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in enterprise-value- to- EBITDA (earningsbeforeinterest, 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. Let's look at two great MLPs to buy right now.
Blackstone aims to secure a valuation for Liftoff of more than 10 times the company’s 12-month earningsbeforeinterest, 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.
to 5 times debt to EBITDA (earningsbeforeinterest, taxes, deprecation, and amortization). Enbridge is a toll taker What's equally interesting here is Enbridge's core business model. Throughout its business, the company focuses on generating reliable cash flows from fees, regulated assets, and contracts.
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 Canadian ($3 billion) of adjusted earningsbeforeinterest, 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
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.
Growing despite the headwinds NextEra Energy Partners delivered modest earnings and cash flow growth during the first quarter: Image source: NextEra Energy Partners. As that slide shows, the company's adjusted earningsbeforeinterest, taxes, depreciation, and amortization ( EBITDA ) rose from $447 million to $462 million, a 3.4%
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.
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 earningsbeforeinterest, taxes, depreciation, and amortization (EBITDA) from stable cost-of-service or contracted assets. Enbridge has been working to enhance the stability of its earnings profile by upgrading its portfolio.
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 = earningsbeforeinterest, taxes, depreciation, and amortization.
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 earningsbeforeinterest, taxes, depreciation, and amortization ( EBITDA ) for these assets. billion to $6.8
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.
Pressure on solar energy stocks continues Interest rates have been up and down over the past month, and at least in the first four days of trading this week, rates were on the rise, which is bad for renewable energy companies. What Seaport Global questioned was the company's ability to pay its lofty dividend long term.
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 earningsbeforeinterest, taxes, depreciation, and amortization ( EBITDA ).
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.
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.
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.
That's an appropriate place for it, given that around 57% of the company's earningsbeforeinterest, 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 earningsbeforeinterest, taxes, depreciation, and amortization ( EBITDA ) to nearly $1.9 NextEra Energy Partners benefited from the increased income earned by new projects added to the portfolio and a reduction in management fees from its parent, NextEra Energy. to $689 million.
In 2021, its revenue and adjusted earningsbeforeinterest, 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
This business segment is also enormously profitable, generating 189 billion yuan ($26 billion) in earningsbeforeinterest, taxes, and amortization (EBITA) in the fiscal year 2024. With so many valuable assets under its umbrella, Alibaba needs to do just one thing: execute well to unlock the value of these assets.
Learn More Setting the stage Last year, Energy Transfer grew its adjusted earningsbeforeinterest, 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 earningsbeforeinterest, 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
That's a concerning number when the company's current assets total less than $10 billion. Gross leverage compares gross to debt to adjusted earningsbeforeinterest, taxes, depreciation, and amortization ( EBITDA ). In its most recent earnings report, the company's net sales of $3.9
These deals are expected to be completed by the end of the year and will increase the Enbridge's exposure to natural gas utilities from 12% of earningsbeforeinterest, taxes, depreciation, and amortization (EBITDA) to 22%. billion in proceeds from asset sales this year. billion of liquidity to invest in growth.
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. Those diversified midstream operations supply both MLPs with stable earnings and cash flow. Last year, MPLX produced $6.3
Adjusted earningsbeforeinterest, taxes, depreciation, and amortization (EBITDA) more than doubled from last year in the first quarter to $871 million, and Carnival reported its third consecutive quarter of positive operating income. The long-term opportunity Carnival was a market-beating stock before the pandemic.
AT&T If you're looking for stocks that can grow their high-yield dividends, you might have overlooked AT&T because it reduced its dividend payout by 47% in 2022 to compensate for the spinoff of its media assets. times adjusted earningsbeforeinterest, taxes, depreciation, and amortization ( EBITDA ) last year, from 3.19
Roughly 90% of its adjusted earningsbeforeinterest, taxes, depreciation, and amortization ( EBITDA ) come from stable, fee-based sources. The MLP also has a well-balanced asset mix. An elite income investment Energy Transfer checks all the boxes for me. The midstream giant produces lots of steady cash flow.
EBITDA = earningsbeforeinterest, taxes, depreciation, and amortization. 2023 revenue and earnings guidance raised (after being significantly lowered last quarter) Management increased its annual revenue and earnings outlook because of recently rising lithium market prices. billion 60% $1.03 YOY = year over year.
With yields on MBSs having risen since March 2022 and short-term borrowing costs on the decline, Annaly has a clearer path to high value assets without the Fed buying MBSs. Lastly, Annaly Capital Management predominantly invests in agency assets.
that transport oil and gas plus other midstream assets. Roughly 90% of its adjusted earningsbeforeinterest, taxes, depreciation, and amortization ( EBITDA ) is fee-based, which means commodity prices don't impact profits very much. forward earnings. The stock currently trades at only 7.2x
A digital collaboration Enbridge recently unveiled a collaboration with Microsoft and will use AI to drive significant advancements in safety, emissions reduction, and asset optimization across its pipeline and utility platforms. That will enhance safety, reduce complexity, and maintain the health of its assets. million-$219.9
Together, these groups cover areas like risk data management, regulatory reporting solutions, fraud and anti-money laundering , and surveillance for banks, insurers, and asset managers. times EBITDA (earningsbeforeinterest, taxes, depreciation, and amortization) to 3.3 times within three years.
It further diversifies our business and enhances the stable cash flow profile of our assets," stated Michele Harradence, the president of gas distribution and storage at Enbridge. "The addition of a strong Ohio-based gas utility company is a great strategic fit for Enbridge.
In addition, it produces more vehicles in one month than most companies do in a year and has one of the strongest financial standings with more than $26 billion in cash, a great asset to have in a volatile economy. Yet, the most intriguing aspect of Tesla isn't just its position as an EV leader.
The remaining 35% came from smaller altcoins and other crypto assets. Coinbase's adjusted earningsbeforeinterest, taxes, depreciation, and amortization ( EBITDA ) margin also turned positive again in 2023 as it aggressively cut costs. However, its revenue fell 59% in 2022 as rising rates popped that speculative bubble.
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