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Midstream MLPs: Who Were the Worst Performers on June 25?

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Worst performers

Enbridge Energy Partners (EEP) was the worst performing stock among midstream MLPs (master limited partnerships) at the end of trading on Thursday, June 25. It fell 2.5% yesterday. On the same day, Enbridge Energy Partners’ general partner, Enbridge (ENB) fell by 0.53%.

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Enbridge Energy Partners

Enbridge Energy Partners is close to its 52-week low of $31.60. It fell 6.9% during the past month and 11.6% YTD (year-to-date). Enbridge Energy Partners is involved in crude oil, natural gas, and NGL (natural gas liquid) transportation and storage.

Energy Transfer Equity

Next on the list of the worst performers is Energy Transfer Equity (ETE). It fell 2.4% yesterday. At the same time, its limited partner, Energy Transfer Partners (ETP) fell 1.4%. Energy Transfer Equity’s stock fell by 7.6% since the rejection of its $53.1 billion merger proposal with Williams Companies (WMB). As a result, its YTD returns have fallen to 10.1%.

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Other worst performers

DCP Midstream Partners (DPM), Crestwood Midstream Partners (CMLP), and EnLink Midstream Partners (ENLK) were among the five worst performing stocks on Thursday, June 25. All three stocks fell ~2.2%. They came closer to their respective 52-week lows of $32.80, $11.80, and $22.70. Crestwood Midstream Partners closed at just $0.02 away from breaching its 52-week low.

DCP Midstream Partners, Crestwood Midstream Partners, and EnLink Midstream Partners have fallen by 26.4%, 21.1%, and 18.6% YTD, respectively. The stocks have lost close to one-fifth of their market value, mainly due to falling NGL prices.

NGL prices continue to fall due to a combination of strong supplies and weaker demand for propane and butane during warmer weather conditions. NGL prices are expected to stay low until the fourth quarter this year. For a detailed analysis of DCP Midstream Partners and Crestwood Midstream Partners’ recent performance, visit our Master Limited Partnerships page.

ETFs

The Alerian MLP ETF (AMLP) is comprised of 25 midstream MLPs. AMLP returned -9.1% YTD. Together, Crestwood Midstream Partners, EnLink Midstream Partners, DCP Midstream Partners, and Enbridge Partners account for ~10.97% of AMLP. For context, the upstream energy company heavy SPDR S&P Oil & Gas Exploration & Production ETF (XOP) has returned 0.8% YTD.

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