Energy Transfer (ET) AI Stock Analysis

• Market Cap: $57.77B
• Dividend Yield: 7.71%
• Average Volume (3M): 14.05M
• Price to Earnings (P/E): 13.0
• Beta (1Y): 0.62
• Revenue Growth: -3.65%
• EPS Growth: 9.69%
• Country: US
• Employees: 16,248
• Sector: Energy
• Sector Strength: 52
• Industry: Oil & Gas Midstream
• EPS (TTM): 0.32
• Shares Outstanding: 3,432,681,600
• 10 Day Avg. Volume: 13,047,267
• 30 Day Avg. Volume: 14,046,971
• 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: 2.40
• Enterprise Value/Revenue: 1.72
• Enterprise Value/Gross Profit: 9.39
• Enterprise Value/Ebitda: 9.13
• 1Y Price Target: $22.36
• Price Target Upside: 32.86% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 11

• Rating: 70 Outperform
• Price Target: $18.50 ▲(9.92% Upside)

Energy Transfer's overall stock score reflects strong valuation and financial stability, but is tempered by technical indicators suggesting bearish trends and challenges highlighted in the earnings call. The company's attractive dividend yield and strategic growth initiatives are positive, but revenue growth and debt management remain key areas for improvement.

Positive Factors

Strategic Partnerships

The collaboration with VoltaGrid to support Oracle's AI data centers highlights Energy Transfer's role in innovative energy solutions, potentially boosting long-term demand for its infrastructure and enhancing its market position in clean energy initiatives.

Infrastructure Expansion

The expansion of the Price River Terminal enhances Energy Transfer's capacity to meet growing market demand, strengthening its infrastructure and positioning it for future growth in the Uinta Basin, which can lead to increased revenue and market share.

Operational Efficiency

Increased volumes in the Permian Basin due to plant upgrades reflect Energy Transfer's ability to enhance operational efficiency and capacity, supporting sustained growth and profitability in a key region.

Negative Factors

Declining Revenue Growth

The negative revenue growth trend indicates potential challenges in maintaining market share or pricing power, which could impact long-term financial performance if not addressed.

High Leverage

High leverage can constrain Energy Transfer's financial flexibility, increasing vulnerability to interest rate changes and economic downturns, potentially impacting its ability to invest in growth opportunities.

Decline in Key Segments

The decline in the crude oil segment's EBITDA highlights challenges in maintaining revenue in key areas, which could affect overall profitability and necessitate strategic adjustments to sustain growth.

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 performance is stable with strong operational efficiency and profitability margins. However, challenges include declining revenue growth and high leverage. The balance sheet shows significant reliance on debt, and 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	80.58B	82.67B	78.59B	89.88B	67.42B	38.95B
Gross Profit	14.74B	15.69B	13.80B	13.31B	13.45B	10.25B
EBITDA	15.16B	15.40B	12.56B	12.29B	12.63B	9.54B
Net Income	4.68B	4.81B	3.94B	4.76B	5.47B	-648.00M
Balance Sheet
Total Assets	125.02B	125.38B	113.70B	105.64B	105.96B	95.14B
Cash, Cash Equivalents and Short-Term Investments	242.00M	312.00M	161.00M	257.00M	336.00M	367.00M
Total Debt	61.50B	60.56B	53.22B	49.11B	50.57B	52.33B
Total Liabilities	79.17B	78.95B	68.98B	64.49B	65.83B	62.99B
Stockholders Equity	45.53B	35.12B	36.68B	33.03B	31.30B	18.54B
Cash Flow
Free Cash Flow	5.70B	7.34B	6.42B	5.67B	8.34B	2.23B
Operating Cash Flow	11.14B	11.51B	9.55B	9.05B	11.16B	7.36B
Investing Cash Flow	-7.65B	-5.90B	-4.33B	-4.02B	-2.77B	-4.90B
Financing Cash Flow	-3.90B	-5.45B	-5.33B	-5.11B	-8.42B	-2.39B

Energy Transfer Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 16.83
• 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 16.83 is above the 20-day moving average (MA) of 16.72, below the 50-day MA of 17.12, and below the 200-day MA of 17.51, indicating a neutral trend. The MACD of -0.05 indicates Negative momentum. The RSI at 48.36 is Neutral, neither overbought nor oversold. The STOCH value of 58.22 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	―	$51.73B	12.05	31.38%	7.54%	4.67%	2.07%
EPD	―	$66.67B	11.65	―	7.02%	-6.41%	―
OKE	―	$42.16B	12.32	17.14%	6.15%	58.76%	13.74%
ET	―	$57.77B	12.99	13.73%	7.71%	-3.65%	9.69%
KMI	―	$58.27B	21.47	8.87%	4.45%	8.54%	7.22%
WMB	―	$70.67B	29.20	19.64%	3.43%	10.57%	-14.22%
Sector *	―	$15.17B	7.61	4.09%	5.20%	3.87%	-62.32%

Energy Transfer Corporate Events

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.

Energy Transfer’s Mixed Q2 2025 Earnings Call Insights

Energy Transfer’s recent earnings call painted a mixed picture of the company’s financial health. While the company celebrated record EBITDA and announced significant new projects, particularly in the natural gas sector, there were also areas of concern. Segments like NGL and crude oil experienced declines, and the adjusted guidance due to weaker than anticipated performance in certain areas suggests a cautious outlook.

Energy Transfer LP Reports Stable Q2 2025 Earnings

Energy Transfer LP is a publicly traded limited partnership that owns and 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 product transportation and terminalling.