Energy Transfer Stock: Buy, Sell, or Hold?

Energy Transfer (NYSE: ET) has had a strong 2024, with its stock price up about 40% as of this writing. At the same time, the master limited partnership (MLP) pays an attractive distribution that is good for a forward yield of 6.7%.With the stock having more than tripled in value since the end of 2020, the question becomes, is it a buy, sell, or hold going forward? Let's look at the buy and sell cases to decide.Energy Transfer has created one of the largest integrated midstream systems in the U.S. It handles the transport, storage, and processing of various energy products, including natural gas, liquid natural gas (LNG), crude oil, and refined oil products. This system allows the company to take advantage of both increasing volumes for these products as well as any geographic, time, or product arbitrage opportunities that come about. For example, natural gas can trade at higher prices in different regions of the U.S. as well as during different seasons, such as the winter. As such, Energy Transfer can profit by storing natural gas for winter needs or by transporting it to higher-priced regions. It is also able to upgrade certain hydrocarbons to other products that can be more valuable.Continue readingWeiter zum vollständigen Artikel bei MotleyFool Weiter zum vollständigen Artikel bei MotleyFool