Shares of Energy Transfer LP (NYSE:ET – Get Free Report) rose 1.3% on Friday . The company traded as high as $21.10 and last traded at $21.0230. Approximately 6,926,091 shares were traded during mid-day trading, a decline of 48% from the average daily volume of 13,423,073 shares. The stock had previously closed at $20.76.
Key Energy Transfer News
Here are the key news stories impacting Energy Transfer this week:
- Positive Sentiment: Income appeal remains a key support. An investor analysis argues that Energy Transfer’s distribution yield, now near 6.5%, remains attractive and that the payout appears dependable, reinforcing ET’s appeal as a high-income midstream investment. Energy Transfer’s Yield Just Climbed Near 6.5%. Here’s Why I’m Not Worried About the Payout.
- Positive Sentiment: AI-related power demand could create growth opportunities. Alpha Wealth Funds highlighted ET’s positioning to benefit from the expected surge in electricity consumption from artificial-intelligence infrastructure, potentially increasing demand for natural gas and related energy services. Energy Transfer Positions to Capitalize on the AI Power Surge
- Positive Sentiment: Analyst and insider signals are favorable. Truist Financial forecast strong potential price appreciation, while separate coverage said ET shares benefited from insider buying activity. These signals may strengthen investor confidence, although they do not guarantee future performance. Truist Financial Forecasts Strong Price Appreciation for Energy Transfer Stock Energy Transfer Stock Price Up on Insider Buying Activity
- Neutral Sentiment: Natural-gas prices moved higher. Warmer-weather forecasts helped lift natural-gas prices, which could improve industry sentiment. However, ET’s diversified, largely fee-based midstream model may limit the direct effect of commodity-price changes. Nat-Gas Prices Close Higher on Warm Forecasts
- Negative Sentiment: Zacks downgraded ET from “strong buy” to “hold.” The rating change is a modest headwind and may encourage some investors to take profits after the stock’s recent momentum. Zacks.com
Analyst Ratings Changes
ET has been the subject of a number of recent research reports. Raymond James Financial reiterated a “strong-buy” rating on shares of Energy Transfer in a research note on Wednesday, May 6th. UBS Group restated a “buy” rating on shares of Energy Transfer in a research report on Tuesday, May 12th. Scotiabank restated an “outperform” rating on shares of Energy Transfer in a report on Tuesday, May 12th. Jefferies Financial Group restated a “buy” rating on shares of Energy Transfer in a report on Wednesday, August 5th. Finally, TD Cowen reiterated a “buy” rating and issued a $25.00 price objective (up from $24.00) on shares of Energy Transfer in a research report on Monday, August 10th. One equities research analyst has rated the stock with a Strong Buy rating, twelve have issued a Buy rating and two have assigned a Hold rating to the company. According to MarketBeat.com, the stock presently has a consensus rating of “Moderate Buy” and an average price target of $23.92.
Energy Transfer Price Performance
The company has a fifty day moving average price of $19.76 and a two-hundred day moving average price of $19.32. The firm has a market capitalization of $72.39 billion, a PE ratio of 14.30, a P/E/G ratio of 2.00 and a beta of 0.55. The company has a current ratio of 1.16, a quick ratio of 0.94 and a debt-to-equity ratio of 1.45.
Energy Transfer (NYSE:ET – Get Free Report) last issued its quarterly earnings data on Tuesday, August 4th. The pipeline company reported $0.59 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.38 by $0.21. The company had revenue of $34.33 billion for the quarter, compared to the consensus estimate of $27.71 billion. Energy Transfer had a net margin of 4.87% and a return on equity of 11.55%. Energy Transfer’s revenue for the quarter was up 78.4% on a year-over-year basis. During the same period last year, the firm posted $0.32 EPS. Sell-side analysts forecast that Energy Transfer LP will post 1.63 earnings per share for the current year.
Energy Transfer Increases Dividend
The company also recently disclosed a quarterly dividend, which will be paid on Wednesday, August 19th. Shareholders of record on Friday, August 7th will be paid a $0.34 dividend. The ex-dividend date of this dividend is Friday, August 7th. This represents a $1.36 annualized dividend and a yield of 6.5%. This is an increase from Energy Transfer’s previous quarterly dividend of $0.34. Energy Transfer’s dividend payout ratio is presently 92.52%.
Insider Transactions at Energy Transfer
In other news, Director James Richard Perry purchased 12,359 shares of the business’s stock in a transaction that occurred on Friday, August 7th. The stock was purchased at an average cost of $20.23 per share, with a total value of $250,022.57. Following the completion of the acquisition, the director directly owned 208,046 shares of the company’s stock, valued at approximately $4,208,770.58. This trade represents a 6.32% increase in their position. The transaction was disclosed in a filing with the SEC, which is accessible through this hyperlink. 3.28% of the stock is owned by corporate insiders.
Institutional Investors Weigh In On Energy Transfer
A number of hedge funds and other institutional investors have recently modified their holdings of ET. Western Wealth Management LLC raised its holdings in Energy Transfer by 1.1% during the second quarter. Western Wealth Management LLC now owns 87,271 shares of the pipeline company’s stock worth $1,669,000 after purchasing an additional 943 shares during the last quarter. First Bancorp Inc ME acquired a new stake in shares of Energy Transfer during the 2nd quarter worth about $194,000. Valtrion Capital Management LLC grew its stake in Energy Transfer by 8.5% in the 2nd quarter. Valtrion Capital Management LLC now owns 17,079 shares of the pipeline company’s stock worth $327,000 after acquiring an additional 1,337 shares during the period. Jones Financial Companies Lllp increased its stake in Energy Transfer by 7.8% in the second quarter. Jones Financial Companies Lllp now owns 1,009,594 shares of the pipeline company’s stock valued at $19,354,000 after purchasing an additional 72,935 shares during the last quarter. Finally, Fiduciary Financial Advisors acquired a new position in shares of Energy Transfer in the 2nd quarter valued at $115,000. 38.22% of the stock is currently owned by institutional investors and hedge funds.
About Energy Transfer
Energy Transfer (NYSE: ET) is a Dallas-based midstream energy company that develops and operates infrastructure for the transportation, storage and processing of hydrocarbons. The company’s operations focus on moving and storing natural gas, natural gas liquids (NGLs), crude oil and refined products through an integrated network of pipelines, terminals, storage facilities and processing plants. Energy Transfer provides core midstream services such as gathering, compression, fractionation, processing, and bulk transportation to support production and downstream supply chains.
Its asset base spans an extensive network across the United States, connecting producing regions, processing centers, petrochemical hubs and coastal and inland markets.
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