While last month was turbulent for the energy sector as a whole, some light points within the industry managed to emerge – and these names offer attractive dividends. The energy sector of the S&P 500 has a drop of almost 14% for April, languidly languid the drop in the price of oil. US crude crude oil contracts landed almost 19% last month, while Brent Crude, the international oil index, slipped more than 15%. Recession fears and surplus concerns have fueled the slide for oil prices, OPEC + agreeing to increase the production of 410,000 barrels per day in June. But even if the energy sector suffered in 2025, it remains attractive, Savita Subramanian, head of American actions and quantitative strategy in Bank of America, said in a note last week, when his team improved the group in the overhaul of the weight of the market. “S&P energy is different from this time: (management) remuneration is aligned not on production objectives but on cash yield-dividends are sacro-sacrosing,” she said, adding that energy companies should be largely exempt from prices and that their yield in free cash flow is “much higher than 6%”. “If stagflation is the basic case, energy is more likely to surpass than underperformity,” wrote Subramanian. In April, certain corners of the energy sector managed to avoid the worst declines: median and downstream companies – better known as pipelines and refiners. Consider that the Global MLP & Energy Infrastructure ETF (MLPX) dropped 5.7% in April, while the ETF of Vaneck oil refiners (CRAK) dropped by 3.5%. Crak Ytd Mountain Vaneck Oil Refiners ETF in 2025 also managed to hold on in 2025, with MLPX dropped less than 1%and increase more than 4%, even if the energy sector as a whole is down more than 3%. “Upstream – exploration and production – were smoked and in the middle – the pipelines have been relatively better resisted,” said Stephen Kolan, director of investments among the integrated partners of Waltham, Mass. “With raw material prices, exploration and production are most sensitive to these prices.” Pipelines are better isolated from this pressure because they are volume companies – they transport and store oil and gas – while refiners are about to benefit from seasonal advantages at the start of the summer driving season, he said. Attractive dividends “It is conventionally defined as nothing more than. He noted that dividends help to smooth volatile movements in stocks. Some of pipeline companies are structured as main limited partnerships, which is part of the reason why they can offer attractive dividend yields. Although these partnerships are not subject to federal taxes Limited partners – Investors – are the grip of distributed income taxes. Income received. “It is good to obtain a big dividend, but if you get the K-1 late, you will probably have to deposit your late taxes,” said Blancato. He highlighted the partners of Enterprise products. The shares are down approximately 2% in 2025 and have a dividend yield of 7%. Well liked that the name is well liked at Wall Street, with 15 of the 20 analysts the purchase note or strong targets of purchase and consensual prices suggesting more than 21% up, according to LSEG. Mizuho's analyst, Gabriel Moreen, remained with his outperformance note on Enterprise at the end of April, noting that even if he published a first “weak” first quarter, he also shared “reassuring updates on the themes” “We have found that he encourages that management highlighted the prospects for the growth of the associated permien, even if the brut production (oil) Entering maintenance mode, “he wrote. The analyst added that the company still anticipates an improvement in cash flows “with a figure half-chiffon” in 2026. Blancato also likes the west of the West, formerly known as Western gas, which pays a dividend yield of 9.9%. Actions fell by almost 4% in 2025. Most analysts covering the name rate it holds, but the consensus price objectives provide for an increase of 10%, by LSEG. Even if these energy actions offer solid dividends – limited partnerships in particular – investors should use them sparingly and understand that they may see the volatility of the shares, said Blancato. “Consider this as a way to complete a basic dividend strategy,” he said. “Hold obligations, high -quality dividends payers. He is the sweetener in your coffee.”
A corner producing energy market income resists well
