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Is Energy Transfer Partners
Really a Buy?
Woe is ETP
Energy Transfer Partners has not shared in the
seemingly SECTOR-WIDE gains for MLPs in 2014.
It is essentially ...
Performance – Ouch!
Performance – Peer Comparison
Metric Check-Up
Why is ETP underperforming?
Is something terribly wrong under the hood?
Let’s look at five metrics, compar...
Yield
SXL
RGP
KMP
EPD
ETP
6.59%
6.81%
3.72%
6.14%
6.03%
Price/DCF
SXL
RGP
KMP
EPD
ETP
8.7x
18.5x
15.4x 15.3x
23.3x
Debt-to-Adjusted EBITDA
SXL
RGP
KMP
EPD
ETP
3.9x
3.6x
3.8x 3.6x
8.0x
QOQ Distribution Growth
SXL
RGP
KMP
EPD
ETP
1.63%
1.05%
4.9%1.47%
1.41%
MRQ Distribution coverage
SXL
RGP
KMP
EPD
1.36x
1.02x
1.49x1.12x
1.67x
Key takeaways
• On a P/DCF basis ETP is far cheaper than its peers, and
the industry as a whole
• The market doesn’t trust...
Here are your better ideas
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Is Energy Transfer Partners Really a Buy?

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Comparing Energy Transfer Partners to its peers using five key metrics

Published in: Economy & Finance
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Is Energy Transfer Partners Really a Buy?

  1. 1. Is Energy Transfer Partners Really a Buy?
  2. 2. Woe is ETP Energy Transfer Partners has not shared in the seemingly SECTOR-WIDE gains for MLPs in 2014. It is essentially flat, YTD.
  3. 3. Performance – Ouch!
  4. 4. Performance – Peer Comparison
  5. 5. Metric Check-Up Why is ETP underperforming? Is something terribly wrong under the hood? Let’s look at five metrics, comparing ETP to its peers AND the other Energy Transfer entities to find out.
  6. 6. Yield SXL RGP KMP EPD ETP 6.59% 6.81% 3.72% 6.14% 6.03%
  7. 7. Price/DCF SXL RGP KMP EPD ETP 8.7x 18.5x 15.4x 15.3x 23.3x
  8. 8. Debt-to-Adjusted EBITDA SXL RGP KMP EPD ETP 3.9x 3.6x 3.8x 3.6x 8.0x
  9. 9. QOQ Distribution Growth SXL RGP KMP EPD ETP 1.63% 1.05% 4.9%1.47% 1.41%
  10. 10. MRQ Distribution coverage SXL RGP KMP EPD 1.36x 1.02x 1.49x1.12x 1.67x
  11. 11. Key takeaways • On a P/DCF basis ETP is far cheaper than its peers, and the industry as a whole • The market doesn’t trust ETP, despite adequate performance on several key metrics • Investors dead set on picking up ETP units should thoroughly investigate its growth outlook before buying In the meantime If you need better income-generating ideas, grab the free report on the next page
  12. 12. Here are your better ideas

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