Wells Fargo Starts MPLX LP (MPLX) at Market Perform
Tweet Send to a FriendGet Alerts MPLX Hot Sheet
Price: $38.53 +1.18%
Rating Summary:
3 Buy, 2 Hold, 0 Sell
Rating Trend:
Down
Today's Overall Ratings:
Up: 13 | Down: 25 | New: 24
Rating Summary:
3 Buy, 2 Hold, 0 Sell
Rating Trend:
Down
Today's Overall Ratings:
Up: 13 | Down: 25 | New: 24
Trade MPLX Now!
Wells Fargo initiates coverage on MPLX LP (NYSE: MPLX) with a Market Perform. PT $32.50.
The firm comments, "MPLX is poised to deliver above average distribution growth supported by (1) drop-down acquisitions from its GP sponsor (Marathon Petroleum), (2) organic investments around Marathon’s assets, and (3) potential third-party acquisitions. The partnership's premium valuation is supported by its fee-based cash flows, long-term contracts with its GP sponsor, and strong balance sheet, in our view. We forecast a five-year distribution CAGR of 14.7% predicated on $2.5B of dropdowns and $250MM of organic capex from 2013-17. However, these characteristics and visible growth potential are fairly reflected in MPLX's premium valuation, in our view. For Q4 2012 and 2013, our DCF/unit estimates are $0.25 and $1.41, respectively."
For an analyst ratings summary and ratings history on MPLX LP click here. For more ratings news on MPLX LP click here.
Shares of MPLX LP closed at $32.04 yesterday, with a 52 week range of $25.35-$34.51.
Join StreetInsider.com FREE and get immediately alerted when news breaks on your stocks and other market items - JOIN NOW
*NEW - Download StreetInsider's FREE iPhone and iPad App - Click Here
The firm comments, "MPLX is poised to deliver above average distribution growth supported by (1) drop-down acquisitions from its GP sponsor (Marathon Petroleum), (2) organic investments around Marathon’s assets, and (3) potential third-party acquisitions. The partnership's premium valuation is supported by its fee-based cash flows, long-term contracts with its GP sponsor, and strong balance sheet, in our view. We forecast a five-year distribution CAGR of 14.7% predicated on $2.5B of dropdowns and $250MM of organic capex from 2013-17. However, these characteristics and visible growth potential are fairly reflected in MPLX's premium valuation, in our view. For Q4 2012 and 2013, our DCF/unit estimates are $0.25 and $1.41, respectively."
For an analyst ratings summary and ratings history on MPLX LP click here. For more ratings news on MPLX LP click here.
Shares of MPLX LP closed at $32.04 yesterday, with a 52 week range of $25.35-$34.51.
Join StreetInsider.com FREE and get immediately alerted when news breaks on your stocks and other market items - JOIN NOW
*NEW - Download StreetInsider's FREE iPhone and iPad App - Click Here
You May Also Be Interested In
- UPDATE: BTIG Starts ING U.S (VOYA) at Buy, Shares 'Significantly Undervalued'
- Craig-Hallum Starts Flextronics (FLEX) at Buy
- Northland Securities Starts World Energy Solutions (XWES) at Outperform
Create E-mail Alert Related Categories
New CoverageRelated Entities
Wells Fargo
Login with Facebook
Sign up for StreetInsider Free!
Receive full access to all new and archived articles, unlimited portfolio tracking, e-mail alerts, custom newswires and RSS feeds - and more!
