Energy Transfer LP (ET) is well positioned to outperform the market, as it exhibits above-average growth in financials.
The average of price targets set by Wall Street analysts indicates a potential upside of 28.1% in Energy Transfer LP (ET). While the effectiveness of this highly sought-after metric is questionable, the positive trend in earnings estimate revisions might translate into an upside in the stock.
When deciding whether to buy, sell, or hold a stock, investors often rely on analyst recommendations. Media reports about rating changes by these brokerage-firm-employed (or sell-side) analysts often influence a stock's price, but are they really important?
Energy Transfer (ET -0.03%) will likely be of most interest to income-focused investors given its attractive 7.3% distribution yield. The distribution has been increased every quarter for nearly four years.
Energy Transfer's balance sheet is sound, debt leverage is well-managed, and the cash distribution is well-covered, supporting a stable investment-grade rating. Growth projects in data centers and NGL exports are likely to provide multi-year DCF upside. The Hugh Brinson Pipeline project affords the company another major Permian Basin gateway. My current fair value estimate implies ~25% upside from current prices; In addition, units offer a 7.2% cash distribution yield.
Zacks.com users have recently been watching Energy Transfer LP (ET) quite a bit. Thus, it is worth knowing the facts that could determine the stock's prospects.
Energy Transfer LP's resilience amid trade war and market uncertainties underscores its solid fundamentals and high distribution yield, making it a compelling buy opportunity. Management's confident guidance, diverse revenue streams, and strategic growth options, including LNG exports and data center projects, bolster ET's bullish outlook. ET's fee-based contractual nature ensures long-term cash flow visibility, with CapEx needs expected to decrease markedly by 2026, enhancing distributable cash flow.
Energy Transfer is undervalued relative to peers, offering a discounted valuation and a 7%+ distribution yield. The company is positioned for long-term growth, driven by secular trends such as rising U.S. energy demand, growth in U.S. pipeline and storage needs, and sustained natural gas momentum. Expansion opportunities lie ahead, with ET well-positioned to take full advantage. Current short-term headwinds may provide an attractive entry point as long-term tailwinds remain firmly in place.
Energy Transfer LP NYSE: ET delivered an as-expected earnings report on May 6. The midstream energy company delivered earnings per share of 36 cents on revenue of $21.02 billion.
Markets can be wildly irrational, and I believe that has created an immensely attractive buying opportunity with Energy Transfer. The midstream giant posted a new partnership record and solid adjusted EBITDA growth in the first quarter. Energy Transfer remains a financially vibrant business.
Energy Transfer LP 9.250% FXD PFD I offers a high yield of 7.4%. The security is non-callable, providing stability. We examine the yield relative to comparative fixed income securities.
ET's first-quarter earnings increase, while revenues decline year over year. Total costs and expenses decrease during the period.