2 High-Yield Energy Dividend Stocks to Buy in September With Dividends You Can Count On

Energy Transfer reported Q2 2026 revenue of $34.3B, up 78% year over year and above estimates, while raising annual revenue guidance partly on stronger NGL demand; its quarterly distribution yield is 6.32%. Kinder Morgan generated Q2 revenue of $4.48B, up 10% year over year and above estimates, has a $10B backlog, and remains up 13.9% year to date despite recent momentum fading. Both pipeline operators are positioned to benefit from data-center power demand and LNG growth through contracted, fee-based infrastructure revenue, though weaker-than-expected energy demand and regulatory changes remain key risks.

Analysis

The investable distinction is not headline revenue growth but incremental distributable cash flow per unit of capacity. ET has greater NGL, crude and export-chain optionality, so a sustained Gulf Coast LNG/petrochemical upcycle can lift volumes and utilization beyond contracted gas demand; KMI is the cleaner domestic gas-throughput expression but offers less upside if power demand becomes the dominant growth vector. ET's higher payout is therefore compensation for more complex leverage, capital-allocation and commodity-sensitive exposure rather than a pure yield premium.

The data-center narrative is vulnerable to a timing mismatch: contracted power demand does not immediately translate into pipeline volumes while generation, interconnects and transmission are delayed. Over the next 1-3 months, investor attention should shift from announced customer agreements to disclosed minimum-volume commitments, project in-service dates and backlog conversion; commodity-linked revenue should be discounted unless EBITDA and DCF guidance rise with it. A slower LNG-build cycle or lower gas-fired generation utilization would disproportionately challenge KMI's multiple, while weaker NGL export spreads would be the more direct downside to ET.

Contrarian view: broad midstream may already be pricing AI power demand before physical load appears, but the market is likely underweighting the scarcity value of Gulf Coast liquids and export connectivity. TRGP and WMB are cleaner comparator checks: if they outperform ET while gas and NGL volumes accelerate, ET's discount is likely governance/balance-sheet related rather than temporary. Conversely, if ET's distribution coverage weakens or growth capex rises without a commensurate EBITDA uplift, the high yield becomes a valuation trap rather than downside protection.

Key Decisions for Investors

• Prefer a 6-12 month long ET / short KMI pair, sized beta-neutral: ET offers more NGL and export upside while KMI is more exposed to disappointment in domestic gas-power timing. Reassess if ET fails to raise DCF/distribution coverage guidance or if KMI converts backlog into contracted in-service projects faster than expected.
• For a cleaner gas-infrastructure allocation, maintain WMB as the quality benchmark rather than adding KMI after strength; add only on evidence that incremental data-center load is backed by executed transportation contracts, not customer announcements. The key watch item is quarterly contracted capacity and EBITDA guidance, which the article does not provide.
• Avoid using ET's reported revenue growth as an earnings catalyst. Require confirmation of EBITDA, DCF per unit and net-debt-to-EBITDA improvement at the next results before increasing exposure; a leverage increase alongside higher growth capex would falsify the bullish income-plus-growth thesis.
• Use TRGP as the higher-beta NGL/export alternative if Gulf Coast fractionation and export spreads remain firm over the next 3-6 months; pair with a smaller ET position for yield. Reduce the trade if NGL pricing/export spreads compress materially or permitting delays push major Gulf Coast projects beyond contracted start dates.