Energy Transfer Partners

ET

Market cap $58B

Investors often turn to recommendations made by Wall Street analysts before making a Buy, Sell, or Hold decision about a stock. While media reports about rating changes by these brokerage-firm employed (or sell-side) analysts often affect a stock's price, do they really matter?

CALGARY, AB , Oct 14, 2025 /PRNewswire/ - Parkland Corporation ("Parkland") (TSX: PKI) and Sunoco LP (NYSE: SUN) ("Sunoco" or the "Partnership") today announced that the Government of Canada has approved the previously announced proposed acquisition of Parkland by Sunoco (the "Transaction"), in accordance with the terms of the Investment Canada Act. The Transaction is expected to close in the fourth quarter of 2025, subject to obtaining certain remaining regulatory approvals and the satisfaction or waiver of customary closing conditions.

DALLAS , Oct. 14, 2025 /PRNewswire/ -- Sunoco LP (NYSE: SUN) ("Sunoco" or the "Partnership") and Parkland Corporation (TSX: PKI) ("Parkland") today announced that the Government of Canada has approved the previously announced proposed acquisition of Parkland by Sunoco (the "Transaction"), in accordance with the terms of the Investment Canada Act. The Transaction is expected to close in the fourth quarter of 2025, subject to obtaining certain remaining regulatory approvals and the satisfaction or waiver of customary closing conditions.

Energy Transfer presents a compelling value for income investors, offering an 8.1% yield after recent price declines and market jitters. ET's vast, diversified pipeline network and fee-based cash flows provide stable earnings, with strong growth drivers including AI-driven demand and LNG exports. Trading at just 5x cash flow, ET is undervalued compared to peers, with a well-covered distribution and management targeting 3-5% annual growth.

Midstream master limited partnerships (MLPs) may not be flashy, but they quietly deliver dependable income and steady growth. These companies sit at the center of the energy value chain, earning stable fees from transporting, processing, and storing oil and natural gas.

Energy Transfer (ET -1.96%) has long been a favorite among income investors, and with the stock down roughly 20% from its recent high, the setup now looks even better. The pullback has pushed the stock's yield to nearly 8%.

Energy Transfer offers a high-single-digit yield, supported by robust and growing free cash flow from strategic North American assets. ET has transitioned from survival mode to a capital-returning powerhouse, normalizing leverage and increasing export volumes. The current setup provides a rare mix of cyclical upside, income stability, and growth potential for income-focused investors.

The chances for a notable correction are certainly not low. Going into richly priced and growth-focused names might not be the smartest idea. Yet, sitting on sidelines might come with some serious opportunity costs.

Energy Transfer is a "Buy" due to its strong position in meeting rising energy demands, especially from data centers, offering solid long-term returns and distribution yield despite recent correction. ET's diversified midstream operations, including natural gas, NGL, and crude oil transportation, demonstrate stable EBITDA generation, with strategic shifts towards data center energy supplies. The U.S. natural gas market is experiencing significant growth, driven by increasing electricity demand and AI usage, positioning ET to benefit from favorable pricing and high ROIC projects.

Jamie Dimon is one of the highest-profile bankers in the world. Like Warren Buffett, David Solomon, or other Wall Street titans, when he speaks, people listen.