Enterprise Products Has Outperformed Its Peers in 2018

YTD performance

So far, Enterprise Products Partners (EPD) has risen ~9% in 2018. The company has outperformed its peers in the midstream sector. Other top midstream players by market capitalization, Kinder Morgan (KMI) and Williams Companies (WMB) have fallen ~5% and ~1%, respectively, during the same period. MPLX (MPLX) has risen ~4% YTD (year-to-date). The Alerian MLP ETF (AMLP) is relatively flat, while the Energy Select Sector SPDR ETF (XLE) has risen ~3%.

Enterprise Products Has Outperformed Its Peers in 2018

The above graph compares the YTD performances of the top midstream companies. Crude oil prices have risen ~11% in 2018. Volatility in crude oil prices has a significant impact on how energy sector stocks perform.

Moving averages

Enterprise Products Partners stock is trading above its 50-day and 200-day moving averages. The company’s 50-day moving average crossed above its 200-day average in May, which is a bullish sign. The strength in Enterprise Products Partners stock might continue in the near term. Enterprise Products Partners’ 50-day average might act as a support for the stock in the near term.

Series overview

In this series, we’ll compare Enterprise Products Partners, Kinder Morgan, Williams Companies, and MPLX’s earnings growth, leverage, yield, and capital expenditure. We’ll also discuss the current valuations, institutional holdings, short interest, and analysts’ recommendations for the four stocks.

Next, we’ll compare the stocks’ distribution growth and yields.