ENTERPRISE PRODUCTS PARTNERS (EPD) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:EPD - US2937921078
32.13 USD
-0.08 (-0.25%)
32.2568 USD
+0.13 (+0.39%)
EPD gets a fundamental rating of 4 out of 10. The analysis compared the fundamentals against 208 industry peers in the Oil, Gas & Consumable Fuels industry. While EPD is still in line with the averages on profitability rating, there are concerns on its financial health. EPD is valued correctly, but it does not seem to be growing. Finally EPD also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
In the past year EPD was profitable.
In the past year EPD had a positive cash flow from operations.
In the past 5 years EPD has always been profitable.
EPD had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
Looking at the Return On Assets, with a value of 7.36%, EPD is in the better half of the industry, outperforming 79.90% of the companies in the same industry.
EPD's Return On Equity of 19.59% is amongst the best of the industry. EPD outperforms 88.04% of its industry peers.
Looking at the Return On Invested Capital, with a value of 8.63%, EPD is in the better half of the industry, outperforming 78.95% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for EPD is significantly below the industry average of 20.87%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.36% | ||
| ROE | 19.59% | ||
| ROIC | 8.63% |
ROA(3y)7.76%
ROA(5y)7.18%
ROE(3y)20.15%
ROE(5y)18.79%
ROIC(3y)8.99%
ROIC(5y)8.59%
1.3 Margins
EPD has a Profit Margin of 10.81%. This is in the better half of the industry: EPD outperforms 60.77% of its industry peers.
EPD's Profit Margin has declined in the last couple of years.
EPD has a Operating Margin (12.94%) which is comparable to the rest of the industry.
In the last couple of years the Operating Margin of EPD has declined.
Looking at the Gross Margin, with a value of 21.52%, EPD is doing worse than 66.03% of the companies in the same industry.
EPD's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 12.94% | ||
| PM (TTM) | 10.81% | ||
| GM | 21.52% |
OM growth 3Y-4.14%
OM growth 5Y-6.3%
PM growth 3Y-2.66%
PM growth 5Y-5.68%
GM growth 3Y-2.8%
GM growth 5Y-5.88%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), EPD is creating some value.
Compared to 1 year ago, EPD has about the same amount of shares outstanding.
Compared to 5 years ago, EPD has less shares outstanding
Compared to 1 year ago, EPD has a worse debt to assets ratio.
2.2 Solvency
EPD has a debt to FCF ratio of 10.86. This is a negative value and a sign of low solvency as EPD would need 10.86 years to pay back of all of its debts.
EPD's Debt to FCF ratio of 10.86 is in line compared to the rest of the industry. EPD outperforms 54.07% of its industry peers.
EPD has a Debt/Equity ratio of 1.06. This is a high value indicating a heavy dependency on external financing.
EPD has a worse Debt to Equity ratio (1.06) than 71.29% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.06 | ||
| Debt/FCF | 10.86 | ||
| Altman-Z | N/A |
ROIC/WACC1.1
WACC7.87%
2.3 Liquidity
A Current Ratio of 0.88 indicates that EPD may have some problems paying its short term obligations.
With a Current ratio value of 0.88, EPD is not doing good in the industry: 62.20% of the companies in the same industry are doing better.
EPD has a Quick Ratio of 0.88. This is a bad value and indicates that EPD is not financially healthy enough and could expect problems in meeting its short term obligations.
Looking at the Quick ratio, with a value of 0.60, EPD is doing worse than 72.73% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.88 | ||
| Quick Ratio | 0.6 |
3. Growth
3.1 Past
EPD shows a slight negative growth in Earnings Per Share. In the last year, the EPS has decreased by -0.75%.
Measured over the past 5 years, EPD shows a small growth in Earnings Per Share. The EPS has been growing by 5.28% on average per year.
Looking at the last year, EPD shows a decrease in Revenue. The Revenue has decreased by -6.42% in the last year.
EPD shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 11.39% yearly.
EPS 1Y (TTM)-0.75%
EPS 3Y8.6%
EPS 5Y5.28%
EPS Q2Q%-6.15%
Revenue 1Y (TTM)-6.42%
Revenue growth 3Y11.27%
Revenue growth 5Y11.39%
Sales Q2Q%-12.72%
3.2 Future
The Earnings Per Share is expected to grow by 5.19% on average over the next years.
The Revenue is expected to grow by 2.47% on average over the next years.
EPS Next Y-0.99%
EPS Next 2Y3.31%
EPS Next 3Y3.96%
EPS Next 5Y5.19%
Revenue Next Year-8.1%
Revenue Next 2Y-2.49%
Revenue Next 3Y1.52%
Revenue Next 5Y2.47%
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
The Price/Earnings ratio is 12.12, which indicates a correct valuation of EPD.
Based on the Price/Earnings ratio, EPD is valued a bit cheaper than 68.90% of the companies in the same industry.
EPD's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 26.56.
A Price/Forward Earnings ratio of 11.19 indicates a reasonable valuation of EPD.
69.38% of the companies in the same industry are more expensive than EPD, based on the Price/Forward Earnings ratio.
EPD's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 23.79.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.12 | ||
| Fwd PE | 11.19 |
4.2 Price Multiples
EPD's Enterprise Value to EBITDA is on the same level as the industry average.
EPD's Price/Free Cash Flow is on the same level as the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 22.47 | ||
| EV/EBITDA | 10.99 |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)2.3
EPS Next 2Y3.31%
EPS Next 3Y3.96%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 6.77%, EPD is a good candidate for dividend investing.
Compared to an average industry Dividend Yield of 3.83, EPD pays a bit more dividend than its industry peers.
EPD's Dividend Yield is rather good when compared to the S&P500 average which is at 1.87.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 6.77% |
5.2 History
The dividend of EPD has a limited annual growth rate of 3.47%.
EPD has been paying a dividend for at least 10 years, so it has 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)3.47%
Div Incr Years26
Div Non Decr Years26
5.3 Sustainability
EPD pays out 80.91% of its income as dividend. This is not a sustainable payout ratio.
EPD's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP80.91%
EPS Next 2Y3.31%
EPS Next 3Y3.96%
32.13
-0.08 (-0.25%)
Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryOil, Gas & Consumable Fuels
Earnings (Last)
Earnings (Next)
Inst Owners25.36%
Inst Owner Change0.54%
Ins Owners32.93%
Ins Owner Change0.2%
Market Cap69.51B
Revenue(TTM)53.00B
Net Income(TTM)5.73B
Analysts80.83
Price Target36.33 (13.07%)
Short Float %2.14%
Short Ratio7.42
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 6.77% |
Yearly Dividend2.08
Dividend Growth(5Y)3.47%
DP80.91%
Div Incr Years26
Div Non Decr Years26
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-4.43%
Min EPS beat(2)-10.12%
Max EPS beat(2)1.26%
EPS beat(4)2
Avg EPS beat(4)-3.47%
Min EPS beat(4)-10.12%
Max EPS beat(4)4.83%
EPS beat(8)3
Avg EPS beat(8)-2.21%
EPS beat(12)5
Avg EPS beat(12)-1.86%
EPS beat(16)7
Avg EPS beat(16)-1.56%
Revenue beat(2)0
Avg Revenue beat(2)-10.57%
Min Revenue beat(2)-20.95%
Max Revenue beat(2)-0.19%
Revenue beat(4)1
Avg Revenue beat(4)-3.2%
Min Revenue beat(4)-20.95%
Max Revenue beat(4)9.05%
Revenue beat(8)3
Avg Revenue beat(8)-0.17%
Revenue beat(12)3
Avg Revenue beat(12)-3.69%
Revenue beat(16)7
Avg Revenue beat(16)1.73%
PT rev (1m)-0.18%
PT rev (3m)-0.56%
EPS NQ rev (1m)-1.23%
EPS NQ rev (3m)-4.82%
EPS NY rev (1m)-1.94%
EPS NY rev (3m)-3.29%
Revenue NQ rev (1m)-2.28%
Revenue NQ rev (3m)-15.71%
Revenue NY rev (1m)-0.52%
Revenue NY rev (3m)-4.53%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.12 | ||
| Fwd PE | 11.19 | ||
| P/S | 1.31 | ||
| P/FCF | 22.47 | ||
| P/OCF | 8.21 | ||
| P/B | 2.38 | ||
| P/tB | 3.59 | ||
| EV/EBITDA | 10.99 |
EPS(TTM)2.65
EY8.25%
EPS(NY)2.87
Fwd EY8.94%
FCF(TTM)1.43
FCFY4.45%
OCF(TTM)3.92
OCFY12.19%
SpS24.5
BVpS13.53
TBVpS8.94
PEG (NY)N/A
PEG (5Y)2.3
Graham Number28.4
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.36% | ||
| ROE | 19.59% | ||
| ROCE | 10.93% | ||
| ROIC | 8.63% | ||
| ROICexc | 8.66% | ||
| ROICexgc | 10.29% | ||
| OM | 12.94% | ||
| PM (TTM) | 10.81% | ||
| GM | 21.52% | ||
| FCFM | 5.84% |
ROA(3y)7.76%
ROA(5y)7.18%
ROE(3y)20.15%
ROE(5y)18.79%
ROIC(3y)8.99%
ROIC(5y)8.59%
ROICexc(3y)9.03%
ROICexc(5y)8.74%
ROICexgc(3y)10.8%
ROICexgc(5y)10.44%
ROCE(3y)11.38%
ROCE(5y)10.88%
ROICexgc growth 3Y1.46%
ROICexgc growth 5Y0.63%
ROICexc growth 3Y1.61%
ROICexc growth 5Y1.06%
OM growth 3Y-4.14%
OM growth 5Y-6.3%
PM growth 3Y-2.66%
PM growth 5Y-5.68%
GM growth 3Y-2.8%
GM growth 5Y-5.88%
F-Score6
Asset Turnover0.68
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.06 | ||
| Debt/FCF | 10.86 | ||
| Debt/EBITDA | 3.33 | ||
| Cap/Depr | 215.03% | ||
| Cap/Sales | 10.15% | ||
| Interest Coverage | 5.14 | ||
| Cash Conversion | 90.5% | ||
| Profit Quality | 53.97% | ||
| Current Ratio | 0.88 | ||
| Quick Ratio | 0.6 | ||
| Altman-Z | N/A |
F-Score6
WACC7.87%
ROIC/WACC1.1
Cap/Depr(3y)140.35%
Cap/Depr(5y)136.99%
Cap/Sales(3y)6.01%
Cap/Sales(5y)7.11%
Profit Quality(3y)83.78%
Profit Quality(5y)91.54%
High Growth Momentum
Growth
EPS 1Y (TTM)-0.75%
EPS 3Y8.6%
EPS 5Y5.28%
EPS Q2Q%-6.15%
EPS Next Y-0.99%
EPS Next 2Y3.31%
EPS Next 3Y3.96%
EPS Next 5Y5.19%
Revenue 1Y (TTM)-6.42%
Revenue growth 3Y11.27%
Revenue growth 5Y11.39%
Sales Q2Q%-12.72%
Revenue Next Year-8.1%
Revenue Next 2Y-2.49%
Revenue Next 3Y1.52%
Revenue Next 5Y2.47%
EBIT growth 1Y-0.97%
EBIT growth 3Y6.67%
EBIT growth 5Y4.37%
EBIT Next Year35.67%
EBIT Next 3Y14.25%
EBIT Next 5Y10%
FCF growth 1Y-37.04%
FCF growth 3Y-17.19%
FCF growth 5Y12.42%
OCF growth 1Y6.85%
OCF growth 3Y-1.58%
OCF growth 5Y4.47%
ENTERPRISE PRODUCTS PARTNERS / EPD FAQ
What is the fundamental rating for EPD stock?
ChartMill assigns a fundamental rating of 4 / 10 to EPD.
Can you provide the valuation status for ENTERPRISE PRODUCTS PARTNERS?
ChartMill assigns a valuation rating of 4 / 10 to ENTERPRISE PRODUCTS PARTNERS (EPD). This can be considered as Fairly Valued.
How profitable is ENTERPRISE PRODUCTS PARTNERS (EPD) stock?
ENTERPRISE PRODUCTS PARTNERS (EPD) has a profitability rating of 5 / 10.
What is the valuation of ENTERPRISE PRODUCTS PARTNERS based on its PE and PB ratios?
The Price/Earnings (PE) ratio for ENTERPRISE PRODUCTS PARTNERS (EPD) is 12.12 and the Price/Book (PB) ratio is 2.38.
Can you provide the dividend sustainability for EPD stock?
The dividend rating of ENTERPRISE PRODUCTS PARTNERS (EPD) is 8 / 10 and the dividend payout ratio is 80.91%.