Enterprise Products Partners LP
An Overview of Genesis Energy’s Offshore Pipeline Segment
Until recently, Genesis Energy’s Offshore Pipeline segment owned interest in ~1200 miles of offshore pipelines spread across five pipeline systems.
Hurricane Harvey Impacted Energy MLPs
Hurricane Harvey hit the US Gulf Coast last week. The US Gulf Coast is a major destination for US refineries and energy infrastructure.
Will Kinder Morgan Stock Continue to Surge in 2017?
Kinder Morgan stock has risen 44% in the past year, as compared to Enterprise Products Partners’ 32% rise and ONEOK’s 162% rise.
Snapshot: Valuing Williams Companies compared to its peers
Enterprise Products Partners (EPD) is the largest company by market capitalization and enterprise value, or EV, among its closest peers. By market cap, Williams Companies (WMB) follows next.
ONEOK’s Natural Gas Pipelines Segment’s Volume Growth
ONEOK’s (OKE) natural gas transportation capacity contracted was 6,593 Mdth/d (thousand dekatherms per day) in 3Q17 up from 6,300 Mdth/d in 3Q16.
Why debt is now a less attractive financing source for master limited partnerships
Master limited partnerships rely highly on external capital to fund growth Master limited partnerships or MLPs are specially structured entities that must pay out most of the cash they generate to unitholders. So MLPs rely especially on external funding sources (as opposed to internally generated cash) to execute growth projects and acquisitions. Because of this […]
EPD’s 3Q16 Results: Is a Recovery in Energy Coming Soon?
On the current state of the energy industry, EPD’s CEO Jim Teague said, “We are optimistic that the energy industry has weathered the harshest part of this cycle.”
Here’s What’s Ahead for Oneok Stock in the Short Term
Oneok’s (OKE) 50-day and 200-day moving averages might act as resistance and support, respectively, for the stock in the short term.
What Could Drive Enterprise Products Partners’s Growth?
EPD has $5.3 billion of projects currently under construction that are expected to be operational by the end of 2018.
Enterprise Products Is Expected to Increase Distributions in 2015
Enterprise Products trades at a distribution yield of ~4.9%. One of the reasons for EPD’s relatively lower distribution yield might be its distribution coverage ratio.
Which Segment Drives Enterprise Products Partners’ Performance?
NGL Pipelines & Services is EPD’s largest segment. It contributed 54.0% of EPD’s EBITDA in 3Q16 and rose just 1.0% year-over-year.
What Might Cap Rising Crude Oil Prices?
The US crude oil (USO) supply includes domestic production and imports. The supply gets consumed as inputs to refineries and exports.
What Short Interest in Enterprise Products Partners Stock Means
Low short interest in EPD stock most likely indicates that not many investors expect its price to fall further in the near future.
Why Sunoco Logistics has significant plans for the Permian Basin
Sunoco Logistics Partners L.P. (SXL) is a master limited partnership (or MLP). Its Crude Oil Pipelines segment transport 4,900 miles of crude oil, primarily in Oklahoma and Texas.
ETE, EPD, KMI, and WMB: What the Current Valuations Indicate
Kinder Morgan (KMI) is currently trading at a forward EV-to-EBITDA multiple of nearly 11.4x. This is much lower than its five-year average multiple of nearly 17.4x.
What Does Institutional Investor Activity in TEP Indicate?
Tortoise Capital Advisors, Alps Advisors, and Salient Capital Advisors are the top three institutional investors in Tallgrass Energy Partners (TEP).
Are Rising Treasury Yields behind the Higher MLP Yields?
The Alerian MLP Index is trading at a yield of ~7.9%, which is ~5% higher than US ten-year Treasury yields.
Weekly Wrap-Up: Kinder Morgan Fell Marginally Last Week
Kinder Morgan (KMI) stock fell 0.3% in the week that ended on June 8.
What Analysts Recommend for ETP and ETE ahead of the 3Q17 Results
Of the analysts surveyed by Reuters, 71.0% recommend a “buy” for Energy Transfer Equity (ETE), and the remaining 29.0% of analysts recommend “hold.”
ONEOK Stock Rose Compared to the Energy Sector Last Week
ONEOK (OKE) rose 4.4% for the week ending March 31, 2017. In comparison, the Energy Select Sector SPDR ETF (XLE) rose 2%.
MLPs Have Outperformed Broader Markets So Far in 2019
Top MLP and midstream stocks have performed strongly so far in 2019. Stocks surged across the board.
Kinder Morgan Fell 1.8% Last Week—What’s Next?
Kinder Morgan (KMI) fell 1.8% last week (ended October 20), while Enterprise Products Partners (EPD) and ONEOK (OKE) fell ~4.3% and ~0.8%, respectively.
Why lower crude oil price estimates impact the midstream industry
A falling inventory indicates that WTI crude oil is moving out of the inland U.S. towards end refining markets with help from new infrastructure coming online.
Higher Permian Volumes Drove Plains All American’s 1Q18 Results
Plains All American Pipeline reported its 1Q18 results on May 8 after the market closed. The company reported 16% YoY growth in the adjusted EBITDA.
The Top 7 Analyst Favorite MLPs
Antero Midstream Partners, Viper Energy Partners, and Hoegh LNG Partners have the most “buys” among all the publicly traded limited partnerships.
UNG Mirrors Natural Gas as XOP Disappoints This Week
UNG shares trade on the New York Stock Exchange like company stock. UNG fell just 0.41% between September 18 and September 24.
Top Three MLPs for Income Investors
There’s a widespread consensus that the worst is over for the MLP sector. Savvy investors seem to be willing to give the sector a second chance.
Analyzing Trends in Top Midstream Companies’ Price Targets
Six out of the top ten midstream companies currently have a lower mean price target than they had a year ago.
MLPs Recovered Slightly amid Strong Crude Oil Gains
US crude oil rose 8.6% last week and ended at $67.4 per barrel. Geopolitical tension increased due to the crisis in Syria.
Why MLPs’ Sluggishness Continued Last Week
MLPs’ sluggishness continued last week despite strong crude oil. The Alerian MLP Index (^AMZ), which tracks the performance of 50 energy MLPs, fell 1.2% last week.
EEP on the Street: What the Analysts Are Saying
The median target price for EEP as provided by surveyed analysts is $24, which implies a 37% price return in one year from EEP’s current price of $17.48.
Highlights from Kinder Morgan’s Fourth-Quarter Earnings
Kinder Morgan reported its fourth-quarter earnings on January 16 after the markets closed. Kinder Morgan’s adjusted EPS grew ~19% YoY.
Why National Fuel Gas is investing in pipeline expansions
As we discussed previously in this series, National Fuel Gas (NFG) noted in its latest fiscal 3Q14 results that its earnings growth was driven by higher earnings in its Midstream and Upstream businesses.
Is Kinder Morgan a ‘Buy’ Ahead of Its Q1 Results?
Around 76% of Reuters-surveyed analysts have rated Kinder Morgan (KMI) as a “buy” or a “strong buy” as of April 9.
The Word on the Street: What Analysts Are Saying about Kinder Morgan
The analyst average target price for KMI for the next year is $24.8, which implies a 15% price return, as compared to KMI’s current price of $21.5.
Are Institutional Investors Bullish on ONEOK?
Institutions and strategic entities hold nearly 69.3% of ONEOK’s outstanding shares. ONEOK has 0.4 billion outstanding shares.
What Are Analysts’ Recommendations for Kinder Morgan?
Of the analysts surveyed by Reuters, ~66.7% rated Kinder Morgan (KMI) as a “buy” and ~33.3% rated it as a “hold.” None of the analysts rated it as a “sell.”
Enterprise Products Partners Outperformed Its Peers Last Week
Enterprise Products Partners (EPD) recently announced a distribution increase for 3Q17. EPD is scheduled to report its 3Q17 results on November 2, 2017.
ONEOK Stock Continues to Surge, Up 19% Year-to-Date
ONEOK (OKE) stock has continued to build upon its gains in 2018.
MLPs Rallied despite Crude Oil’s Weakness Last Week
MLPs rallied despite crude oil’s weakness last week. The Alerian MLP Index (^AMZ) rose 2.7% during the week and ended at 269.1.
Capital Projects Should Fuel Enterprise Products’ Earnings Growth
Enterprise Products Partners (EPD) spent $1.2 billion on capital projects in the first quarter.
April Cushing Inventories Move in on Capacity
If inventories at Cushing reach capacity, oil prices could tumble further. That would hurt oil producing companies such as Hess (HES), ExxonMobil (XOM), Chevron (CVX), and Apache (APA).
Kinder Morgan to Decide on the Trans Mountain Expansion
Kinder Morgan (KMI) stock fell 1.1% in the week ending May 25 and outperformed the Energy Select Sector SPDR ETF (XLE), which fell 4.5% for the week.
Energy Transfer Rose ~10% on December 26: What Indicators Suggest
Energy Transfer (ET) stock was one of the top gainers among energy midstream giants on December 26.
What Analysts Recommend for ETP and ETE ahead of Q2 Earnings
Of Wall Street analysts surveyed by Reuters, 74.0% of analysts rate ETE as a “buy” and the remaining 26.0% rate it as a “hold” as of July 28.
ETP, EEP, and WPZ: Are the Attractive Yields Worth the Risk?
ETP trades at a yield of 11.6% Energy Transfer Partners (ETP) is currently trading at a distribution yield of 11.6%. ETP’s 2Q16 distribution coverage stood at 0.91x. A coverage ratio below 1 remains a matter of concern for investors. During the 2Q16 earnings call, ETP CEO Kelcy Warren said, “But it is our intention that […]
The MLP-Treasury Yield Spread Contracted Marginally in Q3
The yield spread between the Alerian MLP Index yield and the US ten-year Treasury yield contracted to 5.0% at the end of Q3 from 5.1% at the end of Q2.
Rates inched up, but debt remains cheap for most MLP names providing cash for growth
Corporate debt rates for MLPs increased slightly over the past two weeks, but from a long-term perspective debt funding still remains extremely cheap.
An introduction to the Alerian MLP Infrastructure Index
AMZI is an index that consists of the top ~25 American energy infrastructure MLPs, which primarily engage in energy commodity transport and processing.
Why the long-term declining trend at Cushing may not continue
Crude stocks at Cushing, Oklahoma increased by 716,000 barrels to 19.6 million barrels (or MMbbls) in the week ending October 10.
MLPs Recovered Slightly in the Week Ending August 25
MLPs recovered slightly in the week ending August 25—possibly due to an overcorrection in the first three weeks of the month.
Crude Oil Prices Should Drive Plains All American’s Stock Price in 2016
The correlation between WTI prices and Plains All American’s shares has been even higher at 0.8 since the start of 2014.
Energy Transfer Partners Has Lost 2.1% in May: Can It Recover?
Recently, Energy Transfer Partners (ETP) merged with Sunoco Logistics Partners. Energy Transfer Partners has lost 2.1% since the beginning of May.
Here’s What Makes MPLX an Interesting Stock
MPLX generated total returns, including distributions, of 17% in the last year. Its total returns over five years stand at 28%.
Energy Transfer Duo Offers High Upside Potential
Energy Transfer Partners and Energy Transfer Equity are among the top midstream companies that offer high upside potentials.
KMI, EPD, ETE, and OKE: Key Midstream Rating Updates
Credit Suisse gave a “neutral” rating to Magellan Midstream Partners (MMP), ONEOK (OKE), and Sunoco (SUN).
What’s Hampering Energy Transfer’s Recent Performance?
Despite solid earnings growth in the last several quarters, Energy Transfer’s (ET) performance has failed to pick up.
Amid the Fall in Crude Oil, ONEOK Ended Positive Last Week
ONEOK (OKE) rose 0.5% during the week ending March 24, 2017. In comparison, the Energy Select Sector SPDR ETF (XLE) fell 1.8% last week.
Energy Transfer acquires Regency Energy Partners for $18 billion
On January 26, a Energy Transfer Partners (ETP) unit lost ~6.4%. A Regency Energy Partners (RGP) unit, meanwhile, gained ~5% to finish at $24.93.
How Crude Oil Prices Could Impact Energy MLPs in 2018
In this series, we’ll look at some of the key indicators that impact MLP performance in the long term.
KYN, TYG, CEM: How MLP Closed-End Funds Have Performed in 2018
The Kayne Anderson MLP/Midstream Investment Company (KYN) has generated YTD returns of -3.5%.
Week Ending October 1: UNG Disappoints, XOP a Better Bet
The United States Natural Gas ETF (UNG) tracks natural gas futures and trades on the NYSE. Notably, UNG fell by 7.53% between September 25 and October 1.
Why Frac Spreads Affect Some MLP Stocks
Companies in the natural gas processing space—many of which are MLPS—keep an eye on the fractionation or “frac” spread. Here’s why.
Why is Shell expecting to increase revenue and earnings by 2015?
Revenues from the Bengal refined pipeline operation is expected to decrease by 6% from 2013 to 2015 level.
Williams Partners Got Upgrade after Financial Repositioning
Williams Partners (WPZ) was upgraded by Raymond James from “market perform” to “strong buy” last week.
ONEOK’s 1Q18 Earnings Rose 24% Due to Higher Volumes
ONEOK (OKE) reported its 1Q18 results yesterday. The company’s adjusted EBITDA grew 24% YoY in 1Q18.
Weekly Wrap-Up: Kinder Morgan Rose 1.5% Last Week
Kinder Morgan (KMI) stock rose 1.5% for the week ending July 6. Enterprise Products Partners (EPD) ended the week marginally down.
UNG and XOP Fell in the Week Ending August 28
One safer and low-cost avenue for betting on natural gas prices is the United States Natural Gas Fund (UNG), an ETF that tracks prompt natural gas futures.
Kinder Morgan Fell 0.5% in the Week Ending June 15
Kinder Morgan (KMI) fell 0.5% in the week ending June 15. The stock outperformed Enterprise Products Partners (EPD) and ONEOK (OKE).
Inventory Gains at Cushing Slowed the Week Ending April 17
Unlike 2015, inventories in 2014 consistently fell before turning upward toward the latter part of the year.
Why Is ONEOK Outperforming Its Peers in 2018?
ONEOK (OKE) stock is up nearly 4% so far in 2018.
Why MLPs Saw a New 52-Week Low Last Week
MLPs went through some carnage last week. The Alerian MLP Index (^AMZ), which tracks the performance of 50 energy MLPs, saw a new 52-week low of 258.45.
Introducing the UBS ETRACS Alerian MLP Infrastructure ETN AMZIX
The UBS ETRACS 1x Monthly Short Alerian MLP Infrastructure Total Return Index ETN (MLPS) tracks the Alerian MLP Infrastructure Total Return Index (AMZIX).
MLPs’ Strong Earnings Growth Continued in 1Q18
Master limited partnerships or MLPs saw continued strong earnings growth in 1Q18 after a solid fourth quarter of 2017.
An investor’s key guide to the propane distribution industry
Propane is typically extracted from natural gas or separated during crude oil refining. Residential and commercial customers use propane primarily for heating and cooking purposes.
Mixed Performance for Natural Gas ETFs in Week Ended October 29
For retail investors who don’t have easy access to the futures market, there are other safer low-cost avenues for betting on natural gas prices.
Why Williams Companies bets big on long-term capital projects
Williams Companies (WMB) has $30 billion in total committed and potential capital investments in Williams Partners (or WPZ) and Access Midstream Partners (or ACMP).
Analyzing the Top MLP Closed-End Funds in 1Q18
NTG invests primarily in MLPs and their affiliates. The fund has ~$1 billion of assets under management. NTG focuses on natural gas infrastructure MLPs.
Weakness in ONEOK Continues, Stock Fell 2.8% Last Week
ONEOK (OKE) fell 2.8% in the week ending March 17, 2017. In comparison, the Energy Select Sector SPDR ETF (XLE) fell 0.3% last week.
A Quick Update on Energy Transfer Partners’ Major Projects
Energy Transfer Partners remains optimistic about its recently announced projects despite the rise in global trade tensions.
EPD, ETP, PAA, WPZ: What Do Current Valuations Indicate?
Energy Transfer Partners (ETP) and Enterprise Products Partners (EPD) are trading at forward EV-to-EBITDA multiples lower than their respective five-year historical averages.
Kinder Morgan Consolidation: What It Means for the MLP Market
On November 26, 2014, Kinder Morgan acquired all of its equity interests in Kinder Morgan Partners, El Paso, and Kinder Morgan Management.
Must-know: The assets of the Shell Midstream Partners
Zydeco is a wholly owned subsidiary of SPLC, the general partner of Shell Midstream.
Top MLP Funds Have Generated Negative Returns in 2018
The Kayne Anderson MLP Investment Company is the largest closed-end MLP fund with assets under management of more than $3 billion.
Why Martin Midstream Partners could grow with Alinda’s support
Alinda is one of the world’s largest independently owned infrastructure investment firms. It has approximately $7.8 billion in equity commitments for infrastructure investments.
UNG Mirrors Natural Gas, XOP Rises Last Week
UNG fell 1.49% between September 11 and September 17, mirroring natural gas prices throughout the week and giving similar returns at the end of our weekly cycle.
Kinder Morgan Fell 8.5% Last Week, Hit New 52-Week Low
With a 2.3% fall on Friday, March 23, Kinder Morgan (KMI) was down 8.5% for the week.
Must-know: Why the WTI discount to Brent oil closed wider
The spread between WTI and Brent Crude closed at $6.61 per barrel on May 30, compared to the spread of $6.11 per barrel for the week ending May 23, 2014.
Natural Gas Pipelines Drove Kinder Morgan’s Earnings Growth
Kinder Morgan (KMI) reported its second-quarter results on July 18 after the markets closed. The company reported an EPS of -$0.08.
Why Enterprise Products Partners is important to investors
EPD is a leading midstream service provider in the natural gas, natural gas liquids (or NGLs), crude oil, petrochemicals, and refined products sectors.
ONEOK Reports Strong Q3 Results, Beats Estimates
ONEOK reported its third-quarter results on October 30 after the markets closed. The company’s EPS of $0.75 beat the consensus estimates.
These Midstream Players Have Created Maximum Wealth for Investors
In this series, we’ll look at the historical outliers in midstream energy, which have generated massive wealth amid turbulent times.
Assessing Whether KMI Stock’s Upward Momentum Can Be Sustained
Kinder Morgan (KMI) is trading close to its 200-day moving average.
Plains All American Pipeline’s Permian assets and new projects
Plains All American Pipeline LP (PAA) is a master limited partnership that provides energy infrastructure and logistics services for crude oil, natural gas liquids (or NGLs), natural gas, and refined products.
KMI, WMB Expect Higher Capital Spending in 2017
Enterprise Products Partners plans to spend ~$2.7 billion–$3.0 billion in growth capital projects and nearly $250 million in maintenance capital in 2017. That’s flat compared to its 2016 capex.
Enterprise Products Trades 6.5% below 50-Day Moving Average
Enterprise Products Partners (EPD) is currently trading 6.5% below its 50-day moving average and 21% below its 200-day moving average. EPD stock has fallen 33% since the start of 2015.
A key overview of Enterprise Products Partners’ 2Q14 results
The company recorded $12.5 billion in total revenues for 2Q14, up 12.3% from the $11.1 billion recorded in 2Q13. The increase was primarily due to higher volumes in the crude oil marketing and NGL marketing businesses.
Week Ending October 8: UNG, Natural Gas Up, but XOP a Winner
The United States Natural Gas ETF (UNG), which tracks prompt natural gas futures, rose by 1.4% between October 2 and October 8, 2015.
How Did ETP’s Debt Level Change Last Year?
Energy Transfer Partners’ outstanding debt has more than doubled if we compare the pre-merger and post-merger periods.
ETE, PAGP, WGP, and ENLC: Analyzing MLPs’ General Partners
In this series, we’ll perform a comparative analysis of four MLPs’ general partners: Energy Transfer Equity, Plains GP Holdings, Western Gas Equity Partners, and EnLink Midstream LLC.