An Earnings Beat: MPLX LP (MPLX - Free Report) reported earnings of 52 cents per unit, below the Zacks Consensus Estimate of 68 cents and the year-ago profit of 31 cents. The weaker than expected results from Logistics & Storage along with Gathering & Processing Units led to the underperformance. Precisely, the operating income Logistics & Storage operating income came in at $449 million, below the Zacks Consensus Estimate of $543 million. The income from Gathering & Processing segment also missed the estimate of $419 million by a huge margin.
Estimate Revision Trend & Surprise History: The stock had seen the Zacks Consensus Estimate for fourth-quarter earnings revised up by a penny over the last 30 days.
Coming to earnings surprise history, the company has a mixed record: its beaten estimates in two of the last four quarters, as shown in the chart below:
Revenues: Revenues of $1,715 million were 58% above the fourth-quarter 2017 sales of $1,085 million. However, the top line lagged the Zacks Consensus Estimate of $1,753 million.
Key Tidbits:
MPLX’s operating income from its Logistics and Supply segment witnessed a massive jump of 179% to $449 million. The outperformance can be attributed to the dropdown transactions related to its pipelines and refining logistics assets.
Operating income from Gathering and Processing segment also increased to $217 million compared with $174 million in the prior-year quarter on the back of higher volumes and product margins.
Distributable cash flow available to limited partners witnessed a 57.5% increase to $701 million in the fourth quarter of 2018, providing 1.32x distribution coverage. Distribution per unit was 64.75 cents as against 60.75 cents in the prior year quarter. This marks a 6.6% hike from the year-ago period, representing the 24th consecutive quarterly distribution increase.
Moreover, cash flow from operating activities in the quarter under review increased to $799 million vis a vis $569 recorded in the corresponding period of 2017.
Zacks Rank: Currently, MPLX LP carries a Zacks Rank #5 (Strong Sell).
(You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.)
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From more than 4,000 companies covered by the Zacks Rank, these 10 were picked by a process that consistently beats the market. Even during 2018 while the market dropped -5.2%, our Top 10s were up well into double-digits. And during bullish 2012 – 2017, they soared far above the market's +126.3%, reaching +181.9%.
This year, the portfolio features a player that thrives on volatility, an AI comer, and a dynamic tech company that helps doctors deliver better patient outcomes at lower costs.
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Zacks Names "Single Best Pick to Double"
From thousands of stocks, 5 Zacks experts each have chosen their favorite to skyrocket +100% or more in months to come. From those 5, Director of Research Sheraz Mian hand-picks one to have the most explosive upside of all.
It’s a little-known chemical company that’s up 65% over last year, yet still dirt cheap. With unrelenting demand, soaring 2022 earnings estimates, and $1.5 billion for repurchasing shares, retail investors could jump in at any time.
This company could rival or surpass other recent Zacks’ Stocks Set to Double like Boston Beer Company which shot up +143.0% in little more than 9 months and NVIDIA which boomed +175.9% in one year.
Free: See Our Top Stock and 4 Runners Up >>
An Earnings Beat: MPLX LP (MPLX - Free Report) reported earnings of 52 cents per unit, below the Zacks Consensus Estimate of 68 cents and the year-ago profit of 31 cents. The weaker than expected results from Logistics & Storage along with Gathering & Processing Units led to the underperformance. Precisely, the operating income Logistics & Storage operating income came in at $449 million, below the Zacks Consensus Estimate of $543 million. The income from Gathering & Processing segment also missed the estimate of $419 million by a huge margin.
Estimate Revision Trend & Surprise History: The stock had seen the Zacks Consensus Estimate for fourth-quarter earnings revised up by a penny over the last 30 days.
Coming to earnings surprise history, the company has a mixed record: its beaten estimates in two of the last four quarters, as shown in the chart below:
Revenues: Revenues of $1,715 million were 58% above the fourth-quarter 2017 sales of $1,085 million. However, the top line lagged the Zacks Consensus Estimate of $1,753 million.
Key Tidbits:
MPLX’s operating income from its Logistics and Supply segment witnessed a massive jump of 179% to $449 million. The outperformance can be attributed to the dropdown transactions related to its pipelines and refining logistics assets.
Operating income from Gathering and Processing segment also increased to $217 million compared with $174 million in the prior-year quarter on the back of higher volumes and product margins.
Distributable cash flow available to limited partners witnessed a 57.5% increase to $701 million in the fourth quarter of 2018, providing 1.32x distribution coverage. Distribution per unit was 64.75 cents as against 60.75 cents in the prior year quarter. This marks a 6.6% hike from the year-ago period, representing the 24th consecutive quarterly distribution increase.
Moreover, cash flow from operating activities in the quarter under review increased to $799 million vis a vis $569 recorded in the corresponding period of 2017.
Zacks Rank: Currently, MPLX LP carries a Zacks Rank #5 (Strong Sell).
(You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.)
Zacks' Top 10 Stocks for 2019
In addition to the stocks discussed above, wouldn't you like to know about our 10 finest buy-and-holds for the year?
From more than 4,000 companies covered by the Zacks Rank, these 10 were picked by a process that consistently beats the market. Even during 2018 while the market dropped -5.2%, our Top 10s were up well into double-digits. And during bullish 2012 – 2017, they soared far above the market's +126.3%, reaching +181.9%.
This year, the portfolio features a player that thrives on volatility, an AI comer, and a dynamic tech company that helps doctors deliver better patient outcomes at lower costs.
See Stocks Today >>
Zacks Names "Single Best Pick to Double"
From thousands of stocks, 5 Zacks experts each have chosen their favorite to skyrocket +100% or more in months to come. From those 5, Director of Research Sheraz Mian hand-picks one to have the most explosive upside of all.
It’s a little-known chemical company that’s up 65% over last year, yet still dirt cheap. With unrelenting demand, soaring 2022 earnings estimates, and $1.5 billion for repurchasing shares, retail investors could jump in at any time.
This company could rival or surpass other recent Zacks’ Stocks Set to Double like Boston Beer Company which shot up +143.0% in little more than 9 months and NVIDIA which boomed +175.9% in one year.
Free: See Our Top Stock and 4 Runners Up >>
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