Enterprise Products Partners (EPD) AI Stock Analysis

• Market Cap: $69.30B
• Dividend Yield: 6.7%
• Average Volume (3M): 4.10M
• Price to Earnings (P/E): 12.0
• Beta (1Y): 0.35
• Revenue Growth: 9.10%
• EPS Growth: 4.37%
• Country: US
• Employees: 7,300
• Sector: Energy
• Sector Strength: 48
• Industry: Oil & Gas Midstream
• EPS (TTM): 0.64
• Shares Outstanding: 2,168,902,600
• 10 Day Avg. Volume: 3,970,808
• 30 Day Avg. Volume: 4,096,356
• PEG Ratio: 0.48
• Price to Book (P/B): 1.97
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 8.65
• Enterprise Value/Market Cap: 1.17
• Enterprise Value/Revenue: 0.37
• Enterprise Value/Gross Profit: 11.41
• Enterprise Value/Ebitda: 2.10
• 1Y Price Target: $36.60
• Price Target Upside: 14.55% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 11

• Rating: 77 Outperform
• Price Target: $36.00 ▲(12.68%Upside)

Enterprise Products Partners scores a solid 77, driven by its robust financial performance and attractive valuation. The company's ability to maintain high profitability and offer a significant dividend yield are its key strengths. While technical analysis and earnings call insights provide moderate support, recent corporate events introduce some risks that investors should monitor.

Positive Factors

Buyback and Capex Strategy

EPD's high take or pay level on NGL exports, falling capex and anticipated buyback step up should create an anchor for the stock that limits the downside even if macroeconomic deterioration continues.

Natural Gas Opportunities

A tilt toward natural gas in the near-term could benefit the partnership via greater exposure to the AI narrative and add depth to its capex backlog.

Volume Performance

Refined Product Pipeline Transportation Volumes significantly outperformed consensus estimates by 18.2%.

Negative Factors

Propyline Production

Propyline Production Volumes were below consensus estimates by 8.2%.

Shadow Backlog Concerns

It may screen as a negative to investors if EPD cannot outline additional shadow backlog projects that could lead it to raise its FY26 capex.

VLCC Project Delays

Commercialization progress of the proposed VLCC project (Sea Port Oil Terminal - or 'SPOT') has been slower than expected.

Enterprise Products Partners Business Overview & Revenue Model

Company Description

Enterprise Products Partners L.P. (EPD) is a leading North American provider of midstream energy services to producers and consumers of natural gas, natural gas liquids (NGLs), crude oil, refined products, and petrochemicals. Headquartered in Houston, Texas, Enterprise operates one of the largest integrated energy systems, which includes pipelines, storage facilities, and processing plants. The company primarily engages in the transportation, storage, and processing of hydrocarbons, with a focus on delivering reliable and cost-effective solutions across the energy value chain.

How the Company Makes Money

Enterprise Products Partners generates revenue through a diverse range of midstream energy services. Key revenue streams include fees from the transportation of natural gas, NGLs, crude oil, and refined products through its extensive pipeline network. The company also earns money by processing natural gas and NGLs at its facilities, where it extracts valuable components such as ethane and propane. Additionally, Enterprise provides storage services for natural gas and crude oil, offering strategic storage capabilities to manage supply and demand fluctuations. The company's earnings are further supported by long-term contracts and strategic partnerships with major energy producers and consumers, ensuring stable cash flows and reduced exposure to commodity price volatility.

Enterprise Products Partners Financial Statement Overview

Summary

Enterprise Products Partners demonstrates strong financial performance with consistent revenue growth, high profitability margins, and efficient cash flow management. The company maintains a low debt-to-equity ratio and impressive return on equity, indicating financial stability. However, a decrease in free cash flow from 2023 to 2024 presents a slight concern.

Income Statement

Enterprise Products Partners shows strong financial performance with consistent revenue growth, evident from the 13.07% increase in revenue from 2023 to 2024. The company maintains healthy profitability margins with a gross profit margin of 100% and a net profit margin of 10.49% for 2024. EBIT margin and EBITDA margin are also robust at 13.05% and 13.05% respectively. These metrics highlight the company's efficient cost management and high profitability, contributing to a strong income statement score.

Balance Sheet

The balance sheet reflects a solid equity position with a debt-to-equity ratio of 0.04, indicating low leverage. The return on equity (ROE) is impressive at 20.51%, showcasing effective use of equity to generate profits. An equity ratio of 37.23% suggests a stable capital structure. However, the high level of total liabilities relative to equity might pose a potential risk if not managed properly.

Cash Flow

Enterprise Products Partners demonstrates strong cash flow management with a positive free cash flow of $3.57 billion in 2024. The free cash flow to net income ratio is 0.61, indicating that the company effectively converts its net income into free cash flow. Operating cash flow to net income ratio stands at 1.38, suggesting efficient cash generation from operations. However, the decrease in free cash flow from 2023 to 2024 indicates slight pressure on cash generation.

Breakdown
Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement		Total Revenue
56.22B	49.72B	58.19B	40.81B	27.20B
	Gross Profit
7.17B	6.70B	6.68B	5.73B	4.83B
	EBIT
7.34B	6.93B	4.97B	4.23B	2.98B
	EBITDA
9.59B	9.05B	8.96B	7.99B	7.12B
	Net Income Common Stockholders
5.90B	5.53B	5.49B	4.64B	3.78B
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
583.00M	180.00M	76.00M	2.82B	1.06B
	Total Assets
77.17B	70.98B	68.11B	67.53B	64.11B
	Total Debt
32.26B	29.07B	28.64B	29.87B	29.87B
	Net Debt
31.68B	28.89B	28.56B	27.05B	28.81B
	Total Liabilities
47.58B	42.22B	40.41B	41.09B	38.73B
	Stockholders Equity
28.73B	27.67B	26.62B	285.90M	-165.20M
Cash Flow		Free Cash Flow
3.57B	4.30B	6.08B	6.29B	2.60B
	Operating Cash Flow
8.12B	7.57B	8.04B	8.51B	5.89B
	Investing Cash Flow
-5.43B	-3.20B	-4.95B	-2.13B	-3.12B
	Financing Cash Flow
-2.16B	-4.26B	-5.84B	-4.57B	-2.02B

Enterprise Products Partners Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 31.95
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For EPD, the sentiment is Positive. The current price of 31.95 is above the 20-day moving average (MA) of 31.63, above the 50-day MA of 30.92, and above the 200-day MA of 30.56, indicating a bullish trend. The MACD of 0.15 indicates Negative momentum. The RSI at 58.96 is Neutral, neither overbought nor oversold. The STOCH value of 88.03 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for EPD.

Enterprise Products Partners Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
MPLX	81 Outperform	$51.99B	11.76	32.54%	7.51%	5.53%	11.29%
OKE	78 Outperform	$51.04B	15.95	16.04%	5.04%	40.55%	19.24%
EPD	77 Outperform	$69.30B	12.00	20.49%	6.70%	9.10%	4.37%
ET	75 Outperform	$61.74B	13.55	13.73%	7.28%	1.04%	22.31%
KMI	73 Outperform	$60.84B	23.67	8.43%	4.27%	2.02%	5.40%
WMB	71 Outperform	$71.99B	31.63	18.32%	3.39%	8.63%	-20.98%
Sector *	58 Neutral	$7.37B	3.39	-4.49%	10.01%	0.82%	-49.15%

Enterprise Products Partners Corporate Events

Enterprise Products Faces New Export License Requirement

On May 23, 2025, the U.S. Department of Commerce’s Bureau of Industry and Security notified Enterprise Products Partners that a license is required for exporting ethane and butane to China or Chinese military end users due to concerns about their use in China’s military-civil fusion strategy. This new regulation could impact the company’s operations and export services, as it currently exports a significant portion of U.S. ethane to China. The company is evaluating its procedures and the potential impact on its financial position, as well as the broader implications for U.S. crude oil and natural gas production and prices.

The most recent analyst rating on (EPD) stock is a Buy with a $34.00 price target. To see the full list of analyst forecasts on Enterprise Products Partners stock, see the EPD Stock Forecast page.

Enterprise Products Partners Executive Resignation and Agreement

On April 21, 2025, Brent B. Secrest resigned as Executive Vice President and Chief Commercial Officer of Enterprise Products Holdings LLC, with the resignation taking effect on May 1, 2025. Following his departure, a Separation Agreement was established, providing Mr. Secrest with a substantial financial package contingent on certain employment restrictions within the oil and gas industry for a year, emphasizing confidentiality and non-solicitation commitments.

Enterprise Products Partners EVP Resignation Announced

On April 21, 2025, Brent B. Secrest resigned from his position as Executive Vice President and Chief Commercial Officer of Enterprise Products Holdings LLC, effective May 1, 2025. The company and Secrest are in discussions regarding the terms of his departure, which could impact the company’s leadership dynamics and stakeholder relations.