Enterprise’s first-quarter results were solid, led by its strength in natural gas volumes. We expect to increase our fair value estimate to $30 per unit from $27.50. We are maintaining our wide moat rating. Companywide EBITDA increased to $2.5 billion from $2.3 billion, a 6% increase from last year’s levels.
As the largest player in NGL market, Enterprise is most leveraged to petrochemical demand in the Gulf Coast and international markets.
The marketing operations depend on differential spreads that could continue to narrow without investments by Enterprise and third parties to spur demand.
|
Metric
|
EPD
|
KMI
|
TRGP
|
|---|---|---|---|
Price/Earnings (Normalized) | 11.05 | 16.46 | 22.42 |
Price/Book Value | 2.20 | 1.34 | 9.27 |
Price/Sales | 1.18 | 2.66 | 1.61 |
Price/Cash Flow | 7.58 | 6.46 | 8.39 |
|
Metric
|
EPD
|
KMI
|
TRGP
|
|---|---|---|---|
Quick Ratio | 0.61 | 0.33 | 0.58 |
Current Ratio | 0.93 | 0.50 | 0.79 |
Interest Coverage | 5.45 | 2.80 | 3.82 |
|
Metric
|
EPD
|
KMI
|
TRGP
|
|---|---|---|---|
Return on Assets (Normalized) | 8.30% | 3.46% | 7.11% |
Return on Equity (Normalized) | 21.13% | 7.89% | 53.57% |
Return on Invested Capital (Normalized) | 12.21% | 6.00% | 11.56% |
|
Ticker
|
Name
|
Morningstar Rating for Stocks
|
Capital Allocation
|
Economic Moat
|
Market Cap
|
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