WPZ

Williams Partners LP

Energy


Presented:12/04/2015
Price:$24.97
Cap:$14.65B
Current Price:$47.37
Cap:$45.39B

Presented

Date12/04/2015
Price$24.97
Market Cap$14.65B
Ent Value$42.07B
P/E Ratio141.55x
Book Value$37.29
Div Yield4.32%
Shares O/S586.72M
Ave Daily Vol2,328,410
Short Int3.63%

Current

Price$47.37
Market Cap$45.39B
Williams Partners LP owns, operates, develops and acquires natural gas, natural gas liquids and oil gathering systems and other midstream energy assets. It provides gathering, treating and compression services to Chesapeake Energy Corp., Total Gas & Power North America, Inc., Statoil ASA, Anadarko Petroleum Corp., Mitsui & Co., Ltd. and other producers under long-term, fixed-fee contracts. Its assets are located in Arkansas, Kansas, Louisiana, Maryland, New York, Ohio, Oklahoma, Pennsylvania, Texas, Virginia, West Virginia and Wyoming. The company was founded in January 2010 and is headquartered in Oklahoma City, OK.

Publicly traded companies mentioned herein: Chesapeake Energy Corporation (CHK), Energy Transfer Equity LP (ETE), Williams Companies Inc (WMB), Williams Partners LP (WPZ)

Highlights

The presenter believes that many of the valuations in the midstream segment of the energy sector have reached extremely depressed levels. In particular, shares of Williams Partners (WPZ) are trading at “a particularly egregious level.” He is long WPZ and expects 13% to be a floor for the yield, which should come in over the next year as concerns about the MLP’s funding needs and exposure to Chesapeake appear to be overblown.

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Idea Discussion

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