is about time ya know...I wrote a post "WTF is wrong with this company" a while back, It was just out of fustruation ya know, I have owned the company for a long time and it was in a trading range for many months driving me crazy, lol..,.finally!!! I can see 55.00 this year..
This is a business that fires on all cylinders every day.
Wall Street is fickle and decides what is in and what is out on a neverending basis.
If you have held straight thru and ignored all the CNBC guests who have suggested that MLPs are topping when they know darn well it isn't true.... then you were the loser. These guests talk their book and they missed the MLP rally of a lifetime trying to talk them down so they can get their investors in at lower prices.
Today's action is simply frustration on many of those hedge funds and other investors being forced in because they cannot risk waiting any longer for a down market to take a position.
Myself and two other long time posters bought a predessor company in 1994. EPD lagged the other MLPs significantly when they started their organic program with the resultant delay of about 18 months from raising money to getting DCF. They slowed expansion in 2008/9 with the crunch and then went crazy about 2 years ago. The billions they are spending did not hit the bottom line until the middle of this year.
A couple of important things to remember - EPD will show lowed DCF later this year because of increased expenditures for expansion in 2012 - their comment from the CCall. The significant gains from the asset sales are not likely to be repeated. The only significant asset EPD has for sale is 4M units of ETE.
I hope you are correct on $55, but think with the distribution increase being looked at in I think March or April you are not likely to get huge payout increases. EPD intends to try and finance mostly internally and reduce the need to issue units. If they get to say about .68 for YE 2012 I would be pleasantly happy. That would equate to .0075 next quarter, .01 in Q2, .015 in Q3 and Q4.
No idea what that supports in a stock price. All I know is that EPD said that processing margins went from fantastic to excellent recently. Any blips should be temporary, but would effect DCF in the short term.