I checked ETP's 2nd quarter cash flow statement and it tells me that ETP has substantial IDR requirements ($538 in, $489 out [to partners]). Clearly ETP is a candidate for acquisition by ETE, if for nothing else, to reallocate cash distributions into future expansion through relinquishment of its MLP status. In my view, it all all boils down to cost of capital, and if you have to go out on the open market to raise capital for expansion purposes, that money is just too pricey and will #$%$ growth going forward.
ete is in a different position than kmi cause ete is an mlp as well as a GP. It doesn't suffer from the high tax rate that KMI does from the pricey IDRs. ETE has also deferrred a bunch of the IDRs to allow etp and others to absorb the assets and grow.
More consolidation of the assets at the etp, rgp sxl level would be cool.
If ETP follows KMI's lead, which made me a lot of money 2 weeks ago, there won't be an ETP anymore, it'll be just ETE. I did however, up my position in ETP last week, with some of the proceeds from selling all my KMI. ETP is now my 2nd largest holding, (pretty far) behind the LINE/LNCO combo. BBEP is a close 3rd. ETP is a solid company, making solid moves, with a bright future.
If ETP decides to relinquish it's MLP status for C-Corp entity, following Kinder Morgan's template, they will dramatically lower their cost of capital. I would, for one, add to my shares if that happens.
I bought at $42 too. I knew that living caricature had been regularly calling ETP the WORST COMPANY IN MY PORTFOLIO. It meant very little to me. The reason I'm here in the ETP message area now, is I'm considering upping my position, and wanted to see some thoughts on it. Cramer's BUY is not a plus.
When I bought at $42 he was saying sell sell sell. So if he is now saying buy buy buy at $57 then I would sell this thing. Make sense?
Go to the National Association of Publically traded Partnerships and read their primer on MLPs 101. you should have read it BEFORE you bought. That said. Filing taxes using a K-1 and TTax for example only takes a few minutes. The only big suggestion is do not sell part of your uints. Selling part of them makes tax filing much more complicated.
I have also read we have aliens living in our cities. Would love to know your source of information. The only big thing going right now is buying Susser and then ETP can indeed sell Susser off along with the Sunoco stores and make money. Susser's distribution business fits ETPs existing businesses. Getting rid of retail simplifies ETP.
as I have recently read.
Yes, like my previous post suggested, the author said how etp could simplify things by consolidating, but said how things were actually gonna get more complicated.
With 2 more units, they are going to have to split up assets.
Perhaps till its all said and done, each etp unit will own about a foot of pipeline.
Don't know what I did wrong. Fidelity posted today at 54.4255. Anybody else get a discount drip posted?
Please post cost per share here to 4 decimal places.
my kinder was in KMI and KMR so I'm a happy camper. In fact I put on an arb trade, selling all my kmi bot kmr and started shorting kmi.
I use specific identification for the lots I sell so if I sold today's drip lot, the gain, if any, would be peanuts.
In any event, I hope ETP doesn't pull a KMP deal, which just kills my 2014 tax plan. I planned to die with both to get the step-up in basis. Half that plan has been shattered by Kinder.
Well, I can't resist a same-day 5% profit. I already know exactly how many shares I will get even though Fidelity won't post them to my account until next week. I could sell the drip shares today and pocket 2.80 per share vs yesterday's close. I wish I could make 5% same-day on all my trades. If I could, I'd be sitting on my 300 ft yacht instead of posting here, so I take the gimmees when they are offered.
lol your like clock work!!!
I'm stopping my etp company drip. getting to the point where its better to reinvest the distribution $$ elsewhere cause the relative price of etp\ete is high, been looking at easy low hanging fruit and bottom picking in other MLPs. such as KMR/KMI arbitrage, arp, qre ....