In this article, we will be looking at the 11 best Pipeline and MLP Stocks to buy in 2026.
Pipeline and Master Limited Partnership (MLP) stocks represent the midstream energy companies that operate natural-gas and petroleum transport, storage, and processing networks under long-term, fee-based commercial structures. In late 2025, growth in U.S. LNG activity and natural-gas market conditions have created a favorable backdrop for Pipeline and MLP Stocks in 2026.
Accordingly, a Reuters report published on January 28, 2026, stated that U.S. crude oil and natural gas producers had successfully begun restoring output after a severe winter storm. Domestic crude production saw a peak loss of 2 million barrels per day (bpd) on January 24, 2026, but recovered significantly in the following mid-week, controlling the losses to around 600,000 bpd. In the Permian Basin, which accounts for half of U.S. crude output, production was down by approximately 250,000 bpd, or 4% of the shale play’s total capacity.
This rapid recovery directly benefits midstream energy companies and positions investors to benefit from the stocks. But which ones to choose? We have curated a list of Pipeline and MLP stocks with potential to benefit from the growing energy sector, based on their upside potential and hedge fund activity.
Stay tuned as we outline the 11 best Pipeline and MLP Stocks to buy in 2026, including the top 5 names that could merit closer consideration from investors.
Our Methodology
To compile our list of 11 best Pipeline and MLP Stocks to buy in 2026, we first screened Pipeline and MLP stocks using the Finviz stock screener. From this list, we selected stocks with positive analyst sentiment and a positive average upside potential. We then shortlisted the top 11 stocks based on upside potential and ranked them in ascending order accordingly. Additionally, we included data on hedge fund holdings in these companies, based on Q3 2025 data from Insider Monkey’s database, to provide further insight into investor interest. All the pricing data are as of market close on February 4, 2026.
Why are we interested in the stocks that hedge funds pile into? The reason is simple: our research has shown that we can outperform the market by imitating the top stock picks of the best hedge funds. Our quarterly newsletter’s strategy selects 14 small-cap and large-cap stocks every quarter and has returned 427.7% since May 2014, beating its benchmark by 264 percentage points (see more details here).
11. Western Midstream Partners, LP (NYSE:WES)
Upside Potential: 2.98%
Number of Hedge Funds: 4
Western Midstream Partners, LP (NYSE:WES) is one of the 11 best Pipeline and MLP stocks to buy in 2026.
RBC Capital’s Elvira Scotto reiterated the Hold rating on Western Midstream Partners, LP (NYSE:WES) and maintained a price target of $42 on January 28, 2026. In contrast, Morgan Stanley maintained its Sell rating on the stock. The firm’s analyst kept a price target of $41 on Western Midstream Partners, LP (NYSE:WES).
Separately, Western Midstream Partners, LP (NYSE:WES) declared its quarterly cash distribution of $0.91 per unit for the fourth quarter of 2025, matching the previous quarter’s payout. Shareholders as of February 2, 2026, will be eligible for the payout on February 13, 2026.
Before this, the company also announced renegotiations on key natural gas contracts in the Delaware Basin with Occidental and ConocoPhillips. Western Midstream Partners, LP (NYSE:WES) transitions from legacy cost-of-service structures to simplified, fixed-fee arrangements. In exchange for these fee concessions, Occidental will transfer 15.3 million WES common units, approximately valued at $610 million, back to the partnership for redemption. With this move, the company intends to solidify its revenue through the late 2030s and diversify its customer base.
Founded in 2007, Western Midstream Partners, LP (NYSE:WES) is a master limited partnership that primarily handles the gathering, processing, and transportation of natural gas, crude oil, and NGLs across major U.S. basins, leveraging fee-based contracts. It is headquartered in Texas.
10. The Williams Companies, Inc. (NYSE:WMB)
Upside Potential: 3.12%
Number of Hedge Funds: 73
The Williams Companies, Inc. (NYSE:WMB) is one of the 11 best Pipeline and MLP Stocks to buy in 2026.
On January 28, 2026, Morgan Stanley’s analyst Robert Kad reiterated a Buy rating on The Williams Companies, Inc. (NYSE:WMB). The analyst maintained a price target of $83. Previously, the stock’s price target was raised by Scotiabank’s Brandon Bingham, who increased it from $61 to $66 while keeping a Sector Perform rating, on January 16, 2026. The analyst noted increased opportunities for Energy infrastructure stocks, driven by strong power demand and LNG exports.
In another development, the PJM Board of Managers, on January 16, 2026, proposed a 2026 plan to integrate data centers and large load customers. The plan involves a series of steps to be taken to address grid reliability and affordability through several proposals. It introduces a connect and manage framework for large loads and a backstop generation procurement process. Along with The Williams Companies, Inc. (NYSE:WMB), several other companies are identified as potential critical infrastructure partners in bridging the gap between surging data center demand and grid reliability.
A major Fortune 500 energy infrastructure company, The Williams Companies, Inc. (NYSE:WMB), founded in 1908, handles approximately one-third of the natural gas used in the U.S. The Oklahoma-based company specializes in gathering, processing, and interstate transportation of natural gas.
9. Enterprise Products Partners L.P. (NYSE:EPD)
Upside Potential: 4.98%
Number of Hedge Funds: 26
Enterprise Products Partners L.P. (NYSE:EPD) is one of the 11 best Pipeline and MLP Stocks to buy in 2026.
Mixed sentiment for Enterprise Products Partners L.P. (NYSE:EPD) was noted among analysts. On January 28, 2026, RBC Capital’s Elvira Scotto maintained the Buy rating on the stock, while keeping a price target of $35. Contrary to this rating, Morgan Stanley’s Robert Kad maintained a Sell rating on Enterprise Products Partners L.P. (NYSE:EPD) with a $34 price target on January 28, 2026.
Earlier on January 16, 2026, Scotiabank maintained a Sector Perform rating on Enterprise Products Partners L.P. (NYSE:EPD) while raising the stock’s price target from $34 to $35. Scotiabank, while updating price targets for Energy Infrastructure stocks under its coverage, pointed out the increasing power demand alongside significant LNG exports, which are driving long-term earning opportunities upward.
According to CNN, 57% of 23 analysts have assigned a Buy rating to Enterprise Products Partners L.P. (NYSE:EPD), with a 1-year median price target of 4.98%.
The Texas-based MLP, Enterprise Products Partners L.P. (NYSE:EPD), was founded in 1968 and offers services for natural gas, NGLs, crude oil, and petrochemicals through an extensive network of pipelines, storage, and processing assets.
8. MPLX LP (NYSE:MPLX)
Upside Potential: 4.00%
Number of Hedge Funds: 12
MPLX LP (NYSE:MPLX) is one of the 11 best Pipeline and MLP Stocks to buy in 2026.
Analysts have mixed opinions on the stock. RBC Capital maintained the Buy rating on MPLX LP (NYSE:MPLX) with a price target of $60 on January 28, 2026. On the same day, Morgan Stanley’s Robert Kad released a report, maintaining a Hold on the stock while keeping a price target of $62. Prior to this, on January 23, 2026, Barclays analyst Theresa Chen maintained a Buy rating on MPLX LP (NYSE:MPLX) with a $55 price target.
It is also worth noting that, earlier last month, on January 5, 2026, Raymond James downgraded MPLX LP (NYSE:MPLX)’s rating from Outperform to Market Perform. As the firm recalibrated ratings for the midstream supplier group heading into 2026, analyst Justin Jenkins noted that midstream stocks performed well in 2025 and are entering 2026 with momentum. Justin noted that investors’ focus has shifted to execution, with stock preferences based on the company’s ability to turn favorable industry trends into actual cash flow.
Founded in 2012, MPLX LP (NYSE:MPLX) is a diversified master limited partnership formed by Marathon Petroleum Corporation. It owns and operates midstream energy infrastructure and logistics assets across the United States, from its headquarters located in Ohio.
7. ONEOK, Inc. (NYSE:OKE)
Upside Potential: 5.12%
Number of Hedge Funds: 42
ONEOK, Inc. (NYSE:OKE) is one of the 11 best Pipeline and MLP Stocks to buy in 2026.
Morgan Stanley analyst Robert Kad lowered the price target on ONEOK, Inc. (NYSE:OKE) from $107 to $104 on January 28, 2026. The firm has kept an Overweight rating on the shares. The update on the stock is part of Morgan Stanley’s review of the North American Midstream & Renewable Energy Infrastructure stocks covered by the firm. Morgan Stanley also noted in its update that the energy sector has performed better in the S&P index owing to favorable commodity prices.
Slightly contradicting Robert Kad’s rating update, JPMorgan analyst Jeremy Tonet downgraded the rating on ONEOK, Inc. (NYSE:OKE) from Overweight to Neutral on January 27, 2026. The price target on the stocks was also reduced from $87 to $83. According to the analyst, ONEOK, Inc. (NYSE:OKE) did not meet its EBITDA guidance amid soft macro fundamentals. The firm also noted that with an improvement in oil prices, sentiment on the stock may turn more positive.
Incorporated in 1906, the Oklahoma-based premier energy infrastructure company, ONEOK, Inc. (NYSE:OKE) manages an extensive 60,000-mile pipeline network. It provides gathering, processing, and transportation services for natural gas, NGLs, refined products, and crude oil across North America.
6. Kinder Morgan, Inc. (NYSE:KMI)
Upside Potential: 6.17%
Number of Hedge Funds: 65
Kinder Morgan, Inc. (NYSE:KMI) is one of the 11 best Pipeline and MLP Stocks to buy in 2026.
On January 28, 2026, Freedom Capital released a report upgrading Kinder Morgan, Inc. (NYSE:KMI)’s rating from Sell to Hold, with a price target of $32. The firm noted that the company’s stock was trading near fair value, with limited upside potential. However, the firm also confirms anticipating the rising seasonal gas demand to contribute to a strong Q1 2026 for Kinder Morgan, Inc. (NYSE:KMI).
Earlier, on January 26, 2026, Julien Dumoulin Smith, an analyst from Jefferies, reiterated a Hold rating on the stock, while keeping a price target of $31.
Separately, on January 21, 2026, Kinder Morgan, Inc. (NYSE:KMI) reported its Q4 2025 earnings, highlighting 10% year-over-year growth in adjusted EBITDA and a 22% growth in adjusted EPS, with natural gas expansions and the Outrigger acquisition as the primary contributors. Management noted that it is too early to quantify EBITDA displacement for the Western Gateway project, pending the open season results. Meanwhile, regarding the Double H conversion, management confirmed Phase 1 is well-contracted with a Q1/Q2 2026 launch, despite Bakken macro concerns.
Kinder Morgan, Inc. (NYSE:KMI) is a North American energy infrastructure company operating an extensive network of approximately 82,000 miles of pipelines and 139 terminals. The Texas-based company, founded in 1997, specializes in the transportation and storage of natural gas, crude oil, and CO2.
5. Plains All American Pipeline, L.P. (NASDAQ:PAA)
Upside Potential: 7.09%
Number of Hedge Funds: 7
Plains All American Pipeline, L.P. (NASDAQ:PAA) is one of the 11 best Pipeline and MLP Stocks to buy in 2026.
On January 28, 2026, RBC Capital and Morgan Stanley maintained their Hold ratings on Plains All American Pipeline, L.P. (NASDAQ:PAA). While RBC Capital maintained a $20 price target, Morgan Stanley kept its at $21. On the same day, BofA released a contrasting update, downgrading the stock’s rating from Neutral to Underperform, while keeping a price target of $19.
On a separate note, Mizuho revised the price target on Plains All American Pipeline, L.P. (NASDAQ:PAA), raising it from $22 to $23 and keeping an Outperform rating on January 23, 2026. The firm has a positive view of Plains All American Pipeline, L.P.’s (NASDAQ:PAA) transition towards a pure-crude portfolio. Mizuho acknowledges the stock’s potential exposure to the soft Permian crude market. At the same time, the analyst believes that the strengthened crude platform offers opportunities capable of offsetting the exposure.
Amid these mixed sentiments, the company’s 1-year median target from 20 analysts, as per CNN, stands at 7.09%.
Founded in 1998, Plains All American Pipeline, L.P. (NASDAQ:PAA) is a midstream master limited partnership specializing in the transportation, storage, and marketing of crude oil and NGLs. The Texas-based company operates a massive infrastructure network across the United States and Canada.
4. Genesis Energy, L.P. (NYSE:GEL)
Upside Potential: 10.59%
Number of Hedge Funds: 5
Genesis Energy, L.P. (NYSE:GEL) is one of the 11 best Pipeline and MLP Stocks to buy in 2026.
Genesis Energy, L.P.’s (NYSE:GEL) Buy rating was reiterated by RBC Capital on January 28, 2026, following the firm’s update to its outlook for the U.S. midstream industry for Q4. Elvira Scotto at RBC Capital maintained the stock’s price target at $20. Genesis Energy, L.P. (NYSE:GEL)’s previous rating update, before RBC’s, was from Wells Fargo. Michael Blum of Wells Fargo maintained the Buy rating on the stock on December 16, 2025, with a price target of $19.
Genesis Energy, L.P. (NYSE:GEL) moved into the fourth quarter of 2025, anticipating that its Marine Transportation segment will recover and make stable-to-modest contributions from 2026 onward. The Marine Transportation Segment is engaged in the maritime transportation of primarily refined petroleum products. CNN shows a consensus Buy rating from 3 analysts for Genesis Energy, L.P. (NYSE:GEL). These 3 analysts anticipate an average 1-year upside of 10.59% in the stock price.
Based in Texas, Genesis Energy, L.P. (NYSE:GEL) is a master limited partnership that provides diversified midstream services. Incorporated in 1996, the company operates through segments including offshore pipeline transportation, sodium minerals and sulfur services, and marine transportation, primarily serving the Gulf Coast and Gulf of Mexico.
3. Sunoco LP (NYSE:SUN)
Upside Potential: 12.05%
Number of Hedge Funds: 5
Sunoco LP (NYSE:SUN) is one of the 11 best Pipeline and MLP Stocks to buy in 2026.
On January 28, 2026, RBC Capital’s Elvira Scotto maintained a Buy rating on Sunoco LP (NYSE:SUN). The price target on the stock remains at $64. The firm released the update as part of a broader review of the U.S. Midstream industry’s fourth quarter.
Separately, the company announced its fifth consecutive quarterly increase, raising the quarterly distribution by 1.15c per common unit. This brings the cash distribution for the quarter ended December 2025 to 93.17c per common unit, a 1.25% increase from the previous quarter, September 2025.
Prior to this update on unit holder distributions, the partnership also released its primary financial objectives for the new year. On January 6, 2026, Sunoco LP (NYSE:SUN) announced its full-year 2026 adjusted EBITDA guidance in the range of $3.1 billion to $3.3 billion. The synergies from the acquisition of Parkland Corporation form a key assumption to the 2026 EBITDA guidance as the company anticipates approximately $125 million in total Parkland synergies.
Founded in 1886, Sunoco LP (NYSE:SUN) is one of North America’s largest independent distributors of motor fuels. The Texas-based company operates a large network of pipelines and refined-product terminals, providing wholesale fuel distribution and energy infrastructure services globally.
2. Energy Transfer LP (NYSE:ET)
Upside Potential: 20.32%
Number of Hedge Funds: 35
Energy Transfer LP (NYSE:ET) is one of the 11 best Pipeline and MLP Stocks to buy in 2026.
On January 28, 2026, RBC Capital lowered its price target on Energy Transfer LP (NYSE:ET) from $22 to $21 while maintaining an Outperform rating on the shares. The update was part of RBC’s broader research note previewing the fourth quarter for the U.S. Midstream industry. RBC Capital noted underperformance in stocks focused on natural gas compared to those riding the AI wave. However, the analyst also expressed confidence in the consistent growth of natural gas sector stocks. At the same time, Morgan Stanley released a report reiterating its Hold rating on Energy Transfer LP (NYSE:ET) on January 28, 2026. The firm maintains a $19 price target on the stock.
Separately, before these rating updates, Energy Transfer LP (NYSE:ET) announced an increase in its quarterly cash distribution on January 27, 2026. For the fourth quarter ended December 2025, the company announced a cash distribution of 33.5c per share, a 3% increase from Q4 2024. Unitholders as of February 6, 2026, will receive the payment on February 19, 2026.
Energy Transfer LP (NYSE:ET), founded in 1996, manages one of the largest energy portfolios in North America. With headquarters in Texas, the company operates more than 130,000 miles of pipelines for the transportation and storage of natural gas, crude oil, and NGLs.
1. Cheniere Energy, Inc. (NYSE:LNG)
Upside Potential: 29.36%
Number of Hedge Funds: 76
Cheniere Energy, Inc. (NYSE:LNG) is one of the 11 best Pipeline and MLP Stocks to buy in 2026.
On January 28, 2026, RBC Capital lowered its price target on Cheniere Energy, Inc. (NYSE:LNG) from $282 to $271 while keeping the Outperform rating. During the update, RBC expressed confidence in overall natural gas growth in 2026, even though the AI bubble beat the sector’s performance in Q4 2025.
Previously, on January 25, 2026, Jefferies also updated the stocks’ price target, reducing it from $290 to $251. Its analyst, Sam Burwell, maintained the Buy rating on the stock. According to the analyst, the firm acknowledges the likelihood of future market volatility but remains confident in Cheniere Energy, Inc. (NYSE:LNG)’s long-term potential. At the same time, Sam pointed to lower long-term capacity and softer marketing margins as reasons for the cut in the stock’s price target.
Earlier this month, Scotiabank also raised its price target on the stock from $257 to $266 while maintaining an Outperform rating. Scotiabank expressed optimistic views regarding the opportunities in the sector, driven by increasing power demands as well as growing LNG export volumes.
Texas-based company, Cheniere Energy, Inc. (NYSE:LNG) is one of the leading U.S. producers and exporters of liquefied natural gas. Founded in 1996, the company operates major liquefaction terminals at Sabine Pass and Corpus Christi, connecting domestic natural gas to global markets through long-term contracts.
While we acknowledge the potential of LNG to grow, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an AI stock that is more promising than LNG and that has 100x upside potential, check out our report about this cheapest AI stock.
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