due to new assets contributing to earnings.

KNOT Offshore Partners LP (KNOP) owns and operates shuttle tankers under long-term charters in the North Sea and Brazil. The company provides crude oil loading, transportation, and storage services under time charters and bareboat charters. KNOT Offshore Partners GP LLC serves as the general partner of the company, and Knutsen NYK Offshore Tankers AS is their sponsor. The company was founded in 2013 and is headquartered in Aberdeen, UK.

Source: Seeking Alpha

Related Articles:
- 6 Higher-Yielding Consumer Stocks With A History of Rising Dividends
- Are Defense Stocks Good Defensive Stocks?
- 10 Stocks That Have Paid Uninterrupted Dividends Since 1895
- Who is David Dodd and Why Should We Listen to Him
- International Securities For A Diversified Income Portfolio