NGL Energy Partners (NYSE:NGL) Posts Earnings Results

NGL Energy Partners (NYSE:NGL) posted its quarterly earnings data on Tuesday. The oil and gas company reported $0.48 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.11 by $0.37, FiscalAI reports. The business had revenue of $989.99 million for the quarter, compared to analysts’ expectations of $346.13 million. NGL Energy Partners had a negative return on equity of 47.64% and a negative net margin of 4.51%.

Here are the key takeaways from NGL Energy Partners’ conference call:

• Fiscal 2027 adjusted EBITDA guidance was raised by $10 million to $725 million–$735 million after consolidated first-quarter adjusted EBITDA rose nearly 30% year over year to $186.2 million.
• Water Solutions delivered record physical disposal volumes of 3.32 million barrels per day, up 19.6% year over year, while contracted volumes and higher skim-oil revenue drove segment adjusted EBITDA up 26% to $179.9 million.
• NGL signed more than 200,000 barrels per day of new volume commitments during the quarter and plans to develop another 300,000 barrels per day of contracted capacity this fiscal year, supporting continued growth into fiscal 2028.
• Growth capital spending is expected to exceed $200 million this fiscal year and will be concentrated in the first half, keeping long-term debt relatively flat before leverage declines in the second half.
• Management expects to redeem approximately 50% of the remaining Class D preferreds this fiscal year and said a common-unit distribution could potentially be reinstated in fiscal 2027, while also evaluating another large water pipeline and future M&A.

NGL Energy Partners Price Performance

NGL stock traded down $0.21 during midday trading on Tuesday, reaching $15.79. 156,743 shares of the company’s stock traded hands, compared to its average volume of 301,106. NGL Energy Partners has a fifty-two week low of $3.94 and a fifty-two week high of $18.80. The business has a 50-day moving average price of $15.86 and a two-hundred day moving average price of $14.01. The company has a market capitalization of $1.97 billion, a P/E ratio of -4.81 and a beta of 0.60.

Analyst Upgrades and Downgrades

Several equities analysts recently weighed in on the company. Weiss Ratings downgraded NGL Energy Partners from a “hold (c)” rating to a “hold (c-)” rating in a research report on Thursday, June 4th. Zacks Research raised shares of NGL Energy Partners from a “hold” rating to a “strong-buy” rating in a research note on Tuesday, July 14th. One investment analyst has rated the stock with a Strong Buy rating and one has given a Hold rating to the stock. According to MarketBeat.com, the stock currently has a consensus rating of “Buy”.

Hedge Funds Weigh In On NGL Energy Partners

Hedge funds have recently made changes to their positions in the business. Bank of America Corp DE lifted its position in shares of NGL Energy Partners by 18.7% during the third quarter. Bank of America Corp DE now owns 11,728,872 shares of the oil and gas company’s stock worth $70,373,000 after purchasing an additional 1,843,849 shares in the last quarter. Goldman Sachs Group Inc. grew its holdings in NGL Energy Partners by 9.5% during the 4th quarter. Goldman Sachs Group Inc. now owns 7,522,370 shares of the oil and gas company’s stock valued at $75,224,000 after purchasing an additional 651,779 shares in the last quarter. Angelo Gordon & CO. L.P. acquired a new stake in NGL Energy Partners during the 2nd quarter valued at $2,730,000. BNP Paribas Financial Markets increased its stake in NGL Energy Partners by 2,963.5% during the 3rd quarter. BNP Paribas Financial Markets now owns 292,261 shares of the oil and gas company’s stock worth $1,754,000 after buying an additional 282,721 shares during the period. Finally, Nomura Holdings Inc. increased its stake in NGL Energy Partners by 58.9% during the 2nd quarter. Nomura Holdings Inc. now owns 455,183 shares of the oil and gas company’s stock worth $1,944,000 after buying an additional 168,772 shares during the period. Hedge funds and other institutional investors own 40.62% of the company’s stock.

NGL Energy Partners declared that its Board of Directors has authorized a share repurchase plan on Thursday, April 9th that allows the company to buyback $100.00 million in outstanding shares. This buyback authorization allows the oil and gas company to purchase up to 6.1% of its shares through open market purchases. Shares buyback plans are usually an indication that the company’s leadership believes its stock is undervalued.

About NGL Energy Partners

NGL Energy Partners LP is a publicly traded master limited partnership that provides midstream infrastructure and marketing services for the energy industry. The company focuses on the transportation, storage, fractionation and marketing of natural gas liquids (NGLs) and refined petroleum products. Through its integrated operations, NGL Energy Partners serves producers, processors, refiners and industrial customers across key U.S. energy-producing regions.

The partnership’s asset base includes pipelines, storage terminals, fractionation plants, and distribution facilities.