Shares of Energy Transfer LP (NYSE:ET) experienced a notable increase of 1.5% during trading on Tuesday, reaching a high of $18.47 before closing at $18.42. This uptick comes as the stock saw a trading volume of 22,286,720 shares, marking a significant rise of 37% compared to its average session volume of 16,310,939 shares. The stock had previously closed at $18.14.
Analysts from various financial institutions have recently provided insights into Energy Transfer’s stock performance. On November 24, JPMorgan Chase & Co. adjusted its price target for Energy Transfer from $22.00 to $21.00, maintaining an “overweight” rating. Meanwhile, Scotiabank reaffirmed an “outperform” rating on January 16. Additionally, Jefferies Financial Group set a price target of $17.00, designating the stock as a “hold” in its report on October 28. Weiss Ratings assigned a “buy (b-)” rating on December 24, while the Royal Bank of Canada upgraded the stock to a “moderate buy” on December 15. Currently, twelve analysts have rated Energy Transfer as a “buy,” with one rating it as a hold. According to data from MarketBeat.com, the average rating stands at “Moderate Buy,” with a consensus target price of $21.50.
Energy Transfer released its quarterly earnings results on November 5. The company reported earnings per share (EPS) of $0.28, falling short of the consensus estimate of $0.34 by $0.06. The firm recorded a net margin of 5.66% and a return on equity of 10.71%. Revenue for the quarter totaled $19.95 billion, significantly below analysts’ expectations of $21.84 billion, representing a decrease of 3.9% compared to the same quarter last year, when the business earned an EPS of $0.32. Analysts predict that Energy Transfer will report an EPS of 1.46 for the current fiscal year.
In a positive development for shareholders, Energy Transfer has declared a quarterly dividend of $0.335, set to be paid on February 19, 2024. Shareholders of record as of February 6 will receive this dividend, marking a slight increase from the previous quarterly dividend of $0.33. This translates to an annualized dividend of $1.34 and a yield of 7.3%. The company’s current payout ratio stands at 106.40%.
In insider trading news, Kelcy L. Warren, a director at Energy Transfer, purchased 1,000,000 shares on November 19 for an average price of $16.95 per share, amounting to a total investment of $16,950,000. Following this transaction, Warren holds 104,577,803 shares in the company, valued at approximately $1,772,593,760.85, representing a 0.97% increase in his ownership stake. This transaction was documented in a filing with the Securities and Exchange Commission, which is publicly available.
Institutional investors have also been active in managing their stakes in Energy Transfer. For instance, Manning & Napier Advisors LLC increased its holdings by 3.3% in the fourth quarter, now owning 930,000 shares valued at $15,336,000. Koshinski Asset Management Inc. raised its stake by 9.6%, acquiring an additional 1,775 shares to reach a total of 20,265 shares valued at $334,000. Other firms, such as International Assets Investment Management LLC and Fulcrum Asset Management LLP, also expanded their positions in the company during the same quarter. Currently, institutional investors hold 38.22% of Energy Transfer’s shares.
Energy Transfer, based in Dallas, operates as a midstream energy company focused on the development and management of infrastructure for the transportation, storage, and processing of hydrocarbons. The company’s extensive network includes pipelines, terminals, storage facilities, and processing plants, facilitating the movement of natural gas, natural gas liquids, crude oil, and refined products across the United States.
