Jefferies: Time To Buy Energy Transfer Equity (NYSE:ETE)? Has $23 Valuation Target

Share

Why Has Jefferies Given Energy Transfer Equity (NYSE:ETE) a $23 Price Target

Investment analysts at Jefferies initiated coverage on shares of Energy Transfer Equity (NYSE:ETE) in an interesting research report issued to clients and investors on Friday, 18 December. The financial firm set “Buy” rating on the stock. Jefferies’s Estimated Target Price of $23 suggests potential of 95.08% from the stock’s last stock price.

Approximately 4.60 million shares of stock traded hands. Energy Transfer Equity LP (NYSE:ETE) has declined 65.85% since May 15, 2015 and is downtrending. It has underperformed by 62.04% the S&P500.

The overall sentiment of institutions has decreased to 0.7 in Q2 2015. Its down 0.32, from 1.02 in 2015Q2. The ratio fall, as 78 institutions have sold all the shares of Energy Transfer Equity LP that they owned while 123 funds have taken shares off the table. 28 funds have purchased shares for the first time while 112 added to their positions. These institutions now hold 1.02 billion shares or 305.12% more than the 251.55 million shares they owned in 2015Q2.

The Fund Walnut Private Equity Partners Llc currently is holding shares equating to 21.12% of its total portfolio in Energy Transfer Equity LP representing a total of 1.20 million shares. Another fund,Yorkville Capital Management Llc, is holding a total of 863,918 shares equating to 17.95% of their holdings. Additionally, C V Starr & Co Inc has a 110,230 share stake in Energy Transfer Equity LP which represents 12.12% of their total portfolio. The Fund, Whetstone Capital Advisors Llc, based out of Kansas, has also built up a stake in the stock, which represents a total of 10.07% of their total portfolio. Finally Heronetta Management L.P., a fund which is based in the state of New York reported a total holdings of 638,780 shares.

Energy Transfer Equity, L.P. is a limited partnership company. The company has a market cap of $13.19 billion. Energy Transfer Equity, L.P. directly and indirectly owns equity interests in ETP and Regency, both of which are master limited partnerships engaged in diversified energy-related services. It has 12.14 P/E ratio. The Company’s operating divisions include Investment in ETP, including the consolidated activities of ETP; Investment in Regency, including the consolidated activities of Regency; Investment in Lake Charles LNG, including the activities of Lake Charles LNG and Corporate and Other, including activities of the Parent Company.

According to Zacks Investment Research, “Energy Transfer Equity, L.P. owns a diversified portfolio of energy assets, including natural gas operations consisting miles of natural gas gathering and transportation pipelines, natural gas treating and processing assets located in Texas and Louisiana, and three natural gas storage facilities located in Texas.”

COMMENTS: