ENTERPRISE PRODUCTS PARTNERS (EPD) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:EPD - US2937921078
32.04 USD
+0.18 (+0.56%)
32.17 USD
+0.13 (+0.41%)
Taking everything into account, EPD scores 4 out of 10 in our fundamental rating. EPD was compared to 208 industry peers in the Oil, Gas & Consumable Fuels industry. There are concerns on the financial health of EPD while its profitability can be described as average. EPD has a valuation in line with the averages, but on the other hand it scores bad on growth. EPD also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
EPD had positive earnings in the past year.
EPD had a positive operating cash flow in the past year.
Each year in the past 5 years EPD has been profitable.
EPD had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
EPD's Return On Assets of 7.36% is fine compared to the rest of the industry. EPD outperforms 78.85% of its industry peers.
With an excellent Return On Equity value of 19.59%, EPD belongs to the best of the industry, outperforming 87.98% of the companies in the same industry.
The Return On Invested Capital of EPD (8.63%) is better than 78.85% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for EPD is significantly below the industry average of 21.28%.
| 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 60.10% of its industry peers.
EPD's Profit Margin has declined in the last couple of years.
The Operating Margin of EPD (12.94%) 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 65.38% of the companies in the same industry.
In the last couple of years the Gross Margin of EPD has declined.
| 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
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so EPD is still creating some value.
EPD has about the same amout of shares outstanding than it did 1 year ago.
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
The Debt to FCF ratio of EPD is 10.86, which is on the high side as it means it would take EPD, 10.86 years of fcf income to pay off all of its debts.
EPD has a Debt to FCF ratio (10.86) which is comparable to the rest of the industry.
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 69.71% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.06 | ||
| Debt/FCF | 10.86 | ||
| Altman-Z | N/A |
ROIC/WACC1.12
WACC7.72%
2.3 Liquidity
EPD has a Current 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.
With a Current ratio value of 0.88, EPD is not doing good in the industry: 61.54% 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.
EPD has a worse Quick ratio (0.60) than 71.15% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.88 | ||
| Quick Ratio | 0.6 |
3. Growth
3.1 Past
The earnings per share for EPD have decreased by -0.75% in the last year.
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.
EPD shows a decrease in Revenue. In the last year, the revenue decreased by -6.42%.
The Revenue has been growing by 11.39% on average over the past years. This is quite good.
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
EPD is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 5.19% yearly.
EPD is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 2.47% yearly.
EPS Next Y-1.44%
EPS Next 2Y3.22%
EPS Next 3Y4.05%
EPS Next 5Y5.19%
Revenue Next Year-8.07%
Revenue Next 2Y-2.56%
Revenue Next 3Y1.07%
Revenue Next 5Y2.47%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is stable.
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
With a Price/Earnings ratio of 12.09, EPD is valued correctly.
Based on the Price/Earnings ratio, EPD is valued a bit cheaper than the industry average as 69.23% of the companies are valued more expensively.
The average S&P500 Price/Earnings ratio is at 27.19. EPD is valued rather cheaply when compared to this.
Based on the Price/Forward Earnings ratio of 11.18, the valuation of EPD can be described as reasonable.
69.71% of the companies in the same industry are more expensive than EPD, based on the Price/Forward Earnings ratio.
When comparing the Price/Forward Earnings ratio of EPD to the average of the S&P500 Index (23.88), we can say EPD is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.09 | ||
| Fwd PE | 11.18 |
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 60.10% of the companies listed in the same industry.
EPD's Price/Free Cash Flow ratio is in line with the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 22.41 | ||
| EV/EBITDA | 10.93 |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)2.29
EPS Next 2Y3.22%
EPS Next 3Y4.05%
5. Dividend
5.1 Amount
EPD has a Yearly Dividend Yield of 6.91%, which is a nice return.
EPD's Dividend Yield is a higher than the industry average which is at 3.96.
Compared to an average S&P500 Dividend Yield of 1.94, EPD pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 6.91% |
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
80.91% of the earnings are spent on dividend by EPD. This is not a sustainable payout ratio.
The dividend of EPD is growing, but earnings are growing more, so the dividend growth is sustainable.
DP80.91%
EPS Next 2Y3.22%
EPS Next 3Y4.05%
32.04
+0.18 (+0.56%)
Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryOil, Gas & Consumable Fuels
Earnings (Last)
Earnings (Next)
Inst Owners25.37%
Inst Owner Change-0.06%
Ins Owners32.94%
Ins Owner Change-0.06%
Market Cap69.31B
Revenue(TTM)53.00B
Net Income(TTM)5.73B
Analysts79.17
Price Target36.39 (13.58%)
Short Float %2.01%
Short Ratio7.53
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 6.91% |
Yearly Dividend2.08
Dividend Growth(5Y)3.47%
DP80.91%
Div Incr Years26
Div Non Decr Years26
Ex-DateN/A
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)-1.51%
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%
PT rev (3m)-0.04%
EPS NQ rev (1m)-0.18%
EPS NQ rev (3m)-3.75%
EPS NY rev (1m)-0.45%
EPS NY rev (3m)-2.8%
Revenue NQ rev (1m)0.52%
Revenue NQ rev (3m)-0.72%
Revenue NY rev (1m)0.03%
Revenue NY rev (3m)-0.8%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.09 | ||
| Fwd PE | 11.18 | ||
| P/S | 1.31 | ||
| P/FCF | 22.41 | ||
| P/OCF | 8.18 | ||
| P/B | 2.37 | ||
| P/tB | 3.58 | ||
| EV/EBITDA | 10.93 |
EPS(TTM)2.65
EY8.27%
EPS(NY)2.87
Fwd EY8.95%
FCF(TTM)1.43
FCFY4.46%
OCF(TTM)3.92
OCFY12.22%
SpS24.5
BVpS13.53
TBVpS8.94
PEG (NY)N/A
PEG (5Y)2.29
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
WACC7.72%
ROIC/WACC1.12
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-1.44%
EPS Next 2Y3.22%
EPS Next 3Y4.05%
EPS Next 5Y5.19%
Revenue 1Y (TTM)-6.42%
Revenue growth 3Y11.27%
Revenue growth 5Y11.39%
Sales Q2Q%-12.72%
Revenue Next Year-8.07%
Revenue Next 2Y-2.56%
Revenue Next 3Y1.07%
Revenue Next 5Y2.47%
EBIT growth 1Y-0.97%
EBIT growth 3Y6.67%
EBIT growth 5Y4.37%
EBIT Next Year35.57%
EBIT Next 3Y14.26%
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.
What is the valuation status for EPD stock?
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.
Can you provide the PE and PB ratios for EPD stock?
The Price/Earnings (PE) ratio for ENTERPRISE PRODUCTS PARTNERS (EPD) is 12.09 and the Price/Book (PB) ratio is 2.37.
Can you provide the expected EPS growth for EPD stock?
The Earnings per Share (EPS) of ENTERPRISE PRODUCTS PARTNERS (EPD) is expected to decline by -1.44% in the next year.