Teekay LNG Partners: Top-Performing LNG Carrier Stock in 2017

Teekay LNG Partners (TGP) was the best-performing stock in 2017 among the LNG carrier companies. It reported a YTD (year-to-date) return of 36.6% on December 20, 2017.

Teekay LNG Partners has outperformed the shipping ETF and the broad equity market indexes. Since December 30, 2016, the Guggenheim Shipping ETF (SEA) has risen 0.87%. On December 20, 2017, the Dow Jones Industrial Average (DIA) rose 25.2%, and the SPDR S&P 500 ETF (SPY) rose 19.5% during the same period. Teekay LNG Partners stock rose to a 52-week high of $20.35 on December 19, 2017.

Teekay LNG Partners is an independent owner and operator of LNG carriers. It transports LNG, LPG, and crude oil. The company works under long-term fee-based charter contracts. The company fully or partially owns 50 LNG carriers, 30 LPG/multigas carriers, and five conventional tankers.

Teekay LNG Partners is an MLP (master limited partnership) formed by Teekay Corporation (TK). To learn about analyst recommendations for TGP, please read Market Realists’ Teekay Tankers: Analyst Recommendations in December.  

MLPs are popular among income investors, as they generally offer tax advantages and high dividend yields. On December 20, 2017, Teekay LNG Partners had a dividend yield of ~2.8%. Following are the dividend yields for other LNG carrier companies:

• Golar LNG Partners (GMLP): ~10.1%
• Hoegh LNG Partners (HMLP): ~9.6%
• Dynagas LNG Partners (DLNG): ~14.4%
• GasLog Partners (GLOP): ~8.9%

In the next article, we’ll analyze the second-ranked stock in 2017 among the LNG carrier companies.