Oil goes down, ETP goes down. Oil goes up, ETP goes down. Is this stagnating due to the possible interest rate hike? I'm confused. Thanks in advance for helpful answers...
jumped in again, what a deal !!. will put a low ball buy price tomorrow morning before open, see if can get a super low price put one in at 41.00 , 42.00 and 42.50 who knows maybe I will get filled at open ?. have studied and researched etp and think she will do me right in the long term.
Will add that WMB is off 20% also since the merger announcement. Too many don't like it. Also all this should not affect ETP anyway since they are the MLP, and the GP, ETE is the one doing the buying and taking on the risk of the debt and dilution. Maybe though the options houses, sell-side Big Money players, and the Market Makers themselves have taken control of ETP through options expiration at 4pm on this Friday.
Evident today that oil is not the problem: oil is way up and other MLP's and GP's are positive. Oil is not Energy Transfer's problem anyway; they transport almost purely Natural Gas. They are trying now to sign up customers for a new oil pipeline, but that is way off in the future and ET is not dependent on it. Since the horrendous announcement was made about their attempt to acquire much more debt through merger with WMB, Energy Transfer has lost 20% of its value including another 1% today because probably like "brathe" says "Not everyone (is now) signed up for this particular ride."
so how do you calculate that? im looking at their statement of cash flows and don't see how you got that ratio. full disclosure - im new to MLP's
I mean, What could go wrong?
“We’re keeping an eye on the Russian situation there, but right now again there’s really no deconfliction to do,” Ryder said, answering a question about how U.S. and anti-ISIS coalition forces and the Russian military are keeping out of each other’s way in Syria. “I think what you’re getting at is: [deconfliction] in the event there’s some type of Russian military or air activity, but again, I’m not going to speculate or talk about hypotheticals.
American boots on the ground in Syria -- like those "advisors" that got the Vietnam war going. It takes a lot of guts for the shorts of 7,7 million shares of an energy transport and refining company with a 50.7 Billion enterprise value.
Thank you very much for posting the coverage ratio. ETP's yield is very attractive. Thanks again and best of luck to you!
I believe in the most recent quarter coverage was 1:04. I know management stated that distribution would be increased for each of the next several quarters.
I can dig up the coverage ratio but I was hoping someone might know it. The MLP sector selloff has created an attractive entry point to add to existing names and buy new ones.. I have an MLP portfolio with positions that are mostly GPs and growth oriented MLPs so consequently the yield is a little lower than the sector average. I am interested in adding some new MLP names with higher yields. ETP is interesting.
And in addition the repercussions of the Williams take over. However good a deal it will be in the long term (and I have no doubt that it will work out great), in the short term there will be pain in the form of financial engineering and perhaps even dilution and indigestion as we absorb this major acquisition. We are not just going to buy this major competitor out of surplus cash flow. Not everyone signed up for this particular ride.
oil demand is really quite inflexible in the US. Worldwide the decrease from $90 to $20 resulted in an increase in usage of about 1.5%. The fear is will drilling slowing that there will be less oil going through ETPs lines because it costs more to produce oil in many areas of the US than elsewhere in the world.
Probably not if you do not hold a lot of them. The problem in an IRA is UBTI. According to the current tax code the recapture of depreciation on the sale of a MLP creates UBTI. The IRS has not attempted to collect this tax in the past and currently does not receive the data to collect, but going forward - Who knows? Will note that most CPAs are well versed in UBTI. Sorry Cranky.
Am I frustrated? Very! However; having listened to the quarterly conference call where management stated they can make good profits even with low oil prices and stated that they expect to increase our distribution for each of the next several quarters, I am holding. Hey, if ETP were selling at a higher price I would hold because of the good tax deferred distribution so why wouldn't I hold for the extremely high (9%) tax deferred distribution which ETP pay at this level?
I'm waiting for an opportunity to get in, but the stock doesn't look like it has bottomed as the prices keeps having lower highs/lows. I assume this is because of the pipeline not getting approved, fed uncertainty & oil price (I know oil price shouldn't be a big factor, but as it relates to economic activity & oil use it does). As painful as this is for longs, I think we'll have a bottom around $40-$42, or where its previous highs were before the stock went parabolic.
I've been through this with dividend paying stocks before, and my advice is to hold for the long term & collect the dividend because it will eventually pay off.
Since ETP is a MLP structure, is there negative tax consequences with holding units in a IRA account? I went to purchase shares with Fidelity, and got warning messages regarding taxes. thanks