Enterprise expects 2026 growth capital spending of $2.9-$3.4 bln, net of $599 million of proceeds from asset sales
Company expects $600 mln in sustaining capital expenditures for 2026
Enterprise says global energy shipping remains disrupted due to Middle East instability
Overview
U.S. midstream energy firm's Q2 revenue, adjusted EPS and adjusted EBITDA all beat analyst expectations
Company cited record pipeline and marine terminal volumes, and strong international demand as growth drivers
Repurchased $159 mln in units during Q2; approved new capital projects for future growth
Result Drivers
Record pipeline and terminal volumes - Co said record pipeline and marine terminal volumes, supported by strong international demand for U.S. energy, drove results in Q2
New assets and expansions - Co attributed higher earnings to new assets and expansion projects placed into service in the last year, including the Neches River Terminal and Frac 14 at Mont Belvieu
Higher propane and NGL margins - Co cited increased margins and volumes in NGL and propylene businesses, with higher utilization rates at propylene facilities and increased NGL marketing margins
The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 12 "strong buy" or "buy", 9 "hold" and 1 "sell" or "strong sell"
The average consensus recommendation for the oil & gas transportation services peer group is "buy"
Wall Street's median 12-month price target for Enterprise Products Partners L.P is $41.50, about 7.3% above its July 29 closing price of $38.67
The stock recently traded at 13 times the next 12-month earnings vs. a P/E of 13 three months ago
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