Energy Transfer (NYSE:ET) Sets New 12-Month High – Still a Buy?

Energy Transfer LP (NYSE:ET)’s stock price hit a new 52-week high during mid-day trading on Wednesday . The company traded as high as $20.88 and last traded at $20.8050, with a volume of 8346087 shares changing hands. The stock had previously closed at $20.59.

Key Energy Transfer News

Here are the key news stories impacting Energy Transfer this week:

• Positive Sentiment: Strong operating momentum: Energy Transfer reported second-quarter revenue of $34.33 billion, up 78.4% year over year and well above estimates, while EPS of $0.59 exceeded consensus by $0.21. The company also posted record volumes and raised guidance for a second consecutive time, strengthening expectations for future EBITDA and distributable cash flow growth. Energy Transfer: Expanding In All The Right Places For The AI Revolution
• Positive Sentiment: AI-related demand opportunity: Analysts see ET’s natural-gas pipeline and processing network benefiting from the data-center buildout, with contracted demand and a growing project backlog potentially providing multiyear earnings visibility. Energy Transfer: Expanding In All The Right Places For The AI Revolution
• Positive Sentiment: Income appeal: Recent coverage emphasizes 19 consecutive quarterly distribution increases, approximately 2.2 times distribution coverage and a roughly 6.6% yield. These metrics support the view that ET can continue growing its distribution while retaining cash for expansion. Energy Transfer Keeps Growing Its Dividend and Offers a 6.7% Yield Worth Considering
• Positive Sentiment: Insider confidence: Director James Richard Perry purchased 12,359 shares for approximately $250,023, increasing his direct ownership by 6.32%. Insider buying can provide a favorable signal about management’s view of the stock’s value. Insider Buying: Energy Transfer Director Purchases Stock
• Positive Sentiment: Analyst support: TD Cowen raised its price target to $25 from $24 and maintained a Buy rating. ET’s broader analyst consensus remains Buy, with an average target of $23.75 versus recent trading levels. Energy Transfer analyst coverage
• Neutral Sentiment: Zacks’ growth-stock assessment and additional commentary on future distribution growth reinforce the bullish narrative, but these are primarily opinion- and methodology-based signals rather than new company disclosures. Why Energy Transfer Is a Strong Growth Stock

Analysts Set New Price Targets

ET has been the topic of a number of analyst reports. Morgan Stanley raised their price objective on shares of Energy Transfer from $21.00 to $23.00 and gave the stock an “equal weight” rating in a research note on Wednesday, May 27th. Citigroup reiterated a “buy” rating and issued a $24.00 target price (up from $23.00) on shares of Energy Transfer in a research note on Friday. JPMorgan Chase & Co. increased their price target on shares of Energy Transfer from $22.00 to $24.00 and gave the stock an “overweight” rating in a report on Tuesday, May 12th. Zacks Research upgraded shares of Energy Transfer from a “hold” rating to a “strong-buy” rating in a research report on Monday, July 13th. Finally, Raymond James Financial reaffirmed a “strong-buy” rating on shares of Energy Transfer in a report on Wednesday, May 6th. Three investment analysts have rated the stock with a Strong Buy rating, eleven have assigned a Buy rating and one has assigned a Hold rating to the company’s stock. According to MarketBeat.com, the company has an average rating of “Buy” and an average price target of $23.75.

Energy Transfer Stock Up 1.0%

The company has a market cap of $71.64 billion, a PE ratio of 14.15, a P/E/G ratio of 2.02 and a beta of 0.55. The business has a 50-day simple moving average of $19.68 and a 200-day simple moving average of $19.26. The company has a quick ratio of 0.94, a current ratio of 1.16 and a debt-to-equity ratio of 1.45.

Energy Transfer (NYSE:ET) last issued its quarterly earnings data on Tuesday, August 4th. The pipeline company reported $0.59 EPS for the quarter, beating the consensus estimate of $0.38 by $0.21. The company had revenue of $34.33 billion for the quarter, compared to analyst estimates of $27.71 billion. Energy Transfer had a return on equity of 11.55% and a net margin of 4.87%.Energy Transfer’s quarterly revenue was up 78.4% compared to the same quarter last year. During the same period last year, the company earned $0.32 earnings per share. Equities research analysts anticipate that Energy Transfer LP will post 1.52 EPS for the current year.

Energy Transfer Increases Dividend

The firm also recently announced a quarterly dividend, which will be paid on Wednesday, August 19th. Stockholders of record on Friday, August 7th will be given a dividend of $0.34 per share. This is a positive change from Energy Transfer’s previous quarterly dividend of $0.34. The ex-dividend date is Friday, August 7th. This represents a $1.36 dividend on an annualized basis and a dividend yield of 6.5%. Energy Transfer’s payout ratio is 92.52%.

Insider Transactions at Energy Transfer

In related 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 bought at an average price of $20.23 per share, with a total value of $250,022.57. Following the acquisition, the director owned 208,046 shares in the company, valued at $4,208,770.58. The trade was a 6.32% increase in their ownership of the stock. The purchase was disclosed in a legal filing with the Securities & Exchange Commission, which is available through this hyperlink. Corporate insiders own 3.28% of the company’s stock.

Hedge Funds Weigh In On Energy Transfer

Several hedge funds and other institutional investors have recently added to or reduced their stakes in the stock. Basepoint Wealth LLC purchased a new stake in shares of Energy Transfer during the fourth quarter worth about $25,000. Gables Capital Management Inc. boosted its holdings in Energy Transfer by 60.0% in the 4th quarter. Gables Capital Management Inc. now owns 1,600 shares of the pipeline company’s stock worth $26,000 after buying an additional 600 shares during the last quarter. Sarver Vrooman Wealth Advisors acquired a new stake in Energy Transfer in the 4th quarter worth about $32,000. Cassaday & Co Wealth Management LLC purchased a new stake in Energy Transfer during the 1st quarter worth approximately $35,000. Finally, Navalign LLC purchased a new stake in Energy Transfer during the 4th quarter worth approximately $37,000. 38.22% of the stock is owned by hedge funds and other institutional investors.

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.