ENTERPRISE PRODUCTS PARTNERS (EPD)
US2937921078
Overall EPD gets a fundamental rating of 4 out of 10. We evaluated EPD against 204 industry peers in the Oil, Gas & Consumable Fuels industry. EPD has a medium profitability rating, but doesn't score so well on its financial health evaluation. EPD has a valuation in line with the averages, but it does not seem to be growing. EPD also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
EPD had positive earnings in the past year.
In the past year EPD had a positive cash flow from operations.
In the past 5 years EPD has always been profitable.
In the past 5 years EPD always reported a positive cash flow from operatings.
1.2 Ratios
Looking at the Return On Assets, with a value of 7.74%, EPD is in the better half of the industry, outperforming 66.01% of the companies in the same industry.
With a decent Return On Equity value of 20.31%, EPD is doing good in the industry, outperforming 71.43% of the companies in the same industry.
EPD's Return On Invested Capital of 9.15% is fine compared to the rest of the industry. EPD outperforms 60.59% of its industry peers.
EPD had an Average Return On Invested Capital over the past 3 years of 8.73%. This is significantly below the industry average of 22.56%.
The last Return On Invested Capital (9.15%) for EPD is above the 3 year average (8.73%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.74% | ||
| ROE | 20.31% | ||
| ROIC | 9.15% |
ROA(3y)7.51%
ROA(5y)7.15%
ROE(3y)19.43%
ROE(5y)18.42%
ROIC(3y)8.73%
ROIC(5y)8.51%
1.3 Margins
EPD has a Profit Margin (10.38%) which is in line with its industry peers.
In the last couple of years the Profit Margin of EPD has remained more or less at the same level.
EPD has a Operating Margin of 12.40%. This is in the lower half of the industry: EPD underperforms 63.05% of its industry peers.
In the last couple of years the Operating Margin of EPD has remained more or less at the same level.
EPD's Gross Margin of 19.87% is on the low side compared to the rest of the industry. EPD is outperformed by 67.98% of its industry peers.
EPD's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 12.4% | ||
| PM (TTM) | 10.38% | ||
| GM | 19.87% |
OM growth 3Y-13.55%
OM growth 5Y-0.74%
PM growth 3Y-7.13%
PM growth 5Y-0.61%
GM growth 3Y-12.54%
GM growth 5Y-1.03%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so EPD is still creating some value.
The number of shares outstanding for EPD remains at a similar level compared to 1 year ago.
EPD has less shares outstanding than it did 5 years ago.
The debt/assets ratio for EPD has been reduced compared to a year ago.
2.2 Solvency
EPD has a debt to FCF ratio of 8.37. This is a slightly negative value and a sign of low solvency as EPD would need 8.37 years to pay back of all of its debts.
EPD's Debt to FCF ratio of 8.37 is in line compared to the rest of the industry. EPD outperforms 47.29% of its industry peers.
EPD has a Debt/Equity ratio of 1.01. This is a high value indicating a heavy dependency on external financing.
EPD's Debt to Equity ratio of 1.01 is on the low side compared to the rest of the industry. EPD is outperformed by 73.89% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.01 | ||
| Debt/FCF | 8.37 | ||
| Altman-Z | N/A |
ROIC/WACC1.2
WACC7.63%
2.3 Liquidity
A Current Ratio of 0.91 indicates that EPD may have some problems paying its short term obligations.
With a Current ratio value of 0.91, EPD is not doing good in the industry: 68.47% of the companies in the same industry are doing better.
EPD has a Quick Ratio of 0.91. This is a bad value and indicates that EPD is not financially healthy enough and could expect problems in meeting its short term obligations.
EPD has a Quick ratio of 0.68. This is in the lower half of the industry: EPD underperforms 71.92% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.91 | ||
| Quick Ratio | 0.68 |
3. Growth
3.1 Past
EPD shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 8.98%, which is quite good.
EPD shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 4.11% yearly.
The Revenue for EPD has decreased by -14.56% in the past year. This is quite bad
Measured over the past years, EPD shows a small growth in Revenue. The Revenue has been growing by 6.36% on average per year.
EPS 1Y (TTM)8.98%
EPS 3Y13.8%
EPS 5Y4.11%
EPS Q2Q%8.33%
Revenue 1Y (TTM)-14.56%
Revenue growth 3Y22.27%
Revenue growth 5Y6.36%
Sales Q2Q%14.81%
3.2 Future
EPD is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 3.34% yearly.
Based on estimates for the next years, EPD will show a small growth in Revenue. The Revenue will grow by 4.73% on average per year.
EPS Next Y7.71%
EPS Next 2Y6.82%
EPS Next 3Y6.34%
EPS Next 5Y3.34%
Revenue Next Year16.86%
Revenue Next 2Y11.14%
Revenue Next 3Y13.27%
Revenue Next 5Y4.73%
3.3 Evolution
The EPS growth rate is stable: in the next years the growth will be about the same than in the last years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 12.29 indicates a correct valuation of EPD.
Compared to the rest of the industry, the Price/Earnings ratio of EPD is on the same level as its industry peers.
EPD is valuated cheaply when we compare the Price/Earnings ratio to 29.20, which is the current average of the S&P500 Index.
Based on the Price/Forward Earnings ratio of 11.41, the valuation of EPD can be described as reasonable.
Based on the Price/Forward Earnings ratio, EPD is valued a bit cheaper than 61.08% of the companies in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 24.00, EPD is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.29 | ||
| Fwd PE | 11.41 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of EPD indicates a slightly more expensive valuation: EPD is more expensive than 62.56% of the companies listed in the same industry.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of EPD is on the same level as its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 19.65 | ||
| EV/EBITDA | 10.95 |
4.3 Compensation for Growth
EPD's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
PEG (NY)1.59
PEG (5Y)2.99
EPS Next 2Y6.82%
EPS Next 3Y6.34%
5. Dividend
5.1 Amount
EPD has a Yearly Dividend Yield of 6.82%, which is a nice return.
EPD's Dividend Yield is a higher than the industry average which is at 6.45.
Compared to an average S&P500 Dividend Yield of 2.23, EPD pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 6.82% |
5.2 History
The dividend of EPD has a limited annual growth rate of 2.94%.
EPD has paid a dividend for at least 10 years, which is a reliable track record.
EPD has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)2.94%
Div Incr Years25
Div Non Decr Years25
5.3 Sustainability
77.40% of the earnings are spent on dividend by EPD. This is not a sustainable payout ratio.
The dividend of EPD is growing around the same rate as the earnings are growing. If this keeps up the dividend growth is sustainable.
DP77.4%
EPS Next 2Y6.82%
EPS Next 3Y6.34%
ENTERPRISE PRODUCTS PARTNERS
NYSE:EPD (11/22/2024, 6:01:40 PM)
After market: 32.8699 +0.05 (+0.15%)32.82
+0.47 (+1.45%)
Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryOil, Gas & Consumable Fuels
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap71.23B
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 6.82% |
Dividend Growth(5Y)
DP
Div Incr Years
Div Non Decr Years
Ex-Date
Surprises & Revisions
EPS beat(2)
Avg EPS beat(2)
Min EPS beat(2)
Max EPS beat(2)
EPS beat(4)
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EPS beat(8)
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EPS beat(12)
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EPS beat(16)
Avg EPS beat(16)
Revenue beat(2)
Avg Revenue beat(2)
Min Revenue beat(2)
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Revenue beat(4)
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Min Revenue beat(4)
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Revenue beat(8)
Avg Revenue beat(8)
Revenue beat(12)
Avg Revenue beat(12)
Revenue beat(16)
Avg Revenue beat(16)
PT rev (1m)
PT rev (3m)
EPS NQ rev (1m)
EPS NQ rev (3m)
EPS NY rev (1m)
EPS NY rev (3m)
Revenue NQ rev (1m)
Revenue NQ rev (3m)
Revenue NY rev (1m)
Revenue NY rev (3m)
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.29 | ||
| Fwd PE | 11.41 | ||
| P/S | |||
| P/FCF | |||
| P/OCF | |||
| P/B | |||
| P/tB | |||
| EV/EBITDA |
EPS(TTM)
EY
EPS(NY)
Fwd EY
FCF(TTM)
FCFY
OCF(TTM)
OCFY
SpS
BVpS
TBVpS
PEG (NY)1.59
PEG (5Y)2.99
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.74% | ||
| ROE | 20.31% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | 12.4% | ||
| PM (TTM) | 10.38% | ||
| GM | 19.87% | ||
| FCFM |
ROA(3y)
ROA(5y)
ROE(3y)
ROE(5y)
ROIC(3y)
ROIC(5y)
ROICexc(3y)
ROICexc(5y)
ROICexgc(3y)
ROICexgc(5y)
ROCE(3y)
ROCE(5y)
ROICexcg growth 3Y
ROICexcg growth 5Y
ROICexc growth 3Y
ROICexc growth 5Y
OM growth 3Y
OM growth 5Y
PM growth 3Y
PM growth 5Y
GM growth 3Y
GM growth 5Y
F-Score
Asset Turnover0.75
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.01 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | 0.91 | ||
| Quick Ratio | 0.68 | ||
| Altman-Z |
F-Score
WACC
ROIC/WACC
Cap/Depr(3y)
Cap/Depr(5y)
Cap/Sales(3y)
Cap/Sales(5y)
Profit Quality(3y)
Profit Quality(5y)
High Growth Momentum
Growth
EPS 1Y (TTM)8.98%
EPS 3Y13.8%
EPS 5Y
EPS Q2Q%
EPS Next Y7.71%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)-14.56%
Revenue growth 3Y22.27%
Revenue growth 5Y
Sales Q2Q%
Revenue Next Year
Revenue Next 2Y
Revenue Next 3Y
Revenue Next 5Y
EBIT growth 1Y
EBIT growth 3Y
EBIT growth 5Y
EBIT Next Year
EBIT Next 3Y
EBIT Next 5Y
FCF growth 1Y
FCF growth 3Y
FCF growth 5Y
OCF growth 1Y
OCF growth 3Y
OCF growth 5Y