Trade-Ideas LLC identified Energy Transfer Equity ( ETE) as a pre-market laggard candidate. In addition to specific proprietary factors, Trade-Ideas identified Energy Transfer Equity as such a stock due to the following factors:

  • ETE has an average dollar-volume (as measured by average daily share volume multiplied by share price) of $277.9 million.
  • ETE traded 19,610 shares today in the pre-market hours as of 8:12 AM.
  • ETE is down 5% today from yesterday's close.

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More details on ETE:

Energy Transfer Equity, L.P., through its subsidiaries, provides diversified energy-related services in the Unites States. The stock currently has a dividend yield of 12.9%. ETE has a PE ratio of 1. Currently there are 8 analysts that rate Energy Transfer Equity a buy, no analysts rate it a sell, and none rate it a hold.

The average volume for Energy Transfer Equity has been 23.2 million shares per day over the past 30 days. Energy Transfer Equity has a market cap of $9.2 billion and is part of the basic materials sector and energy industry. The stock has a beta of 1.61 and a short float of 6.4% with 1.50 days to cover. Shares are down 36.1% year-to-date as of the close of trading on Thursday.

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TheStreetRatings.com Analysis:

TheStreet Quant Ratings rates Energy Transfer Equity as a hold. The company's strengths can be seen in multiple areas, such as its impressive record of earnings per share growth, compelling growth in net income and good cash flow from operations. However, as a counter to these strengths, we also find weaknesses including a generally disappointing performance in the stock itself and poor profit margins.

Highlights from the ratings report include:
  • ENERGY TRANSFER EQUITY LP reported significant earnings per share improvement in the most recent quarter compared to the same quarter a year ago. The company has demonstrated a pattern of positive earnings per share growth over the past two years. We feel that this trend should continue. This trend suggests that the performance of the business is improving. During the past fiscal year, ENERGY TRANSFER EQUITY LP increased its bottom line by earning $0.52 versus $0.15 in the prior year. This year, the market expects an improvement in earnings ($1.09 versus $0.52).
  • The net income growth from the same quarter one year ago has significantly exceeded that of the S&P 500 and the Oil, Gas & Consumable Fuels industry. The net income increased by 55.9% when compared to the same quarter one year prior, rising from $188.00 million to $293.00 million.
  • Regardless of the drop in revenue, the company managed to outperform against the industry average of 36.8%. Since the same quarter one year prior, revenues fell by 31.6%. The declining revenue has not hurt the company's bottom line, with increasing earnings per share.
  • The gross profit margin for ENERGY TRANSFER EQUITY LP is currently extremely low, coming in at 13.53%. Regardless of ETE's low profit margin, it has managed to increase from the same period last year. Despite the mixed results of the gross profit margin, ETE's net profit margin of 2.98% compares favorably to the industry average.
  • ETE's stock share price has done very poorly compared to where it was a year ago: Despite any rallies, the net result is that it is down by 69.86%, which is also worse that the performance of the S&P 500 Index. Investors have so far failed to pay much attention to the earnings improvements the company has managed to achieve over the last quarter. Turning toward the future, the fact that the stock has come down in price over the past year should not necessarily be interpreted as a negative; it could be one of the factors that may help make the stock attractive down the road. Right now, however, we believe that it is too soon to buy.

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