Updating Buckeye Partners L.P. and Ameren Corp.

Article Excerpt

BUCKEYE PARTNERS L.P. $70 (www.buckeye.com) operates 9,600 kilometres of pipelines in the U.S. Northeast and Midwest. Its network pumps gasoline, jet fuel and other petroleum products. The partnership also owns oil and gas storage terminals. Buckeye earned $548.7 million in 2016, up 25.2% from $438.4 million in 2015. The partnership recently sold $588.7 million of new units to help purchase 50% of a private firm that owns 13 oil storage terminals in Europe, the United Arab Emirates and Singapore. Buckeye paid $1.15 billion for the stake. Netherlands-based Vitol Group owns the remaining 50% of that business. Due to more units outstanding, Buckeye’s earnings per unit gained 18.2%, to $4.03 from $3.41 in 2015. The partnership has also raised its quarterly distribution by 4.2%. Starting with the February 2017 payment, investors receive $1.2375 a unit, up from $1.1875. The new annual rate of $4.95 yields a high 7.1%. Buy. AMEREN CORP. $54 (www.ameren.com) provides power and natural gas to 3.3 million clients…