|Bid||17.15 x 2900|
|Ask||17.15 x 2900|
|Day's Range||16.94 - 17.20|
|52 Week Range||12.80 - 19.34|
|Beta (3Y Monthly)||2.22|
|PE Ratio (TTM)||16.25|
|Earnings Date||Nov 5, 2018 - Nov 9, 2018|
|Forward Dividend & Yield||1.22 (7.17%)|
|1y Target Est||21.71|
Credit Suisse updated its ratings on several MLP and midstream stocks last week. Credit Suisse started coverage on Plains All American Pipeline (PAA), Plains GP Holdings (PAGP), Williams Companies (WMB), Energy Transfer Equity (ETE), Kinder Morgan (KMI), MPLX (MPLX), and Enterprise Products Partners (EPD) with an “outperform” rating.
Midstream stocks, including MLPs, fell in the week ending October 12. Top midstream stocks and MLPs outperformed the broader markets, which fell 4.1% for the week. The Alerian MLP Index fell 3.2% for the week. In comparison, the Energy Select Sector SPDR ETF (XLE) fell 5.4% last week. WTI crude oil futures prices fell ~4.0% for the week.
There’s no question the upcoming U.S. midterm election is one of the most significant near-term catalysts in the market. Here’s a look at what investors can expect from the Nov. 6 elections and which markets ...
The bullishness is a net positive for conservative investors who adopt more or less a buy-and-hold strategy. For those folks, they may want to consider master limited partnerships, or MLPs. Master limited partnerships are typically levered towards the energy market.
DALLAS , Oct. 11, 2018 /PRNewswire/ -- Swank Capital, LLC and Cushing® Asset Management, LP announce an upcoming interim rebalance of The Cushing ® MLP Market Cap Index (the "Index"). On August ...
DALLAS , Oct. 11, 2018 /PRNewswire/ -- Swank Capital, LLC and Cushing ® Asset Management, LP announce an upcoming interim change to the constituents of The Cushing ® 30 MLP Index (the "Index"). ...
DALLAS , Oct. 11, 2018 /PRNewswire/ -- Swank Capital, LLC and Cushing ® Asset Management, LP announce an upcoming interim change to constituents of The Cushing ® MLP High Income Index (the "Index"). ...
Royalty interest owner MLP Viper Energy Partners (VNOM) rose ~32% in the third quarter. The stock has risen ~86% year-to-date. Viper Energy Partners’ interest in the Permian Basin, which has witnessed strong activity, as well as support from sponsor Diamondback Energy (FANG), has contributed to the stock’s outperformance in 2018. Learn more in Why Viper Energy Partners Is Analysts’ Favorite Upstream Company and VNOM, BSM: Comparative Analysis of Two Mineral Interest MLPs.
Williams Companies (WMB) stock has a median analyst target price of $34.17 compared to its current market price of $27.62. The target price indicates a potential upside of more than 12% for the next 12 months. Of the 19 analysts surveyed by Reuters that track Williams Companies, seven recommended it as a “strong buy,” seven recommended it as a “buy,” five recommended it as a “hold,” and none of them recommended it as a “sell” as of October 8.
NEW YORK, Oct. 05, 2018 -- In new independent research reports released early this morning, Market Source Research released its latest key findings for all current investors,.
Energy Transfer Partners, L.P. (ETP) today announced that Institutional Shareholder Services (“ISS”) and Glass Lewis & Co., the two leading independent U.S. proxy advisory firms, have recommended that ETP unitholders vote "FOR" the proposed merger with Energy Transfer Equity, L.P. (ETE), which will be considered at the October 18, 2018 special meeting of ETP unitholders. ETP unitholders of record as of the close of business on September 10, 2018 will be entitled to vote at the meeting. As previously announced, under the terms of the merger agreement, holders of ETP common units will receive 1.28 ETE common units for each ETP common unit they own.
The Oppenheimer Steelpath MLP Select 40 Fund (MLPFX) and the Oppenheimer Steelpath MLP Income Fund (MLPDX) have generated positive YTD (year-to-date) returns of 0.5% and 1.2%, respectively. The two funds offer a yield of 8.7% and 11.1%, respectively. MLPFX and MLPDX are among the top MLP open-end funds. Both have assets under management of ~$3.5 billion.
Energy Transfer Equity (ETE) paid a distribution of $0.31 per unit in the third quarter, which shows an annualized distribution of $1.22 per unit for 2018—growth of 6% compared to last year.
With its recent strength, Energy Transfer Equity (ETE) has broken above its 50-day moving average, its near-term resistance. It’s currently trading at $18.09, ~1% and 7% above its 50-day and 200-day moving averages, respectively.
Energy Transfer Equity (ETE) stock rose nearly 4% on October 1 after crude oil futures rose ~3% on the day. Energy Transfer Equity is one of the most sensitive stocks to crude oil prices among midstream companies.
All of the analysts surveyed by Reuters covering Enterprise Products Partners (EPD) and MPLX (MPLX) rated the stocks as “buy.” About 88% of the analysts covering Energy Transfer Equity (ETE) rated it as a “buy,” while 12% rated it as a “hold.” Roughly 59% of the analysts covering Magellan Midstream Partners (MMP) rated it as a “buy.” About 58% of the analysts rated Plains All American Pipeline (PAA) as a “buy,” 38% rated it as a “hold,” and ~4% rated it as a “sell.”
Plains All American Pipeline (PAA) has risen ~14% in 2018 and outperformed its MLP peers. Enterprise Products Partners (EPD) has risen 8%. The Alerian MLP ETF (AMLP) has fallen ~3%. Crude oil prices have risen ~19% during the same period. Energy Transfer Equity (ETE) has fallen ~1%, while MPLX (MPLX) has fallen ~4% YTD (year-to-date).
The US crude oil production was 11 million barrels per day for the week ending September 14, according to data from the EIA (U.S. Energy Information Administration). Crude oil reached this level first in the week ending July 13—the highest ever level. According to the EIA, US crude oil production exceeded Saudi Arabia’s production in February for the first time in more than 20 years. In June and August, US crude oil production exceeded Russia’s production for the first time since 1999.
Before the steep fall in crude oil prices in 2014, energy MLPs were considered largely independent of crude oil prices. The midstream MLPs mainly transport and store crude oil, natural gas, and other products. Usually, they aren’t involved in selling or buying these commodities. However, the sustained low-price environment proved otherwise. Midstream MLPs were correlated to oil prices during this period.
According to Wall Street analysts, Energy Transfer Equity (ETE) stock has a median target price of $21.53—compared to its current market price of $17.40, which implies an estimated upside of ~24% over the next 12 months.
Let’s see which stock under our consideration looks strong considering the chart indicators. In this series, we’re comparing Energy Transfer Equity (ETE) and Williams Companies (WMB). Williams Companies stock is trading at $28.09, which is ~5% and 1% below its 50-day and 200-day moving average levels, respectively. The levels around $29.46 and $28.43 could act as a resistance for the stock going forward. The stock is trading in the “oversold” zone with its RSI (relative strength index) at 24.
Energy Transfer Equity (ETE) paid a distribution of $0.31 per unit for the third quarter, which represents an annualized distribution of $1.22 per unit for 2018—an increase of 6% year-over-year. In comparison, Williams Companies (WMB) paid a dividend of $0.34 per share, which implies an annualized dividend of $1.36 per share. The dividend growth is more than 13% year-over-year.
Williams Companies (WMB) is placed better in terms of leverage compared to Energy Transfer Equity (ETE). At the end of the second quarter, Williams Companies’ net debt-to-EBITDA was close to 5.9x, while Energy Transfer Equity’s net debt-to-EBITDA was 6.1x. Williams Companies had a net debt of $21.0 billion, while Energy Transfer Equity had a net debt of $44.0 billion as of June 30.
Energy Transfer Equity’s (ETE) subsidiary, Energy Transfer Partners (ETP) has notable exposure to the Permian region—the most prolific basin in the country. Energy Transfer Partners also has several expansion projects ongoing in the region. The region continues to experience strong drilling activity. Energy Transfer Equity witnessed 29% EBITDA growth during the first half of 2018—compared to the same period last year.