Spectra Energy Partners LP

India might place a digital tax on big tech companies. Taxing big tech companies is a good way for governments to increase their revenues.

Cabot Oil & Gas has provided third-quarter production guidance of 2.1 billion–2.2 billion cubic feet per day.

Golar LNG Partners was the top MLP loss last week. Golar LNG Partners fell 24.1%. The company has lost 33.6% since the beginning of this year.

Spectra Energy Partners’ average target price of $37.1 implies ~21% upside potential from the current price levels.

Teekay Offshore Partners (TOO) was the top MLP loss in the week ending May 18. Teekay Offshore Partners fell 4.2%.

TC PipeLines doesn’t believe the FERC’s policy change will have a material impact on its natural gas pipeline rates.

Boardwalk Pipeline Partners, a midstream MLP mainly involved in natural gas and natural gas liquids transportation, saw a new all-time low recently.

Dominion Midstream Energy Partners (DM) and Spectra Energy Partners (SEP) were among the top three MLPs losses last week.

On March 9–16, TC Pipelines, Enbridge Energy Partners, Dominion Energy Midstream Partners, and Spectra Energy Partners were the top energy losers.

MLPs with heavy exposure to Interstate Pipelines lost the most last week. TC PipeLines (TCP) recorded the highest losses.

The revised FERC tax ruling will likely have a negative impact on interstate pipeline operators’ earnings.

MLPs had a bad Thursday after the FERC (Federal Energy Regulatory Commission) revised its income tax policy for MLPs.

CVR Partners (UAN) got an upgrade from Cowen and Company last week. CVR raised UAN to “outperform,” which is equivalent to a “buy.”

Based on its recent quarter distribution, Williams Partners is trading at a distribution yield of 6.5%.

CrossAmerica Partners announced an adjusted EBITDA of $28.6 million in 4Q17—compared to $27.2 million in 4Q16.

Harvest Fund Advisors and CIBC Atlantic Trust Private Wealth Management added major positions in Plains All American Pipeline during the fourth quarter.

The number of institutional holders in Williams Partners (WPZ), the midstream MLP subsidiary of Williams Companies (WMB), increased to 355 by the end of the fourth quarter compared to 340 in the previous quarter.

Spectra Energy Partners reported operating revenue of -$138 million in 4Q17.

EQT Midstream Partners posted a strong 18.0% YoY (year-over-year) rise in its EBITDA during the most recent quarter.

The Alerian MLP ETF (AMLP) fell 5.6%, the least among our list of energy ETFs in the week ended February 2, 2018.

Williams Partners (WPZ) has been one of the best-performing energy stocks since the start of this year. WPZ, which is the midstream MLP subsidiary of Williams Companies (WMB), has gained 11.4% in the first nine trading sessions of the year.

Earnings in 3Q17 In 3Q17, Spectra Energy Partners (SEP), which is mainly involved in natural gas and NGL (natural gas liquid) transportation and storage, posted strong 10.4% and 18.1% YoY revenue and EBITDA (earnings before interest, tax, depreciation, and amortization) growth, respectively. Moreover, SEP, which is now owned by Enbridge (ENB), beat its 3Q17 EBITDA estimate […]

EnLink Midstream LLC (ENLC), the GP (general partner) of EnLink Midstream Partners (ENLK), was raised by UBS to a “buy.”

Neuberger Berman and Tortoise Capital Advisors unloaded major positions in Spectra Energy Partners (SEP), the MLP now owned by Enbridge (ENB), in 2Q17.

Boardwalk Pipeline Partners’ distribution has remained flat at $0.20 per unit since its distribution cut.

Boardwalk Pipeline Partners (BWP) expects to spend $1.1 billion on expansion projects during the 2017–2019 period.

Drilling activity in the Marcellus region has remained resilient despite the weakness in natural gas prices.

MLPs have seen a series of major sell-offs due to significant weakness in crude oil prices. The Alerian MLP ETF (AMLP) has fallen 7.5% since the beginning of June 2017.

Teekay LNG (TGP) stock has risen 55.5% in the past year as of April 4. TGP is the Alerian MLP ETF (AMLP) constituent with the highest implied volatility.

Teekay LNG Partners (TGP) stock has risen 37.9% in the past year as of March 20, 2017.

According to the recent rigs report published by Baker Hughes (BHI), the region’s rig count had risen to 41 as of March 10, 2017, compared to its all-time low of 21 in August 2016.

On February 17, 2017, Energy Transfer Equity (ETE) had an implied volatility of 41.6%, the highest among the midstream companies that make up the Alerian MLP ETF (AMLP).

On January 27, Enbridge Energy Partners announced its financial outlook and strategic update. Its implied volatility rose 34.5%, while its stock fell 17.6%.

While NGL Energy Partners rose the most among midstream stocks with high implied volatility in the past five days, EnLink Midstream (ENLC) lost the most.

On January 23, EnLink Midstream had an implied volatility of 40.1%—the highest among the midstream companies in the Alerian MLP ETF (AMLP).

On January 13, 2017, NGL Energy Partners (NGL) had an implied volatility of 39.6%—the highest among midstream companies that make up AMLP.

NGL Energy Partners (NGL) has risen 127.9% in the last year, which is the highest among high implied volatility midstream stocks.

As we saw in the previous article, Energy Transfer Equity (ETE) had the highest implied volatility among the midstream companies that are part of the Alerian MLP ETF (AMLP).

Columbia Pipeline Partners (CPPL) had the lowest implied volatility among all of the midstream companies that are part of AMLP as of October 24, 2016.

Boardwalk Pipeline Partners (BWP) has the lowest distribution yield of 2.4% among the selected peers.

On September 19, 2016, Teekay LNG Partners’s (TGP) implied volatility rose 6.8% on a year-to-date basis, and it fell 5.3% in the last five days.

On September 6, 2016, Enbridge (ENB) and Spectra Energy (SE) announced a stock-for-stock merger agreement, which values Spectra Energy common stock at $28 billion.

Spectra Energy’s (SE) Texas Eastern Transmission system connects Texas and the Gulf Coast with markets in the northeastern United States.

Of the analysts surveyed by Bloomberg, 39% rate Spectra Energy (SE) as a “buy,” and 55.5% rate the stock as a “hold.” Only 5.5% rate it as a “sell.”

The Alerian MLP ETF (AMLP) was trading at a yield of 8.8% at the end of the week ending July 22, 2016. The yield fell marginally compared to the previous week.

Spectra Energy (SE) has risen 27% since the start of 2016. Will this improvement last?

BWP has returned 26.6% since the beginning of 2016. Spectra Energy Partners, Cone Midstream Partners, and TC Pipelines have returned 4.4%, 44.4%, and 10.5%.

SEP’s 4Q15 EBITDA growth mainly came from expansion projects in its natural gas transmission business. These projects should continue to contribute to the segment’s EBITDA in 1Q16.

In this part of the series, we’ll look at what Wall Street analysts recommend for Kinder Morgan (KMI).

Magellan Midstream Partners (MMP) is currently trading 17% below its 52-week high and 30% above its 52-week low. On a YTD (year-to-date) basis, the stock has risen 4.4%.

On March 3, 2016, Magellan Midstream Partners’ (MMP) 20-day moving average was at $63.62—1% below its 100-day moving average.

Large-cap midstream companies are trading 29% below their respective 100-day moving averages as of February 12, 2016.

Analysts’ consensus estimates suggest an impressive 69% upside for midstream companies—compared to 44% upside for large-cap upstream companies.

Midstream companies are trading well below their 20-day moving averages except for Kinder Morgan and Spectra Energy Partners.

Large-cap midstream companies are trading 23.4% below their respective 100-day moving averages. Kinder Morgan trades 30% below its 100-day moving average.

The midstream Kinder Morgan trades 39% below its 100-day moving average. During the last rate hike in December 2015, KMI traded in the range of $15 to $16.

Kinder Morgan (KMI) and Williams Companies (WMB) are trading 40% and 46.7%, respectively, below their 100-day moving averages.

As of January 15, midstream companies’ stocks showed strong resistance. On average, midstream companies are trading 30% below the 100-day averages.

Kinder Morgan Energy Partners and Williams Companies were trading 48% and 62%, respectively, below their 100-day moving averages as of January 13, 2016.

As of January 12, the 100-day moving averages of many midstream companies showed strong resistance, although many were trading below that metric.

In fiscal 3Q15, the gross profit of frontline midstream operator Williams Companies (WMB) fell 28.6% on a YoY (year-over-year) basis.

The total debt for Williams Companies (WMB) and Energy Transfer Equity (ETE) grew by 87% and 32%, respectively, on a YoY (year-over-year) basis in fiscal 3Q15.

Spectra Energy Partners trades at a forward distribution yield of ~5.7%. This is lower compared to its five-year average forward distribution yield of 6.2%.

Spectra Energy Partners’ debt-to-equity ratio has remained below 1 over the last two years. A ratio of below 1 is considered pretty conservative for MLPs.

Spectra Energy Partners manages its business through its US Transmission and Liquids segments. Its US Transmission segment contributes nearly 85% of EBITDA.

Spectra Energy Partners’ distributable cash-flows for the nine months ended September 30, 2015, are $945 million.

Spectra Energy Partners crossed its 50-day moving average on December 21, 2015, when the lifting of a ban on US oil exports sent most energy MLPs up.

In fiscal 3Q15, the price-to-cash flows per share for Plains All American Pipeline (PAA) and Williams Partners (WPZ) were 4x and 5x, respectively.

In fiscal 3Q15, the gross profit of frontline midstream operator Williams Companies (WMB) fell 28.6% on a YoY basis. Williams Companies’ sales grew by 11.3%.

SE carries out operations through four segments: Spectra Energy Partners, Distribution, Western Canada Transmission & Processing, and Field Services.

The 3Q15 consensus revenue estimate for Kinder Morgan was $3.8 billion, while the company’s actual revenue stood at $3.7 billion, a miss of 2.0%.

Kinder Morgan reported its 3Q15 earnings on October 21, 2015. Its 3Q15 revenue fell to $3.7 billion from $4.3 billion in the third quarter of last year.

Enbridge Energy Partners’ natural gas assets are primarily located in Texas and Oklahoma, and are owned by Midcoast Energy Partners (MEP).

Spectra Energy Partners declared a distribution per unit of $0.62 in a press release published on October 19. This is a 1.3% rise compared to 2Q15.

Wall Street analysts have increased WPZ’s 3Q15 EBITDA estimates despite the company’s significant misses in recent quarters.

Williams Partners (WPZ) is expected to release its 3Q15 earnings on October 29, 2015. The company has generated total returns of -34.4% since the start of this year.

On October 1, Enterprise Products declared a 1.30% quarter-over-quarter rise in its distributions to $0.385 per unit—a rise for the 45th quarter in a row.

EPD’s revenue estimate for 3Q15 The consensus revenue estimate for Enterprise Products Partners (EPD) for the third quarter of 2015 is $9.1 billion. EPD missed revenue estimates by 20% in the second quarter of 2015. On the other hand, peers Spectra Energy Partners (SEP) and Energy Transfer Partners (ETP) beat 2Q15 revenue estimates by 1.2% […]

According to Wall Street analysts’ estimates, Kinder Morgan’s dividend is expected to grow 3.7% quarter-over-quarter in 3Q15 and ~15% year-over-year.

Wall Street analysts’ 3Q15 consensus EPS estimate for Kinder Morgan (KMI) is ~$0.186, similar to the ~$0.188 they estimated in the previous quarter.

Kinder Morgan’s 2Q15 revenue estimate was ~$4.0 billion while the 3Q15 estimate is ~$3.8 billion, a decrease of ~4.8%.

Kinder Morgan is the largest midstream energy company in the United States. The company has generated a total return of -22.9% since the beginning of this year.

World Point Terminals (WPT) was the worst performer among midstream MLPs at the end of trading on Friday, October 2, falling 1.92%.

Energy Transfer Corporation would be taxed as corporation for federal tax purposes. Holders of ETC shares would receive an IRS Form 1099 rather than a Schedule K-1.

Energy Transfer Equity’s (ETE) 2Q15 distributable cash flow rose to $335 million from $218 million in 2Q14. This is a YoY (year-over-year) increase of 53.60%.

AMLP holds midstream MLPs whose earnings are typically linked to their transported volumes of energy products.

Cone Midstream Partners (CNNX) was the worst performer among midstream MLPs at the end of trading on Friday, August 28. It fell 0.61%.

American Midstream Partners (AMID) was the top gainer among midstream MLPs at the end of trading on Tuesday, August 25. It rose 11.53% yesterday.

At a broader level, ~50% of analysts surveyed by Bloomberg rate Williams Partners a “buy” and the remaining ~50% rate it a “hold.”

After a 20.28% miss in 1Q15, Williams Partners met its 2Q15 revenue estimates. The 2Q15 consensus estimate was ~$1.831 billion.

Williams Partners’ 2Q15 pro forma revenue rose to $1.830 billion from $1.616 billion in the second quarter of the previous year—a YoY rise of ~13.24%.

Spectra Energy Partners (SEP) was the best performer among midstream MLPs at the end of trading on Wednesday, August 5. It rose 1.54%.

ETP’s 1Q15 EBITDA estimate was $1,208.4 million and its EBITDA was $905 million, a ~25.1 % miss.

ETP has missed revenue estimates in seven out of the last 12 quarters. After a ~19.6% miss in 4Q14, it again missed its 1Q15 revenue estimate by a huge margin—a ~29.1% miss.

Enterprise Products Partners’ NGL Pipelines & Services segment’s EBITDA declined by 11% year-over-year in 1Q15, primarily because of lower sales margins and natural gas processing margins.

Crestwood Midstream (CMLP) investors don’t seem satisfied with the expected distribution growth. CMLP stock 5.81% the day after the merger announcement and 11.6% on May 26.

The Terminal Facilities segment provides crude oil, refined products, and NGL storage and distribution services. It acquires and markets refined products and NGLs.

MLPs normally pay out all the available cash to the unit holders in the form of quarterly cash distribution. They hold only the maintenance capital expenditure.

There are various types of contracts in energy MLPs that each have their own advantages and disadvantages.

Having a C-Corp as a parent company helps the MLP grow when there is fierce competition for new acquisitions and when new projects are difficult to build.