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in enterprise-value- to- EBITDA (earnings before interest, taxes, depreciation, and amortization), the most common way to value these stocks. However, the stocks surprisingly trade at a discount today compared to where they traded under the old, unfavorable model. Between 2011 and 2016, MLPs traded at an average multiple of 13.7
Blackstone aims to secure a valuation for Liftoff of more than 10 times the company’s 12-month earnings before interest, taxes, depreciation, and amortization (EBITDA) of $350m. Blackstone, the world’s largest alternative asset manager, had more than $1.1tn in assets under management as of the end of September.
Energy midstream companies like Energy Transfer are asset -heavy. As assets age, companies depreciate their value, which reduces their current taxable net income. However, depreciation is a non-cash expense. After adding back depreciation and subtracting maintenance and a few other expenses, Energy Transfer generated $1.6
James Hardie agrees to combine with Azek There are two concerns over the deal: the price and the fact that James Hardie is buying an asset in an industry that's continuing to be challenged by relatively high interest rates. However, there's a debate over whether the move downward is justified. Start Your Mornings Smarter! billion Azek deal.
Two additional key performance indicators that management will be discussing on this call are net asset value, or NAV, and return on equity, or ROE. NAV is defined as total assets minus total liabilities and is also reported on a per share basis. We've also continued to produce positive results for our asset management business.
billion Canadian ($3 billion) of adjusted earnings before interest, taxes, depreciation, and amortization ( EBITDA ) in the period. Fueling that growth was strong utilization across its existing assets, recently completed expansion projects, and the impact of acquisitions. The pipeline and utility operator produced $4.2
billion within 12 months of closing the deal through a combination of free cash flow and noncore asset sales. The company's near-term priority is to continue trimming its debt by retaining free cash flow after paying dividends and selling additional noncore assets to repay debt as it matures.
Whether it's an employee bonus, family inheritance, or the sale of an asset, people will sometimes receive huge deposits into their personal balance sheet. In 2024, consolidated revenue grew to $30 billion despite major depreciation of the Korean won versus the U.S. Managing a lump sum payment can be tricky.
On the surface, NextEra Energy Partners is a master limited partnership (MLP) that owns and builds clean energy assets, like solar and wind power. MLPs are pass-through entities designed to create material income streams for unitholders that often allow for the deferral of taxes because things like depreciation "pass through" to unitholders.
At the core of Saylor's argument is the idea that Bitcoin is actually safer than traditional financial assets. Bitcoin has outperformed the S&P 500 and most major assets, delivering an impressive 44% annual return on average. In his view, Bitcoin is not just another asset; it's the "apex predator" of finance.
The midstream sector of the energy industry While the companies in the midstream space are best known for their pipeline assets, they perform a variety of tasks in the energy complex. Let's take a look at the dynamics of the industry and some stocks in the sector that look poised to outperform over the next several years.
Coinbase is one of the world's largest cryptocurrency exchanges, and it facilitates trades of Bitcoin, Ether (CRYPTO: ETH) , Tether (CRYPTO: USDT) , and other crypto assets. Its exposure to those slower-growth assets seems to be throttling its overall growth. Both stocks more than tripled this year as Bitcoin's price more than doubled.
As that slide shows, the company's adjusted earnings before interest, taxes, depreciation, and amortization ( EBITDA ) rose from $447 million to $462 million, a 3.4% The other aspect of the company's strategic plan is selling its natural gas pipeline assets to repay funding as it matures and finance future renewable energy acquisitions.
The deal adds over 600,000 service customers in the state, which it serves with over 13,000 miles of gas distribution and transmission pipelines and other related gas infrastructure assets. The new gas utilities also increased the company's cash flow from stable regulated assets and enhanced its growth profile.
Kinder Morgan continues to deliver Over the last few years, Kinder Morgan has posted solid results and made multiple small- to medium-sized acquisitions in legacy oil and gas infrastructure assets, liquefied natural gas (LNG), and renewable natural gas (RNG). LNG is natural gas that is cooled and condensed so that it can be shipped overseas.
Notably, most of its revenue is generated from fees for the use of its assets, so the income it produces is fairly reliable and largely untethered from volatile commodity prices. Midstream companies grow by expanding their asset base. Like Enterprise, Enbridge owns a massive collection of midstream assets.
Enbridge currently gets 98% of its earnings before interest, taxes, depreciation, and amortization (EBITDA) from stable cost-of-service or contracted assets. The company's low-risk business model is a big driver of its remarkable consistency. The company also has an incredibly conservative financial profile.
If someone borrows at a high rate of interest for a depreciatingasset like a car or everyday consumer goods, that is "bad debt." You can borrow against the value of your business equipment or other assets that your business owns. Instead of helping you get ahead, having bad debt drags you down.
Most of the company's assets are highly regulated. Indeed, management has put a major focus in acquiring more "utility-like" assets over the last few years, and it's making a big increase in actual utilities with the acquisition of three properties from Dominion. EBITDA = earnings before interest, taxes, depreciation, and amortization.
The move will expand Home Depot's addressable market by an estimated $50 billion, but the company said it would suspend share buybacks until it returns to its target-debt leverage of two times earnings before interest, taxes, depreciation, and amortization ( EBITDA ).
Drilling down into the deal Williams has agreed to buy a portfolio of natural gas storage assets from Hartree Partners for nearly $2 billion. The company is paying about 10 times estimated 2024 earnings before interest, taxes, depreciation, and amortization ( EBITDA ) for these assets. billion to $6.8
When rates go up, it makes long-term assets like a solar or wind power plant less valuable, putting pressure on costs or forcing installers to charge higher prices for electricity. billion in pipeline assets to Kinder Morgan early in the week, management confirmed their intention to grow the dividend 5% to 8% from an annualized $3.42
In other words, it is very unlikely that this business will be able to grow its market share or top line anytime soon, as it will have fewer and fewer productive assets to operate. That will further reduce its total assets, and reduce its financial flexibility to borrow money at an attractive interest rate, as it will have less collateral.
This includes vital energy infrastructure assets like pipelines, storage, transportation, and processing facilities. In other words, Enterprise gets paid for the use of its irreplaceable assets. Image source: Getty Images. The key to the midstream sector is that it is largely a toll-taker business.
The remaining 28% of its trading volume came from "other crypto assets," which include smaller tokens, non-fungible tokens ( NFTs ), and other assets that flopped over the past year. Therefore, it can afford to wait for the crypto winter to end as long as it steers clear of the problems that sank FTX and torpedoed Binance.
Enterprise has also said it is one of the best-positioned companies to benefit from increased natural gas and power demand stemming from the artificial intelligence (AI) -driven data center buildout given its pipeline and storage assets. Energy Transfer's stock is among the cheapest in the space.
It's being able to run those depreciatedassets on a much longer basis with good margin wafers. Under the foundry model, the company's manufacturing assets can generate solid cash flows for a much longer period. "I Market leader TSMC generated nearly half of its revenue in the second quarter from 16nm or older process nodes.
Shift toward safer assets So your goal was to have a $2 million IRA in time for retirement, and lo and behold, you've gotten there with a couple of years to spare. But now, it's time to shift away from riskier assets, like stocks, and load up more of your portfolio with assets that are known to be more stable, like bonds.
These are vital assets, like pipelines and storage, that help move oil, natural gas, and the products into which they get turned around the world. For the most part, the partnership charges fees for the use of its assets, which creates fairly reliable cash flows over time. This is important. Image source: Getty Images.
It owns physical assets, like pipelines , that help move oil and natural gas from where they are extracted to where they are consumed and/or processed. This is largely a fee-based operation, which means the company is being paid for the use of its assets. The core of the business Enbridge is classified as a midstream company.
And if you weigh the companies by the accounting value of assets such as theme parks and giant digital spheres, Sphere Entertainment's enterprise value to assets (EV/A) lands at 0.4. Its price to sales (P/S) ratio stands at 1.7, just below Disney's 1.8. Disney looks downright expensive from that perspective with a 1.1 EV/A ratio.
After its 2022 merger with Kirkland Lake Gold and its acquisition of Yamana's Canadian assets, Agnico has emerged as a leading producer of gold -- and profits. This helps provide the ability to acquire more assets or to advance growth projects that will expand its mineral resources and strengthen the company's future.
Midstream companies are involved in a number of activities, but are largely known for transporting crude, natural gas, and NGLs (natural gas liquids) through their networks of pipeline assets. These pipeline companies generally have minimal exposure to energy prices, and are largely a play on increasing volumes for hydrocarbons. Trading at 7.3
That's an appropriate place for it, given that around 57% of the company's earnings before interest, taxes, depreciation, and amortization ( EBITDA ) comes from oil pipelines and another 28% from natural gas pipelines. The rest comes from a regulated natural gas utility (12% of EBITDA) and renewable power assets (the remainder).
year-over-year increase in its adjusted earnings before interest, taxes, depreciation, and amortization ( EBITDA ) to nearly $1.9 That helped more than offset weaker performance from its existing assets. The company plans to achieve its reset dividend growth goal by repowering existing wind energy assets. to $689 million.
In 2021, its revenue and adjusted earnings before interest, taxes, depreciation, and amortization (EBITDA) soared 545% and 676%, respectively, as many cryptocurrencies hit their all-time highs. However, Coinbase's growth trajectory is highly unpredictable because it's tightly tethered to the volatile cryptocurrency market.
That's because midstream companies own the energy infrastructure ( like pipelines ) that connects the upstream to the downstream, and the rest of the world, and they largely charge fees for the use of their assets. Image source: Getty Images. Enbridge is, basically, a toll taker. That tends to lead to slow and steady growth over time.
Based on Form 13F filings that detail the trading activity of Wall Street's smartest asset managers, prominent billionaire investors were big-time sellers of Nvidia (NASDAQ: NVDA) stock during the March-ended quarter. Yet in spite of the otherworldly growth forecasts attached to AI -- the analysts at PwC expect AI to add $15.7
Like the gold bugs, Bitcoin's bulls believe that fiat currencies are destined to depreciate, and the trend will drive more governments, businesses, and investors to adopt the cryptocurrency. million as it's recognized as a new asset class. Meanwhile, Bitcoin will undergo its next halving in April. But is Bitcoin really headed to $1.5
Learn More Setting the stage Last year, Energy Transfer grew its adjusted earnings before interest, taxes, depreciation, and amortization ( EBITDA ) by 13%, while its distributable cash flow rose 10%. Our analyst team just revealed what they believe are the 10 best stocks to buy right now.
While Verizon faces stiff competition and challenges in its fixed-line business, its extensive fiber-network assets and 5G technology offer growth potential.
AT&T's dividend had to come down because the company spun out its unpredictable media assets. times adjusted earnings before interest, taxes, depreciation, and amortization (EBITDA) at the moment to 2.5 In the first quarter, Steven Cohen and Point72, the fund he manages, bought about 15.3 million shares of AT&T stock.
That's a concerning number when the company's current assets total less than $10 billion. Gross leverage compares gross to debt to adjusted earnings before interest, taxes, depreciation, and amortization ( EBITDA ). That would make it a significant part of Viatris' business, especially as the company divests of other assets.
It operates pipelines, storage assets, a marine business, and export terminals. It also operates crude oil and refined products logistics and storage assets, as well as natural gas G&P operations. billion of adjusted earnings before interest, taxes, depreciation, and amortization ( EBITDA ) and $5.3
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