12 Best Stocks to Buy Now for Passive Income

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6. Energy Transfer LP (NYSE:ET)

Number of Hedge Fund Holders: 36

Energy Transfer LP (NYSE:ET) is a major player in North America’s midstream energy sector, running over 140,000 miles of pipelines that move natural gas, natural gas liquids (NGLs), and crude oil.

Energy Transfer LP (NYSE:ET) is seeing strong momentum, recently posting record levels in gathered volumes, crude oil and NGL transport, and NGL exports. It’s also pouring capital into projects aimed at fueling future growth, including a 1.5 billion cubic feet per day expansion of the Transwestern Pipeline.

A particularly promising growth avenue comes from data centers. The AI boom is driving massive electricity needs, and as of Q2 2025, Energy Transfer LP (NYSE:ET) had roughly 200 requests for data center connections across 15 states. It also struck a deal with CloudBurst to supply natural gas to its Central Texas data centers.

In addition, Energy Transfer LP (NYSE:ET) is a solid dividend company and is one of the best stocks for passive income. The company has raised its dividends for 14 consecutive quarters. Currently, it offers a quarterly dividend of $0.33 per share and has a dividend yield of 7.71%, as of September 22.

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