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Enterprise Products Partners (EPD) Gains But Lags Market: What You Should Know

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Enterprise Products Partners (EPD - Free Report) closed at $24.59 in the latest trading session, marking a +0.45% move from the prior day. This move lagged the S&P 500's daily gain of 0.75%.

Prior to today's trading, shares of the provider of midstream energy services had gained 0.61% over the past month. This has lagged the Oils-Energy sector's gain of 0.89% and the S&P 500's gain of 3.52% in that time.

Investors will be hoping for strength from EPD as it approaches its next earnings release. The company is expected to report EPS of $0.50, up 6.38% from the prior-year quarter. Our most recent consensus estimate is calling for quarterly revenue of $7.7 billion, up 33.81% from the year-ago period.

EPD's full-year Zacks Consensus Estimates are calling for earnings of $2.15 per share and revenue of $33.54 billion. These results would represent year-over-year changes of +1.9% and +23.32%, respectively.

It is also important to note the recent changes to analyst estimates for EPD. Recent revisions tend to reflect the latest near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.

Our research shows that these estimate changes are directly correlated with near-term stock prices. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.

Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 0.19% lower. EPD currently has a Zacks Rank of #3 (Hold).

Investors should also note EPD's current valuation metrics, including its Forward P/E ratio of 11.43. This represents a premium compared to its industry's average Forward P/E of 10.89.

The Oil and Gas - Production Pipeline - MLB industry is part of the Oils-Energy sector. This group has a Zacks Industry Rank of 94, putting it in the top 38% of all 250+ industries.

The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

You can find more information on all of these metrics, and much more, on Zacks.com.


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