2 high-yielding stocks that could benefit from this cold winter

Since the Energy Select Sector is down about 16% over the past month, it may be a good time to shop around for oversold equities in the oil and gas sector. Natural gas prices are still at record highs despite investors being concerned about a recession slowing down the economy.

The October 22 futures of Natural Gas are around $6.796 per thousand cubic feet MCF If there is a cold winter, especially in Europe, the global supply of natural gas will be in a worse crunch than now, as Russia has stopped the inflows of oil and gas to European countries.

If there is a shortage of natural gas, here are two high-yielding stocks that could benefit from this.

DT Midstream Inc. DTM is offering a dividend yield of 5.05% or $2.56 per share annually, making quarterly payments with an inconsistent track record of increasing its dividends.

DT Midstream operates two segments that include pipelines and gathering, as it generates revenue from the pipeline, storage and gathering systems, most of which are located in Midwestern U.S. Eastern Canada, Northeastern U.S. and the Gulf Coast.

DT Midstream reaffirms 2022 adjusted EBITDA guidance of $770 to $810 million, and is forecasting adjusted EBITDA guidance of $810 to $850 million in 2023.

With an inconsistent track record of increasing dividends, the company has a recurring track record of 70% or $1.72 per share a year.

DCP Midstream is a gathering and processor partnership with major asset bases in the Permian, Scoop Stack, Eagle Ford and DJ Basin, and its general partner is a joint venture between Phillips 66 PSX and Enbridge ENB.

DCP Midstream reduced absolute debt by $200 million and closed the second quarter with 2.9 times leverage. The firm generated $254 million and $501 million of excess cash flow for the three and six months ended June 30, 2022, after fully funding distributions and growth capital.