Enterprise Products Partners (NYSE:EPD) Shares Up 1% - Here's Why

Key Points

• Shares rose 1% to $33.505 with mid-day volume ≈4.84M, about 19% above the average daily volume.
• Enterprise declared a quarterly dividend of $0.55 (annualized $2.20, ~6.6% yield) and authorized a $5.0 billion share buyback (up to ~7.4% of outstanding shares).
• Analysts are mixed but show a consensus "Moderate Buy" with a $34.77 target; the company last reported EPS of $0.61 (missed estimates) and revenue of $12.02B (beat), down 12.7% year‑over‑year.

Enterprise Products Partners L.P. (NYSE:EPD - Get Free Report)'s share price rose 1% on Wednesday . The stock traded as high as $33.52 and last traded at $33.5050. Approximately 4,842,173 shares were traded during mid-day trading, an increase of 19% from the average daily volume of 4,071,961 shares. The stock had previously closed at $33.17.

Analyst Upgrades and Downgrades

Several equities research analysts have recently issued reports on the company. The Goldman Sachs Group reiterated a "neutral" rating and set a $32.00 price target on shares of Enterprise Products Partners in a report on Friday, December 19th. Stifel Nicolaus raised their target price on shares of Enterprise Products Partners from $35.00 to $38.00 and gave the company a "buy" rating in a research note on Friday, October 31st. JPMorgan Chase & Co. reissued a "neutral" rating and set a $35.00 target price on shares of Enterprise Products Partners in a research report on Monday, December 1st. Scotiabank reaffirmed a "sector perform" rating on shares of Enterprise Products Partners in a research report on Friday, January 16th. Finally, Weiss Ratings reissued a "buy (b)" rating on shares of Enterprise Products Partners in a research report on Thursday, January 22nd. One analyst has rated the stock with a Strong Buy rating, eight have given a Buy rating, five have given a Hold rating and two have assigned a Sell rating to the company. According to MarketBeat.com, Enterprise Products Partners has a consensus rating of "Moderate Buy" and a consensus target price of $34.77.

Enterprise Products Partners Trading Up 1.0%

The company has a debt-to-equity ratio of 1.04, a quick ratio of 0.60 and a current ratio of 0.88. The business's 50 day moving average price is $32.31 and its 200-day moving average price is $31.72. The company has a market cap of $72.48 billion, a price-to-earnings ratio of 12.64, a PEG ratio of 2.31 and a beta of 0.59.

Enterprise Products Partners (NYSE:EPD - Get Free Report) last announced its quarterly earnings results on Wednesday, October 29th. The oil and gas producer reported $0.61 EPS for the quarter, missing analysts' consensus estimates of $0.68 by ($0.07). Enterprise Products Partners had a return on equity of 19.40% and a net margin of 10.92%.The business had revenue of $12.02 billion for the quarter, compared to the consensus estimate of $11.83 billion. During the same quarter in the prior year, the business earned $0.65 EPS. The firm's revenue for the quarter was down 12.7% on a year-over-year basis. On average, research analysts forecast that Enterprise Products Partners L.P. will post 2.9 EPS for the current year.

Enterprise Products Partners Increases Dividend

The business also recently declared a quarterly dividend, which will be paid on Friday, February 13th. Shareholders of record on Friday, January 30th will be given a $0.55 dividend. This represents a $2.20 dividend on an annualized basis and a yield of 6.6%. This is a positive change from Enterprise Products Partners's previous quarterly dividend of $0.55. The ex-dividend date is Friday, January 30th. Enterprise Products Partners's dividend payout ratio (DPR) is currently 83.02%.

Enterprise Products Partners announced that its board has authorized a stock buyback program on Thursday, October 30th that permits the company to repurchase $5.00 billion in outstanding shares. This repurchase authorization permits the oil and gas producer to buy up to 7.4% of its shares through open market purchases. Shares repurchase programs are often an indication that the company's board believes its shares are undervalued.

Insider Buying and Selling

In other news, Director John R. Rutherford acquired 15,000 shares of the firm's stock in a transaction on Monday, December 29th. The shares were purchased at an average cost of $32.09 per share, with a total value of $481,350.00. Following the completion of the purchase, the director owned 173,586 shares of the company's stock, valued at $5,570,374.74. This represents a 9.46% increase in their ownership of the stock. The acquisition was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. 32.60% of the stock is currently owned by company insiders.

Institutional Inflows and Outflows

Several institutional investors and hedge funds have recently modified their holdings of the business. PMV Capital Advisers LLC bought a new position in Enterprise Products Partners in the 4th quarter valued at $25,000. Winnow Wealth LLC bought a new position in shares of Enterprise Products Partners in the second quarter valued at about $28,000. Traub Capital Management LLC acquired a new position in Enterprise Products Partners during the 2nd quarter worth about $31,000. Palisade Asset Management LLC bought a new stake in Enterprise Products Partners during the 3rd quarter worth about $31,000. Finally, Abich Financial Wealth Management LLC acquired a new stake in Enterprise Products Partners in the 3rd quarter valued at about $32,000. 26.07% of the stock is owned by institutional investors and hedge funds.

Enterprise Products Partners Company Profile

Enterprise Products Partners L.P. NYSE: EPD is a Houston-based master limited partnership that provides midstream energy services across North America. The company owns and operates an extensive network of pipelines, storage facilities, processing plants and export terminals that transport and handle natural gas, natural gas liquids (NGLs), crude oil and refined and petrochemical products. Its core activities include gathering and transportation, fractionation of NGLs, natural gas processing, crude oil and condensate pipelines, and marine and terminal services that enable domestic distribution and exports.

Enterprise serves a diverse set of customers including producers, refiners, petrochemical companies, marketers and end users.

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