Chickasaw Capital Management LLC Acquires 167,061 Shares of Plains GP Holdings, L.P. $PAGP

Key Points

• Chickasaw Capital Management LLC increased its stake in Plains GP Holdings by 2.0%, now owning approximately 8.34 million shares, which constitutes about 6.4% of its investment portfolio.
• Plains GP recently announced a quarterly dividend of $0.38, resulting in an annual yield of 8.1%, although its payout ratio is notably high at 220.29%.
• Analysts have mixed ratings on Plains GP, with a consensus rating of "Hold" and a price target averaging $20.50.

Chickasaw Capital Management LLC raised its holdings in Plains GP Holdings, L.P. (NYSE:PAGP - Free Report) by 2.0% during the second quarter, according to its most recent disclosure with the Securities & Exchange Commission. The firm owned 8,338,521 shares of the pipeline company's stock after purchasing an additional 167,061 shares during the quarter. Plains GP accounts for 6.4% of Chickasaw Capital Management LLC's holdings, making the stock its 9th largest holding. Chickasaw Capital Management LLC owned 4.22% of Plains GP worth $162,017,000 as of its most recent SEC filing.

Other institutional investors and hedge funds also recently added to or reduced their stakes in the company. Golden State Wealth Management LLC grew its stake in shares of Plains GP by 233.1% in the first quarter. Golden State Wealth Management LLC now owns 5,995 shares of the pipeline company's stock valued at $128,000 after buying an additional 4,195 shares in the last quarter. Annis Gardner Whiting Capital Advisors LLC acquired a new stake in shares of Plains GP in the first quarter valued at $135,000. McIlrath & Eck LLC acquired a new stake in shares of Plains GP in the fourth quarter valued at $166,000. GAMMA Investing LLC grew its stake in shares of Plains GP by 2,252.7% in the first quarter. GAMMA Investing LLC now owns 8,352 shares of the pipeline company's stock valued at $178,000 after buying an additional 7,997 shares in the last quarter. Finally, State of Wyoming grew its stake in shares of Plains GP by 192.3% in the first quarter. State of Wyoming now owns 8,311 shares of the pipeline company's stock valued at $178,000 after buying an additional 5,468 shares in the last quarter. Hedge funds and other institutional investors own 88.30% of the company's stock.

Plains GP Stock Performance

Shares of Plains GP stock traded down $0.29 on Friday, hitting $18.28. The stock had a trading volume of 969,814 shares, compared to its average volume of 1,634,893. Plains GP Holdings, L.P. has a 52-week low of $16.60 and a 52-week high of $22.31. The company has a current ratio of 1.01, a quick ratio of 0.92 and a debt-to-equity ratio of 0.49. The stock has a market cap of $3.61 billion, a price-to-earnings ratio of 34.49 and a beta of 0.76. The company's 50 day moving average price is $19.12 and its 200 day moving average price is $19.17.

Plains GP Announces Dividend

The company also recently announced a quarterly dividend, which was paid on Thursday, August 14th. Stockholders of record on Thursday, July 31st were issued a $0.38 dividend. This represents a $1.52 annualized dividend and a dividend yield of 8.3%. The ex-dividend date of this dividend was Thursday, July 31st. Plains GP's payout ratio is presently 220.29%.

Analysts Set New Price Targets

PAGP has been the subject of a number of research reports. Wolfe Research reaffirmed a "peer perform" rating on shares of Plains GP in a research note on Friday, July 25th. JPMorgan Chase & Co. dropped their price objective on Plains GP from $21.00 to $20.00 and set a "neutral" rating for the company in a research note on Thursday. Mizuho lifted their price objective on Plains GP from $20.00 to $22.00 and gave the company an "outperform" rating in a research note on Wednesday, June 18th. Morgan Stanley lowered their target price on Plains GP from $22.00 to $20.00 and set an "equal weight" rating for the company in a research note on Tuesday, August 26th. Finally, Zacks Research cut Plains GP from a "strong-buy" rating to a "hold" rating in a research note on Monday, September 15th. One analyst has rated the stock with a Strong Buy rating, one has assigned a Buy rating, six have given a Hold rating and one has issued a Sell rating to the company's stock. According to data from MarketBeat, the company currently has an average rating of "Hold" and an average target price of $20.50.

About Plains GP

Plains GP Holdings, L.P., through its subsidiary, Plains All American Pipeline, L.P., owns and operates midstream infrastructure systems in the United States and Canada. It operates in two segments, Crude Oil and Natural Gas Liquids (NGLs). The company engages in the gathering and transporting crude oil and NGLs using pipelines, gathering systems, and trucks.