Here Are My Top 2 High-Yield Energy Stocks to Buy Now

By Geoffrey Seiler – Jan 9, 2026 at 4:00PM ESTKey PointsOil and gas pipeline Energy Transfer offers a high yield and has set its sights on strong growth.Fellow midstream player MPLX has been growing its distribution and is in good financial shape.We’re bullish on these 10 stocks ›NYSE: ETEnergy TransferMarket Cap$58BToday's Changeangle-down(0.41%) $0.07Current Price$16.96Price as of January 9, 2026 at 4:00 PM ETEnergy Transfer and MPLX are two top MLPs to buy right now.When it comes to investing, one size does not fit all. While growth stocks are all the rage, many investors are looking for stocks that can provide a steady stream of income through dividends. One of the best places to find high-yielding stocks with increasing distributions is in the midstream master limited partnership (MLP) space. These companies tend to act more like energy toll roads, and thus aren't as swayed by movements in energy prices. Let's look at two high-yield MLPs to consider buying today. Image source: Getty Images.

Energy Transfer With a yield of 8.2%, Energy Transfer (ET +0.41%) is a high-yield stock with a solid growth outlook. Its current distribution is supported by a solid balance sheet and a high distribution coverage ratio, which was nearly 1.7x last quarter based on its distributable cash flow (operating cash flow minus maintenance capital expenditures). Meanwhile, around 90% of its business comes from fee-based operations, and it's said it has the largest percentage of take-or-pay contracts in its history, meaning it gets paid regardless of whether a customer uses its services or not. It expects to raise its distribution at a 3% to 5% yearly clip moving forward. At the same time, the company is in growth mode, with plans for growth capex of between $5 billion to $5.5 billion in 2026. It's looking to achieve mid-teen returns on its projects, all of which are backed by long-term commitments. The company is well-positioned in the Permian Basin, which gives it access to some of the cheapest natural gas in the U.S. ExpandNYSE: ETEnergy TransferToday's Change(0.41%) $0.07Current Price$16.96Key Data PointsMarket Cap$58BDay's Range$16.81 - $17.0252wk Range$14.60 - $21.45Volume13MAvg Vol15MGross Margin12.85%Dividend Yield7.79% Two of its biggest projects are taking natural gas away from the Permian to markets with high demand. One pipeline will transport natural gas to the Arizona and New Mexico markets, while the other will head in the opposite direction and help support growing energy demand in Texas. The company also has projects working directly with artificial intelligence (AI) data center builders and operators to supply natural gas to them.Advertisement MPLX Another great MLP with a high yield is MPLX (MPLX +0.86%). The stock carries an 8.3% yield, but what has been even more impressive is how quickly the company has been raising its distribution. For the second year in a row, it increased its payout by 12.5%, and it was the fourth year in a row that it raised it by more than 10%. Best of all, the company thinks it can continue to raise its distribution at a similar pace over the next couple of years. The company operates in two segments: Natural gas and NGL (natural gas liquids) services, and crude oil and products logistics. Its crude operations are a very steady business supported by its parent, refinery Marathon Petroleum, while its natural gas and NGL business is its growth driver. Meanwhile, MPLX has recently been working to upgrade its assets and improve its position in the Permian Basin. It acquired the remaining 55% interest it didn't own in the BANGL pipeline system, which transports NGLs from the Permian Basin to fractionation markets along the Gulf Coast, and it bought a sour gas treatment business in the Delaware Basin (which is part of the Permian) for $2.4 billion. It also divested some legacy assets in the Rockies for proceeds of $1 million. ExpandNYSE: MPLXMPLXToday's Change(0.86%) $0.45Current Price$53.00Key Data PointsMarket Cap$53BDay's Range$52.55 - $53.3252wk Range$44.60 - $56.26Volume1.1MAvg Vol1.6MGross Margin44.67%Dividend Yield7.51% The company is also progressing with a number of organic growth projects. This includes expanding the BANGL pipeline and its Titan treating complex, as well as adding more fractionators along the Gulf Coast and participating in joint venture projects. MPLX is in good financial shape, with low leverage of just 3.7x at the end of the third quarter. Its distribution is also well covered, with a coverage ratio of 1.3x last quarter. Read NextJan 7, 2026 •By Matt DiLalloEnergy Transfer Expects to Stomp on the Gas in 2026Jan 6, 2026 •By Geoffrey Seiler2 Dirt Cheap Stocks to Buy With $1,000 Right NowDec 31, 2025 •By Keith SpeightsIs Energy Transfer Stock a Buy Now?Dec 29, 2025 •By Matt DiLalloWant to Make Over $1,000 of Passive Income in 2026? Invest $12,500 in These 5 Ultra-High-Yielding Dividend Stocks.Dec 29, 2025 •By Geoffrey SeilerThe Smartest Pipeline Stocks to Buy With $1,000 Right NowDec 28, 2025 •By Todd ShriberEnergy Transfer: The 8%-Yielding Dividend Stock to OwnAbout the AuthorGeoffrey Seiler is a contributing Motley Fool stock market analyst covering technology, consumer goods, healthcare, energy, and materials stocks. Prior to The Motley Fool, Geoffrey was a senior equity analyst at Raging Capital Management, a $600 million long-short hedge fund. He holds a bachelor’s degree in history from Haverford College.TMFFindProfitStocks MentionedEnergy TransferNYSE: ET$16.96 (+0.00%) $+0.07Marathon PetroleumNYSE: MPC$176.17 (0.01%) $0.90MPLXNYSE: MPLX$53.00 (+0.01%) $+0.45*Average returns of all recommendations since inception. Cost basis and return based on previous market day close.Advertisement