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Energy Transfer LP (ET) Outpaces Stock Market Gains: What You Should Know

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In the latest trading session, Energy Transfer LP (ET - Free Report) closed at $11.05, marking a +1.56% move from the previous day. This move outpaced the S&P 500's daily gain of 1.23%. At the same time, the Dow added 0.97%, and the tech-heavy Nasdaq gained 0.44%.

Heading into today, shares of the energy-related services provider had gained 7.3% over the past month, lagging the Oils-Energy sector's gain of 7.99% and outpacing the S&P 500's gain of 4.69% in that time.

Investors will be hoping for strength from Energy Transfer LP as it approaches its next earnings release. The company is expected to report EPS of $0.24, down 78.95% from the prior-year quarter. Our most recent consensus estimate is calling for quarterly revenue of $21.21 billion, up 24.78% from the year-ago period.

Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $1.02 per share and revenue of $84.04 billion. These totals would mark changes of -46.03% and +24.66%, respectively, from last year.

It is also important to note the recent changes to analyst estimates for Energy Transfer LP. These revisions typically reflect the latest short-term business trends, which can change frequently. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.

Based on our research, we believe these estimate revisions are directly related to near-team stock moves. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.

The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. The Zacks Consensus EPS estimate has moved 4.1% higher within the past month. Energy Transfer LP is currently sporting a Zacks Rank of #3 (Hold).

Looking at its valuation, Energy Transfer LP is holding a Forward P/E ratio of 10.72. Its industry sports an average Forward P/E of 11.31, so we one might conclude that Energy Transfer LP is trading at a discount comparatively.

The Oil and Gas - Production Pipeline - MLB industry is part of the Oils-Energy sector. This group has a Zacks Industry Rank of 102, putting it in the top 41% 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.

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