Enterprise Products Partners (NYSE:EPD) Trading Up 1.3% - Still a Buy?

Key Points

• Enterprise Products Partners shares rose 1.3% to approximately $39.33, with trading volume 48% below its average. Analysts’ consensus rating is “Moderate Buy,” with a $40.00 average price target.
• The company exceeded quarterly expectations, reporting EPS of $0.84 versus the $0.75 estimate and revenue of $18.27 billion, up 60.8% year over year.
• Enterprise Products Partners increased its quarterly dividend to $0.56 per share, equal to a 5.7% annualized yield, though its payout ratio stands at 77.78%.

Enterprise Products Partners L.P. (NYSE:EPD - Get Free Report)'s stock price traded up 1.3% during trading on Wednesday . The stock traded as high as $39.38 and last traded at $39.3270. Approximately 2,046,498 shares changed hands during trading, a decline of 48% from the average daily volume of 3,951,653 shares. The stock had previously closed at $38.83.

Wall Street Analyst Weigh In

A number of brokerages have weighed in on EPD. UBS Group reaffirmed a "buy" rating and set a $45.00 target price on shares of Enterprise Products Partners in a research note on Wednesday, June 17th. The Goldman Sachs Group restated a "neutral" rating and issued a $38.00 price target on shares of Enterprise Products Partners in a research note on Wednesday, June 17th. Weiss Ratings raised Enterprise Products Partners from a "buy (b)" rating to a "buy (a-)" rating in a report on Tuesday, August 11th. Wall Street Zen raised Enterprise Products Partners from a "buy" rating to a "strong-buy" rating in a research note on Sunday. Finally, Morgan Stanley restated an "underweight" rating and set a $41.00 price target (up from $40.00) on shares of Enterprise Products Partners in a report on Tuesday, August 18th. One equities research analyst has rated the stock with a Strong Buy rating, seven have assigned a Buy rating, seven have given a Hold rating and one has issued a Sell rating to the company. Based on data from MarketBeat, Enterprise Products Partners presently has an average rating of "Moderate Buy" and a consensus price target of $40.00.

Enterprise Products Partners Stock Up 1.3%

The company's 50-day simple moving average is $38.23 and its two-hundred day simple moving average is $37.82. The firm has a market capitalization of $84.93 billion, a P/E ratio of 13.66, a P/E/G ratio of 1.42 and a beta of 0.50. The company has a debt-to-equity ratio of 1.00, a current ratio of 0.93 and a quick ratio of 0.66.

Enterprise Products Partners (NYSE:EPD - Get Free Report) last released its earnings results on Wednesday, July 29th. The oil and gas producer reported $0.84 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.75 by $0.09. The company had revenue of $18.27 billion during the quarter, compared to analyst estimates of $13.69 billion. Enterprise Products Partners had a net margin of 10.79% and a return on equity of 20.67%. The firm's quarterly revenue was up 60.8% compared to the same quarter last year. During the same period in the prior year, the firm posted $0.66 EPS. As a group, research analysts expect that Enterprise Products Partners L.P. will post 3.03 earnings per share for the current year.

Enterprise Products Partners Increases Dividend

The business also recently announced a quarterly dividend, which was paid on Friday, August 14th. Stockholders of record on Friday, July 31st were issued a $0.56 dividend. This represents a $2.24 annualized dividend and a dividend yield of 5.7%. This is a boost from Enterprise Products Partners's previous quarterly dividend of $0.55. The ex-dividend date of this dividend was Friday, July 31st. Enterprise Products Partners's payout ratio is presently 77.78%.

Institutional Trading of Enterprise Products Partners

A number of institutional investors and hedge funds have recently bought and sold shares of the stock. Palisade Asset Management LLC purchased a new stake in shares of Enterprise Products Partners in the third quarter worth about $31,000. N.E.W. Advisory Services LLC purchased a new position in Enterprise Products Partners during the 2nd quarter valued at approximately $37,000. Bravera Wealth increased its stake in Enterprise Products Partners by 666.7% in the 2nd quarter. Bravera Wealth now owns 1,035 shares of the oil and gas producer's stock worth $38,000 after acquiring an additional 900 shares during the last quarter. Markowski Investments bought a new stake in Enterprise Products Partners in the 2nd quarter worth approximately $46,000. Finally, BOK Financial Private Wealth Inc. purchased a new stake in shares of Enterprise Products Partners during the 2nd quarter worth approximately $48,000. 26.07% of the stock is currently owned by institutional investors.

About Enterprise Products Partners

Enterprise Products Partners L.P. NYSE: EPD is a publicly traded midstream energy partnership that provides transportation, storage, processing and export services for crude oil, natural gas, natural gas liquids (NGLs), petrochemicals and refined products. The company operates an integrated network of pipelines, processing plants, fractionation facilities, storage assets and marine terminals.

Enterprise's NGL operations include natural gas processing, NGL fractionation and the production and distribution of ethane, propane, butanes and natural gasoline.

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