Enterprise Products Partners L.P. (NYSE:EPD) previous close was $19.86 while the outstanding shares total 2.19B. The firm has a beta of 1.36, a 12-month trailing P/E ratio of 9.63. EPD’s shares traded lower over the last trading session, losing -0.60% on 12/29/20. The shares fell to a low of $19.60 before closing at $19.74. Intraday shares traded counted 6.77 million, which was 16.92% higher than its 30-day average trading volume of 8.15M. The stock’s Relative Strength Index (RSI) is 46.32, with weekly volatility at 2.33% and ATR at 0.58. The EPD stock’s 52-week price range has touched low of $10.27 and a $29.22 high.
Investors have identified the Oil & Gas Midstream company Enterprise Products Partners L.P. as an interesting stock but before investments are made there, an in-depth look at its trading activities will have to be conducted. The share is trading with a market value of around $43.76 billion, the company now has both obstacles and catalysts that affect them and they came from their mode of operations. With the company affected by events currently, it is a perfect time to analyze the numbers behind the firm in order to come up with a rather realistic picture of what this stock is.
Enterprise Products Partners L.P. (EPD) Fundamentals that are to be considered.
When analyzing a stock, the first fundamental thing to take into account is the balance sheet. How healthy the balance sheet of a company is will determine if the company will be able to carry out all its financial and non-financial obligations and also keep the faith of its investors. For EPD, the company has in raw cash 1.13 billion on their books with 1.32 billion currently as liabilities. How the trend is over time is what investors should be concerned about. The company has a healthy balance sheet as their debt profile has been on a decline. In terms of their assets, the company currently has 8.79 billion total, with 7.85 billion as their total liabilities.
EPD were able to record 1.62 billion as free cash flow during the Q3 2020 quarter of the year, this saw their quarterly net cash flow reduce by 721.1 million. In cash movements, the company had a total of 4.29 billion as operating cash flow.
Potential earnings growth for Enterprise Products Partners L.P. (EPD)
In order to determine the future investment potential for this stock, we will have to analyze key trends that affect it. During the Q3 2020 quarter of the year, Enterprise Products Partners L.P. recorded a total of 6.92 billion in revenue. This figure implies that they witnessed a quarterly year/year change in their earnings with -15.05% coming in sequential stages and their sales for the Q3 2020 quarter increasing by 16.92%.
What matters though is how it ends. When the core data for the company is broken down, then the stock sounds interesting. The company spent 5.57 billion trying to sell their products during the last quarter, with the result yielding a gross income of 1.35 billion. This allows shareholders to hold on to 2.19B with the recently reported earning now reading 0.50 cents per share. This is a figure that compared to analyst’s prediction for their Q3 2020 (0.48 cents a share).
Having a look at the company’s valuation, the company is expected to record 1.99 total earnings per share during the next fiscal year. It is very important though to remember that the importance of trend far outweighs that of outlook. This analysis has been great and getting further updates on EPD sounds very interesting.
Is the stock of EPD attractive?
In related news, Co-Chief Executive Officer, TEAGUE AJ bought 5,025 shares of the company’s stock in a transaction that recorded on Dec 03. The purchase was performed at an average price of 20.07, for a total value of 100,837. As the purchase deal closes, the Director, Rutherford John R now bought 4,000 shares of the company’s stock, valued at 76,880. Also, Co-Chief Executive Officer, TEAGUE AJ bought 1,880 shares of the company’s stock in a deal that was recorded on Nov 16. The shares were cost at an average price of 19.05 per share, with a total market value of 35,812. Following this completion of disposal, the Director, WILLIAMS RANDA DUNCAN now holds 15,000 shares of the company’s stock, valued at 15,000,000. In the last 6 months, insiders have changed their ownership in shares of company stock by 0.10%.
24 out of 27 analysts covering the stock have rated it a Buy, while 0 have maintained a Hold recommendation on Enterprise Products Partners L.P.. 0 analysts has assigned a Sell rating on the EPD stock. The 12-month mean consensus price target for the company’s shares has been set at $25.16.