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Enterprise Products Partners (EPD) Falls More Steeply Than Broader Market: What Investors Need to Know

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In the latest trading session, Enterprise Products Partners (EPD - Free Report) closed at $31.78, marking a -1.64% move from the previous day. The stock's change was less than the S&P 500's daily loss of 0.24%. Elsewhere, the Dow lost 0.62%, while the tech-heavy Nasdaq added 0.23%.

Prior to today's trading, shares of the provider of midstream energy services had gained 1.76% outpaced the Oils-Energy sector's loss of 1.72% and the S&P 500's gain of 1.31%.

The investment community will be closely monitoring the performance of Enterprise Products Partners in its forthcoming earnings report. The company's upcoming EPS is projected at $0.7, signifying a 5.41% drop compared to the same quarter of the previous year. At the same time, our most recent consensus estimate is projecting a revenue of $13.15 billion, reflecting a 7.43% fall from the equivalent quarter last year.

Looking at the full year, the Zacks Consensus Estimates suggest analysts are expecting earnings of $2.62 per share and revenue of $51.62 billion. These totals would mark changes of -2.6% and -8.18%, respectively, from last year.

It's also important for investors to be aware of any recent modifications to analyst estimates for Enterprise Products Partners. These latest adjustments often mirror the shifting dynamics of short-term business patterns. As a result, upbeat changes in estimates indicate analysts' favorable outlook on the business health and profitability.

Based on our research, we believe these estimate revisions are directly related to near-term stock moves. To utilize this, we have created the Zacks Rank, a proprietary model that integrates these estimate changes and provides a functional 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. Over the past month, there's been a 1.88% fall in the Zacks Consensus EPS estimate. Right now, Enterprise Products Partners possesses a Zacks Rank of #3 (Hold).

In terms of valuation, Enterprise Products Partners is currently trading at a Forward P/E ratio of 12.35. For comparison, its industry has an average Forward P/E of 12.35, which means Enterprise Products Partners is trading at no noticeable deviation to the group.

One should further note that EPD currently holds a PEG ratio of 2.47. Comparable to the widely accepted P/E ratio, the PEG ratio also accounts for the company's projected earnings growth. The Oil and Gas - Production Pipeline - MLB was holding an average PEG ratio of 1.73 at yesterday's closing price.

The Oil and Gas - Production Pipeline - MLB industry is part of the Oils-Energy sector. This industry, currently bearing a Zacks Industry Rank of 97, finds itself in the top 40% echelons of all 250+ industries.

The Zacks Industry Rank assesses the vigor of our specific industry groups by computing the average Zacks Rank of the individual stocks incorporated in the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Remember to apply Zacks.com to follow these and more stock-moving metrics during the upcoming trading sessions.


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