Energy Transfer LP Common Units (ET)

FairStock Score: 59/100 — STEADY

Key Financials

AI Analysis

AI-generated, general educational analysis — not personal investment advice.

Energy Transfer is a sprawling midstream business: pipelines, storage, and related energy services across the U.S. I begin with the numbers the company filed. In fiscal Q2 2026, the quarter ended 2026-06-30, revenue was $34.3B and net income was $2.1B, well above fiscal Q2 2025, the quarter ended 2025-06-30, when revenue was $19.2B and net income was $1.2B. But the annual picture is less exciting: in fiscal 2025, the year ended 2025-12-31, revenue was $85.5B and net income was $4.4B; in fiscal 2024, revenue was $82.7B and net income was $4.8B. So sales rose while profit fell. FairStock's Lynch category labels it a SLOW GROWER — Shrinking, with profit down 5.1% a year over four years and revenue up 6.1%. At the 2026-10-09 close of $20.41, FairStock calculates a P/E of 13.98, P/B of 2.20, FCF yield of 7.4%, and dividend yield of 6.43%. The Graham Number is $18.36, meaning the price carries a -11.17% margin of safety. The 6.43% yield and 7.4% FCF yield are real attractions, and beta of 0.57 suggests low volatility. Yet Altman Z-Score of 0.77 and D/E of 1.38 point to a leveraged balance sheet, while ROCE of 5.06% is modest. The pipeline network may be hard to replicate, but this is a capital-intensive, debt-heavy business, not a pricing-power franchise. I would call the units fair-to-full priced, with income support but limited margin for error.

In plain English: Energy Transfer runs pipelines and other energy infrastructure in the United States; it makes money moving, storing, and processing fuels. The business looks stable and produces a lot of cash, and its latest quarter showed much higher sales and profit than a year earlier, but annual profit slipped in the latest full year compared with the prior year. At the latest price, the units look close to fair to slightly expensive on simple value checks, with the high payout to unit holders as a main draw.

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Data as of 2026-10-09 close · note generated 2026-10-15 · model deepseek-flash

Sources (SEC EDGAR): fiscal Q2 2026 10-Q (period ended 2026-06-30) · fiscal Q1 2026 10-Q (period ended 2026-03-31) · fiscal Q3 2025 10-Q (period ended 2025-09-30) · fiscal Q2 2025 10-Q (period ended 2025-06-30) · FY2025 10-K (period ended 2025-12-31) · FY2024 10-K (period ended 2024-12-31) · FY2023 10-K (period ended 2023-12-31)

Fundamentals from company filings and market-data providers; prices are end-of-day, not real-time. AI-generated analysis is general and educational — not personal investment advice. Scoring methodology · Score test · Disclaimer