Energy Transfer (NYSE:ET) Shares Up 2.3% – Should You Buy?

Energy Transfer LP (NYSE:ET) rose 2.3% during mid-day trading on Friday . The stock traded as high as $17.03 and last traded at $17.0110. Approximately 15,679,938 shares were traded during trading, an increase of 5% from the average daily volume of 14,940,261 shares. The stock had previously closed at $16.63.

Analyst Upgrades and Downgrades

A number of equities analysts recently issued reports on ET shares. Weiss Ratings reissued a “buy (b)” rating on shares of Energy Transfer in a research note on Wednesday, October 8th. Wells Fargo & Company reissued an “overweight” rating and issued a $23.00 target price (up previously from $21.00) on shares of Energy Transfer in a research report on Tuesday, August 12th. UBS Group restated a “buy” rating and issued a $22.00 target price on shares of Energy Transfer in a research note on Wednesday, October 15th. Morgan Stanley reduced their price target on Energy Transfer from $24.00 to $23.00 and set an “overweight” rating on the stock in a research note on Tuesday, August 26th. Finally, Scotiabank decreased their price objective on Energy Transfer from $23.00 to $21.00 and set a “sector outperform” rating for the company in a report on Thursday. Thirteen investment analysts have rated the stock with a Buy rating and two have issued a Hold rating to the company. According to MarketBeat, the stock presently has an average rating of “Moderate Buy” and a consensus price target of $22.08.

Energy Transfer Stock Up 2.3%

The stock has a market cap of $58.41 billion, a PE ratio of 13.19, a PEG ratio of 1.01 and a beta of 0.76. The company has a debt-to-equity ratio of 1.44, a current ratio of 1.15 and a quick ratio of 0.92. The company has a 50 day moving average price of $16.96 and a two-hundred day moving average price of $17.39.

Energy Transfer (NYSE:ET) last posted its earnings results on Wednesday, November 5th. The pipeline company reported $0.28 earnings per share (EPS) for the quarter, missing the consensus estimate of $0.34 by ($0.06). Energy Transfer had a net margin of 5.80% and a return on equity of 11.08%. The company had revenue of $19.95 billion for the quarter, compared to the consensus estimate of $21.84 billion. During the same quarter in the prior year, the company posted $0.32 EPS. Energy Transfer’s revenue was down 3.9% on a year-over-year basis. Analysts expect that Energy Transfer LP will post 1.46 EPS for the current year.

Energy Transfer Increases Dividend

The business also recently announced a quarterly dividend, which will be paid on Wednesday, November 19th. Shareholders of record on Friday, November 7th will be paid a dividend of $0.3325 per share. The ex-dividend date is Friday, November 7th. This represents a $1.33 dividend on an annualized basis and a yield of 7.8%. This is a boost from Energy Transfer’s previous quarterly dividend of $0.33. Energy Transfer’s dividend payout ratio (DPR) is presently 106.40%.

Insider Buying and Selling at Energy Transfer

In other news, Director Kelcy L. Warren purchased 1,350,000 shares of the company’s stock in a transaction dated Wednesday, August 20th. The shares were purchased at an average cost of $17.36 per share, for a total transaction of $23,436,000.00. Following the purchase, the director directly owned 69,178,477 shares in the company, valued at approximately $1,200,938,360.72. This represents a 1.99% increase in their position. The transaction was disclosed in a legal filing with the SEC, which is accessible through the SEC website. 3.28% of the stock is owned by insiders.

Institutional Trading of Energy Transfer

Institutional investors and hedge funds have recently modified their holdings of the company. Alps Advisors Inc. lifted its holdings in Energy Transfer by 4.5% in the 3rd quarter. Alps Advisors Inc. now owns 77,651,021 shares of the pipeline company’s stock worth $1,332,492,000 after purchasing an additional 3,366,734 shares in the last quarter. Invesco Ltd. raised its position in shares of Energy Transfer by 3.2% during the third quarter. Invesco Ltd. now owns 57,862,666 shares of the pipeline company’s stock valued at $992,923,000 after buying an additional 1,773,042 shares during the last quarter. Tortoise Capital Advisors L.L.C. lifted its holdings in shares of Energy Transfer by 2.6% in the first quarter. Tortoise Capital Advisors L.L.C. now owns 38,205,495 shares of the pipeline company’s stock worth $710,240,000 after buying an additional 951,656 shares in the last quarter. Kayne Anderson Capital Advisors LP lifted its holdings in shares of Energy Transfer by 0.8% in the first quarter. Kayne Anderson Capital Advisors LP now owns 24,170,455 shares of the pipeline company’s stock worth $449,329,000 after buying an additional 182,705 shares in the last quarter. Finally, Energy Income Partners LLC boosted its position in shares of Energy Transfer by 1.4% during the third quarter. Energy Income Partners LLC now owns 23,351,183 shares of the pipeline company’s stock worth $400,706,000 after acquiring an additional 326,653 shares during the last quarter. 38.22% of the stock is currently owned by institutional investors.

About Energy Transfer

Energy Transfer LP provides energy-related services. The company owns and operates natural gas transportation pipeline, and natural gas storage facilities in Texas and Oklahoma; and approximately 20,090 miles of interstate natural gas pipeline. It also sells natural gas to electric utilities, independent power plants, local distribution and other marketing companies, and industrial end-users.