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Enterprise Products Partners (EPD) Stock Drops Despite Market Gains: Important Facts to Note

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In the latest market close, Enterprise Products Partners (EPD - Free Report) reached $28.30, with a -0.25% movement compared to the previous day. The stock trailed the S&P 500, which registered a daily gain of 0.25%. Elsewhere, the Dow gained 0.15%, while the tech-heavy Nasdaq added 0.03%.

The the stock of provider of midstream energy services has fallen by 0.98% in the past month, leading the Oils-Energy sector's loss of 5.99% and undershooting the S&P 500's gain of 3.34%.

The upcoming earnings release of Enterprise Products Partners will be of great interest to investors. The company's earnings per share (EPS) are projected to be $0.65, reflecting a 14.04% increase from the same quarter last year. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $14.03 billion, up 31.74% from the year-ago period.

Regarding the entire year, the Zacks Consensus Estimates forecast earnings of $2.73 per share and revenue of $58.34 billion, indicating changes of +7.91% and +17.35%, respectively, compared to the previous year.

It's also important for investors to be aware of any recent modifications to analyst estimates for Enterprise Products Partners. Such recent modifications usually signify the changing landscape of near-term business trends. Therefore, positive revisions in estimates convey analysts' confidence in the company's business performance and profit potential.

Our research reveals that these estimate alterations are directly linked with the stock price performance in the near future. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.

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. Within the past 30 days, our consensus EPS projection has moved 0.59% higher. Currently, Enterprise Products Partners is carrying a Zacks Rank of #2 (Buy).

In terms of valuation, Enterprise Products Partners is currently trading at a Forward P/E ratio of 10.4. This signifies a discount in comparison to the average Forward P/E of 11.94 for its industry.

Investors should also note that EPD has a PEG ratio of 1.32 right now. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. The average PEG ratio for the Oil and Gas - Production Pipeline - MLB industry stood at 1.32 at the close of the market yesterday.

The Oil and Gas - Production Pipeline - MLB industry is part of the Oils-Energy sector. This group has a Zacks Industry Rank of 64, putting it in the top 26% of all 250+ industries.

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

Make sure to utilize to follow all of these stock-moving metrics, and more, in the coming trading sessions.

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