Energy Transfer (NYSE:ET) Issues Quarterly Earnings Results

Energy Transfer (NYSE:ET) announced its earnings results on Tuesday. The pipeline company reported $0.59 earnings per share for the quarter, topping analysts’ consensus estimates of $0.38 by $0.21, FiscalAI reports. Energy Transfer had a net margin of 4.87% and a return on equity of 11.71%. The company had revenue of $34.33 billion during the quarter, compared to the consensus estimate of $27.71 billion. During the same period in the previous year, the firm posted $0.32 earnings per share. The company’s revenue was up 78.4% on a year-over-year basis.

Here are the key takeaways from Energy Transfer’s conference call:

• Strong second-quarter results included adjusted EBITDA of approximately $5.1 billion, up from $3.9 billion a year ago, while adjusted DCF rose to about $2.6 billion from $2.0 billion.
• Energy Transfer raised its 2026 adjusted EBITDA guidance to $18.8 billion-$19.1 billion, about $500 million higher at the midpoint, and increased organic growth capital guidance to $5.6 billion-$5.9 billion.
• Hugh Brinson Pipeline Phase 1 entered commercial service and is expected to reach its full 1.5 Bcf per day capacity by September 1, 2026; Mustang Draw II and Frac IX are also expected to support volume growth into 2027.
• Demand from data centers, power plants, LNG, and industrial customers continues to expand across the company’s network, with customers reportedly increasing commitments and Energy Transfer seeing visibility for more than $5 billion of annual growth capital through 2029.
• Management said market volatility, wider basis differentials, and higher commodity prices contributed materially to first-half outperformance, but its outlook assumes limited volatility in the second half; additional disruptions could provide upside, while some gains are temporary or subject to future offsets.

Energy Transfer Stock Up 1.3%

ET stock traded up $0.27 during mid-day trading on Thursday, reaching $20.61. The company had a trading volume of 1,596,481 shares, compared to its average volume of 13,524,680. The company has a market capitalization of $70.91 billion, a price-to-earnings ratio of 14.00, a PEG ratio of 1.17 and a beta of 0.55. Energy Transfer has a 52 week low of $16.18 and a 52 week high of $20.74. The stock has a 50 day simple moving average of $19.58 and a two-hundred day simple moving average of $19.17. The company has a debt-to-equity ratio of 1.50, a current ratio of 1.17 and a quick ratio of 0.93.

Energy Transfer Increases Dividend

The company also recently announced a quarterly dividend, which will be paid on Wednesday, August 19th. Investors of record on Friday, August 7th will be given a $0.34 dividend. The ex-dividend date of this dividend is Friday, August 7th. This represents a $1.36 dividend on an annualized basis and a yield of 6.6%. This is a boost from Energy Transfer’s previous quarterly dividend of $0.34. Energy Transfer’s payout ratio is 112.50%.

Institutional Investors Weigh In On Energy Transfer

A number of institutional investors have recently modified their holdings of ET. Quattro Advisors LLC acquired a new position in Energy Transfer during the fourth quarter valued at approximately $46,000. Fulcrum Asset Management LLP bought a new stake in shares of Energy Transfer during the 3rd quarter valued at approximately $52,000. Tower Research Capital LLC TRC acquired a new stake in Energy Transfer in the second quarter valued at approximately $70,000. WFA of San Diego LLC acquired a new position in shares of Energy Transfer during the second quarter worth $73,000. Finally, Russell Investments Group Ltd. increased its holdings in Energy Transfer by 436.5% in the 2nd quarter. Russell Investments Group Ltd. now owns 4,179 shares of the pipeline company’s stock worth $76,000 after purchasing an additional 3,400 shares in the last quarter. Institutional investors own 38.22% of the company’s stock.

Wall Street Analyst Weigh In

ET has been the topic of several recent research reports. Zacks Research upgraded Energy Transfer from a “hold” rating to a “strong-buy” rating in a report on Monday, July 13th. Raymond James Financial restated a “strong-buy” rating on shares of Energy Transfer in a research report on Wednesday, May 6th. Weiss Ratings reiterated a “buy (b)” rating on shares of Energy Transfer in a research report on Friday, June 5th. TD Cowen reiterated a “buy” rating and set a $24.00 target price (up from $23.00) on shares of Energy Transfer in a research report on Thursday, July 16th. Finally, Morgan Stanley increased their price target on Energy Transfer from $21.00 to $23.00 and gave the company an “equal weight” rating in a research note on Wednesday, May 27th. Three investment analysts have rated the stock with a Strong Buy rating, eleven have given a Buy rating and one has given a Hold rating to the company’s stock. Based on data from MarketBeat, the stock presently has a consensus rating of “Buy” and a consensus price target of $23.58.

About Energy Transfer

Energy Transfer (NYSE: ET) is a Dallas-based midstream energy company that develops and operates infrastructure for the transportation, storage and processing of hydrocarbons. The company’s operations focus on moving and storing natural gas, natural gas liquids (NGLs), crude oil and refined products through an integrated network of pipelines, terminals, storage facilities and processing plants. Energy Transfer provides core midstream services such as gathering, compression, fractionation, processing, and bulk transportation to support production and downstream supply chains.

Its asset base spans an extensive network across the United States, connecting producing regions, processing centers, petrochemical hubs and coastal and inland markets.