Energy Transfer CapEx Deja Vu? It May Be Different This Time
Portfolio Pulse from
Energy Transfer's stock is down 3% due to concerns over a $5 billion growth CapEx guide, despite strong FY24 performance and increased FY25 EBITDA guidance. Recent M&A was funded by issuing new units, which were considered undervalued.
February 12, 2025 | 5:45 am
News sentiment analysis
Sort by:
Descending
NEGATIVE IMPACT
Energy Transfer's stock is down 3% due to concerns over a $5 billion growth CapEx guide, despite strong FY24 performance and increased FY25 EBITDA guidance. Recent M&A was funded by issuing new units, which were considered undervalued.
The 3% drop in Energy Transfer's stock is attributed to investor concerns over the $5 billion growth CapEx guide, which may imply increased financial risk or dilution. Despite strong FY24 performance and a positive FY25 EBITDA guidance, the market is reacting negatively to the funding strategy of recent M&A through issuing new units, perceived as undervalued.
CONFIDENCE 90
IMPORTANCE 80
RELEVANCE 100