ETP 7 ⅝ PERP Corp

Energy Transfer Partners

Energy


Publicly traded companies mentioned herein: Energy Transfer LP (ET)

Highlights

The presenter is long Energy Transfer’s Series D preferred at ~$18 per share and sees a favorable risk/reward setup due to ET’s scale, diverse revenue base, high percentage of investment grade counterparties, and capital structure. With over $4B of liquidity and manageable upcoming maturities, he’s willing to look beyond concerns, including an oversupply of oil and lower natural gas volumes. In his opinion, the pref should be worth par ($25) and, including a cash coupon of just over 6%, investors could see a 45% total return with limited downside risk.

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Idea Discussion

Commentor 1 - 2 weeks ago

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