Energy Transfer LP (ET) closed at $19.9 in the latest trading session, marking a -1.73% move from the prior day.
Energy Transfer L.P. Series I 9.25% Perpetual Preferred Units (ETPRI) are the company's sole exchange-traded preferred after redemptions. ETPRI offers a fixed $0.8444 annual distribution, yielding around 8% post-rate panic. Tax treatment is nuanced: IRA holders must limit to 1,184 shares to avoid UTBI, while regular accounts receive ordinary income with potential offsets.
Energy Transfer LP (ET) has been one of the stocks most watched by Zacks.com users lately. So, it is worth exploring what lies ahead for the stock.
The deal consists of $1.95 billion in cash and about 33.3 million newly issued Energy Transfer common units.
Energy Transfer remains a 'Buy' as its infrastructure investments are now translating into visible, recurring cash flow. Q2 results showed broad-based EBITDA and DCF growth, with all segments contributing and volumes—especially NGLs—trending higher. Major projects have entered commercial service, backed by long-term contracts, supporting higher distributions and a robust earnings base.
Energy Transfer is delivering record earnings and volumes, prompting raised guidance and a bullish outlook for future growth. ET's diversified midstream operations and strong commodity environment support optimism for increased distribution growth, likely announced with Q4 earnings. Leverage remains below management targets, with manageable debt maturities and attractive long-term refinancing rates, reducing financial risk.
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Energy Transfer LP (ET) closed at $20.1 in the latest trading session, marking a +1.67% move from the prior day.
Energy Transfer got whipped up in a recent selloff as mounting headwinds turned into a perfect storm last week. Project Jupiter's snags and permitting delays are becoming front and center, as the force majeure notification has deepened execution delays. However, the market hasn't ignored such risks. ET's valuation, at 8.4x forward EBITDA and a forward distribution yield below 7%, is pressured by surging long-term bond yields. De-rating has already occurred.
ET has seen a strong YTD with volume momentum across commodities, aided by the Iran war and US datacenter demand. Full-year guidance appears conservative despite the Q2 raise, we forecast FY26 EBITDA ~6% above guidance and expect another upgrade with Q3 results. ET's 7% dividend yield remains sector-leading. Higher EBITDA should drive distribution growth upside beyond consensus even as growth spending remains high.
The diversified midstream energy partnership has seen its distributable cash flow soar, its earnings jump, revenue rise 79%, and its dividend yield hit above 6%.
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