Energy Transfer (ET) AI Stock Analysis

• Market Cap: $56.69B
• Dividend Yield: 7.96%
• Average Volume (3M): 15.33M
• Price to Earnings (P/E): 13.2
• Beta (1Y): 0.62
• Revenue Growth: -4.67%
• EPS Growth: -8.06%
• Country: US
• Employees: 16,248
• Sector: Energy
• Sector Strength: 52
• Industry: Oil & Gas Midstream
• EPS (TTM): 0.28
• Shares Outstanding: 3,433,387,000
• 10 Day Avg. Volume: 17,368,164
• 30 Day Avg. Volume: 15,325,538
• PEG Ratio: 0.80
• Price to Book (P/B): 1.89
• Price to Sales (P/S): 0.80
• P/FCF Ratio: 9.06
• Enterprise Value/Market Cap: 2.39
• Enterprise Value/Revenue: 1.70
• Enterprise Value/Gross Profit: 8.30
• Enterprise Value/Ebitda: 8.92
• 1Y Price Target: $22.00
• Price Target Upside: 33.25% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 10
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 69 Neutral
• Price Target: $18.50 ▲(12.05% Upside)

Energy Transfer's overall stock score is primarily influenced by its strong valuation and operational efficiency. However, challenges in revenue growth and mixed earnings call sentiment weigh on the score. The high dividend yield and reasonable P/E ratio provide a cushion, making it a stable but cautious investment choice.

Positive Factors

Operational Efficiency

Strong operational efficiency, as indicated by healthy EBIT and EBITDA margins, suggests effective cost management and the ability to maintain profitability over time.

Growth Opportunities

Pipeline expansion projects indicate strategic growth initiatives that can enhance capacity and revenue potential, supporting long-term earnings growth.

Fee-Based Revenue Model

A fee-based revenue model with long-term contracts ensures predictable cash flows and reduces exposure to commodity price volatility, enhancing financial stability.

Negative Factors

Negative Revenue Growth

Negative revenue growth indicates challenges in maintaining sales momentum, which could impact future profitability and market competitiveness.

Decreased EBITDA

A decrease in EBITDA suggests reduced core earnings capability, potentially affecting cash flow and reinvestment capacity, impacting long-term growth.

Guidance Revision

Revised guidance below initial expectations indicates potential operational or market challenges, which could affect investor confidence and strategic planning.

Energy Transfer Business Overview & Revenue Model

Company Description

Energy Transfer LP (ET) is a publicly traded master limited partnership headquartered in Dallas, Texas. The company operates in the energy sector, primarily focusing on the transportation and storage of natural gas, crude oil, and natural gas liquids. Energy Transfer owns and operates an extensive network of pipelines, storage facilities, and processing plants, providing critical infrastructure and services to energy producers and consumers across the United States.

How the Company Makes Money

Energy Transfer generates revenue primarily through the transportation and storage of hydrocarbons. The company earns fees from transporting natural gas, crude oil, and NGLs through its pipeline systems, which are charged per unit of volume moved. Additionally, it derives income from its storage services, where customers pay for the capacity to store their products. Energy Transfer also engages in processing activities, which involve the separation of natural gas liquids from raw natural gas, earning further income through processing fees. The company benefits from long-term contracts with its customers, providing stable revenue streams. Moreover, strategic partnerships and joint ventures with other energy companies enhance its operational capabilities and market reach, contributing significantly to its earnings. Overall, a combination of fee-based revenue and diversified service offerings positions Energy Transfer as a key player in the energy infrastructure sector.

Energy Transfer Financial Statement Overview

Summary

Energy Transfer's financial statements show strong operational efficiency and profitability margins, but challenges in revenue growth and high leverage. The balance sheet indicates significant reliance on debt, which could pose risks if not managed carefully. Cash flow generation remains robust, although recent declines in free cash flow growth warrant attention.

Income Statement

Energy Transfer's income statement shows a mixed performance. The company has maintained a stable gross profit margin around 18% over the TTM, which is healthy for the industry. However, the net profit margin has slightly decreased to 5.81%, indicating some pressure on profitability. Revenue growth has been negative recently, with a decline of 1.81% in the TTM, which could be a concern if the trend continues. The EBIT and EBITDA margins remain strong, reflecting efficient operations.

Balance Sheet

The balance sheet reveals a high debt-to-equity ratio of 1.35, which is a reduction from previous years but still indicates significant leverage. Return on equity is solid at 12.38%, suggesting effective use of equity to generate profits. The equity ratio stands at 36.42%, showing a reasonable level of equity financing relative to total assets. Overall, the balance sheet shows stability but with a notable reliance on debt.

Cash Flow

Cash flow analysis indicates a decline in free cash flow growth by 5.88% in the TTM, which could impact future investments. The operating cash flow to net income ratio is strong at 0.94, suggesting good cash generation relative to net income. The free cash flow to net income ratio is 0.51, indicating that a significant portion of net income is converted into free cash flow, though this has decreased from previous periods.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	79.76B	82.67B	78.59B	89.88B	67.42B	38.95B
Gross Profit	16.33B	15.69B	13.80B	13.31B	13.45B	10.25B
EBITDA	15.20B	15.40B	12.56B	12.29B	12.63B	9.54B
Net Income	4.52B	4.81B	3.94B	4.76B	5.47B	-648.00M
Balance Sheet
Total Assets	129.33B	125.38B	113.70B	105.64B	105.96B	95.14B
Cash, Cash Equivalents and Short-Term Investments	3.59B	312.00M	161.00M	257.00M	336.00M	367.00M
Total Debt	63.97B	60.56B	53.22B	49.11B	50.57B	52.33B
Total Liabilities	82.19B	78.95B	68.98B	64.49B	65.83B	62.99B
Stockholders Equity	34.68B	35.12B	36.68B	33.03B	31.30B	18.54B
Cash Flow
Free Cash Flow	5.26B	7.34B	6.42B	5.67B	8.34B	2.23B
Operating Cash Flow	10.84B	11.51B	9.55B	9.05B	11.16B	7.36B
Investing Cash Flow	-5.90B	-5.90B	-4.33B	-4.02B	-2.77B	-4.90B
Financing Cash Flow	-1.67B	-5.45B	-5.33B	-5.11B	-8.42B	-2.39B

Energy Transfer Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 16.51
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For ET, the sentiment is Negative. The current price of 16.51 is below the 20-day moving average (MA) of 16.63, below the 50-day MA of 16.63, and below the 200-day MA of 16.97, indicating a bearish trend. The MACD of 0.05 indicates Negative momentum. The RSI at 46.12 is Neutral, neither overbought nor oversold. The STOCH value of 49.40 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for ET.

Energy Transfer Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
MPLX	81 Outperform	$54.98B	11.46	34.35%	7.30%	5.19%	11.09%
EPD	74 Outperform	$70.18B	12.28	19.98%	6.66%	-6.46%	-0.87%
OKE	74 Outperform	$44.38B	12.97	17.14%	5.84%	58.76%	13.74%
ET	69 Neutral	$56.69B	13.22	13.09%	7.96%	-4.67%	-8.06%
KMI	68 Neutral	$60.02B	22.12	8.87%	4.32%	8.54%	7.22%
WMB	68 Neutral	$72.80B	30.84	19.00%	3.43%	11.48%	-17.82%
Sector *	65 Neutral	$15.17B	7.61	4.09%	5.20%	3.87%	-62.32%

Energy Transfer Corporate Events

Energy Transfer’s Mixed Q3: Growth Amid Challenges

Energy Transfer Equity’s recent earnings call presented a mixed sentiment, reflecting both optimism and caution. While the company celebrated several operational achievements, such as volume records and growth in specific segments, it also faced challenges with decreased EBITDA and revised financial guidance, indicating potential hurdles in the near-term financial landscape.

Energy Transfer LP Reports Q3 2025 Earnings

Energy Transfer LP, a leading energy infrastructure company, operates one of the largest and most diversified portfolios of energy assets in the United States, focusing on natural gas midstream, transportation, and storage, as well as crude oil and refined products.

Energy Transfer Increases Quarterly Cash Distribution

On October 28, 2025, Energy Transfer LP announced an increase in its quarterly cash distribution to $0.3325 per common unit, marking a more than 3 percent rise compared to the third quarter of 2024. This distribution will be paid on November 19, 2025, to unitholders of record as of November 7, 2025. The announcement reflects positively on the company’s financial health and commitment to returning value to its stakeholders, potentially enhancing its market positioning and investor confidence.

The most recent analyst rating on (ET) stock is a Hold with a $17.00 price target. To see the full list of analyst forecasts on Energy Transfer stock, see the ET Stock Forecast page.

Energy Transfer Executes Supplemental Indentures with Trustee

Energy Transfer LP, a prominent player in the energy sector, has announced the execution of two supplemental indentures dated August 25, 2025, with U.S. Bank Trust Company, National Association, as trustee. These agreements are part of the company’s strategic financial management, potentially impacting its financial structuring and stakeholder relations.

The most recent analyst rating on (ET) stock is a Buy with a $19.50 price target. To see the full list of analyst forecasts on Energy Transfer stock, see the ET Stock Forecast page.

Energy Transfer Announces $2 Billion Notes Offering

On August 11, 2025, Energy Transfer LP announced the pricing of its public offering of $2 billion in junior subordinated notes, which includes $1.2 billion of Series 2025A notes and $800 million of Series 2025B notes, both due in 2056. The proceeds from this offering, expected to close on August 25, 2025, will be used to repay borrowings under the company’s revolving credit facility and for general partnership purposes, potentially impacting the company’s financial flexibility and debt management strategy.

The most recent analyst rating on (ET) stock is a Buy with a $23.00 price target. To see the full list of analyst forecasts on Energy Transfer stock, see the ET Stock Forecast page.

Energy Transfer to Present at Citi’s 2025 Conference

Energy Transfer LP announced that its management will participate in informational sessions with investors and analysts at Citi’s 2025 Natural Resources Conference from August 12-14 in Las Vegas. During these sessions, the company plans to provide an overview of its business segments and updates on growth projects, which could impact its operational strategy and stakeholder engagement.

The most recent analyst rating on (ET) stock is a Buy with a $23.00 price target. To see the full list of analyst forecasts on Energy Transfer stock, see the ET Stock Forecast page.