Tema Etfs LLC Invests $2.11 Million in Energy Transfer LP Shares

Tema Etfs LLC has established a new position in Energy Transfer LP, acquiring 116,114 shares valued at approximately $2.11 million during the second quarter of 2023. This investment reflects a growing interest in the pipeline company, which operates a significant network of natural gas transportation infrastructure across the United States.

Several other investment firms have also recently adjusted their holdings in Energy Transfer. For instance, Ryan Investment Management Inc. purchased a new stake worth about $31,000, while CNB Bank increased its position by 111.1%, resulting in ownership of 1,900 shares valued at $34,000. Similarly, Stone House Investment Management LLC and HHM Wealth Advisors LLC made notable acquisitions, with the latter increasing its stake by 54.4% to hold 2,270 shares valued at $41,000. Together, institutional investors and hedge funds own approximately 38.22% of Energy Transfer’s stock.

Insider Trading and Company Performance

In addition to these investments, Energy Transfer’s Director, Kelcy L. Warren, made headlines by purchasing 1 million shares on November 19, 2023, at an average cost of $16.95 per share, totaling $16.95 million. Following this transaction, Warren’s total ownership in the company reached 104,577,803 shares, valued at approximately $1.77 billion.

Energy Transfer recently reported its earnings results for the third quarter, revealing an earnings per share (EPS) of $0.28, which fell short of analysts’ expectations of $0.34. The company generated $19.95 billion in revenue during the quarter, significantly below the anticipated $21.84 billion. This represents a 3.9% decrease in revenue compared to the same period last year, when the company reported an EPS of $0.32. Analysts project that Energy Transfer will achieve an EPS of $1.46 for the current fiscal year.

Dividend Increase and Analyst Ratings

Energy Transfer also announced a quarterly dividend increase, which was paid on November 19, 2023. Shareholders of record on November 7 received a dividend of $0.3325 per share, up from the previous $0.33. This equates to an annualized dividend of $1.33 and a yield of 7.9%. The company’s dividend payout ratio currently stands at 106.40%.

Investment analysts have varied opinions on Energy Transfer’s stock. Morgan Stanley recently lowered its price target from $21.00 to $19.00 while maintaining an “overweight” rating. Conversely, UBS Group reasserted a “buy” rating with a target price of $22.00. Barclays and Scotiabank have also provided positive ratings, with target prices of $25.00 and $21.00, respectively. As noted by MarketBeat, the consensus rating for Energy Transfer is currently a “Moderate Buy” with an average target price of $21.62.

In summary, Energy Transfer LP continues to attract significant investments as institutional interest rises, despite recent earnings challenges. The increase in dividend and positive analyst sentiments may provide additional incentives for investors considering entry into the stock.