9 Months Later: Did Jim Cramer’s Top Dividend Pick for Retirees Deliver?

By Trey Thoelcke Published May 7, 9:15AM EDT

Quick Read

Nine months after Jim Cramer pounded the table on Energy Transfer (ET) as his favorite dividend stock for retirees, where do things stand?
While his call looks vindicated, there is one important caveat for new buyers.

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9 Months Later: Did Jim Cramer’s Top Dividend Pick for Retirees Deliver? — © Tinpixels / Getty Images

Nine months after Jim Cramer pounded the table on Energy Transfer (NYSE: ET | ET Price Prediction) as his favorite dividend stock for retirees, the results are in. As we covered in our July 2025 piece, Cramer urged income seekers to step into the midstream giant when units were trading around $17. Today, the call looks vindicated, with one important caveat for new buyers.

Energy Transfer: The Nine-Month Scorecard

Energy Transfer closed at $19.87 on May 6, 2026, a 10.5% price-only return since the original article. Add the four quarterly distributions paid since then and the total return widens further. The one-year gain stands at 25.7%, year-to-date 2026 is at 20.5%, and shares hit a fresh 52-week high of $20.67 on May 5, 2026.

The income side held up cleanly. The partnership announced a $0.3375 per unit distribution on April 27, 2026, raised from $0.335 the prior quarter and payable May 20, 2026. That extends an unbroken quarterly distribution growth streak dating back to early 2023. The current yield runs approximately 6.8% to 7.1%.

Q1 2026: The Forward Anchor

Energy Transfer reported Q1 2026 results on May 5, 2026, and the results reframed the bull case. Adjusted EBITDA reached $4.9 billion, versus $4.1 billion a year earlier, with distributable cash flow of $2.7 billion. Management raised full-year 2026 Adjusted EBITDA guidance to $18.2 billion to $18.6 billion, up roughly $750 million at the midpoint.

The investment thesis is more concrete than it was nine months ago. CFO Dylan Bramhall noted Energy Transfer “beat internal plan by ~$500 million in Q1.” Marshall McCrea framed the geopolitical setup directly: “There is a very clear redirection to the U.S. for all products, LNG, NGLs, oil, etc.” Data center contracts now span Oracle, the Nexus Hubbard AI hyperscale campus in Central Texas, and an Arkansas site. The Hugh Brinson Pipeline (1.5 Bcf per day) is on track for Q4 2026 service. Full Q1 2026 results are filed with the SEC.

The Forward Case at $19.87

The forward P/E is 13, EV/EBITDA is 9, and a beta of 0.573 still suits an income-oriented portfolio. Analyst consensus is a Moderate Buy with an average price target of $22.69. Wells Fargo has a $25 price target on the stock, citing its unique positioning to capture “demand-pull” from the AI data center build-out.

Two watch items remain. The payout ratio is elevated at approximately 110.7%, which is sustainable as long as distributable cash flow (DCF) expands, but worth monitoring. And the Twin Oaks Pipeline negligence matter is before the Third Circuit on venue questions, representing a tail risk for now. Cramer’s call worked. Under his own buy-by-the-yield discipline, the current entry point is simply less compelling than it was at $17.

About the Author Trey Thoelcke →

Trey has been an editor and author at 24/7 Wall St. for more than a decade, where he has published thousands of articles analyzing corporate earnings, dividend stocks, short interest, insider buying, private equity, and market trends. His comprehensive coverage spans the full spectrum of financial markets, from blue-chip stalwarts to emerging growth companies.

Beyond 24/7 Wall St., Trey has created and edited financial content for Benzinga and AOL's BloggingStocks, contributing additional hundreds of articles to the investment community. He previously oversaw the 24/7 Climate Insights site, managing editorial operations and content strategy, and currently oversees and creates content for My Investing News.

Trey's editorial expertise extends across multiple publishing environments. He served as production editor at Dearborn Financial Publishing and development editor at Kaplan, where he helped shape financial education materials. Earlier in his career, he worked as a writer-producer at SVE. His freelance editing portfolio includes work for prestigious clients such as Sage Publications, Rand McNally, the Institute for Supply Management, the American Library Association, Eggplant Literary Productions, and Spiegel.

Outside of financial journalism, Trey writes fiction and has been an active member of the writing community for years, overseeing a long-running critique group and moderating workshop sessions at regional conventions. He lives with his family in an old house in the Midwest.