On the one hand, Energy Transfer (NYSE: ET) is having a fantastic year. The energy company has produced record-setting results as earnings and cash flow have surged more than 30% year over year through the second quarter. Meanwhile, it added more fuel to continue growing at a fast pace by agreeing to acquire SemGroup (NYSE: SEMG) for $5 billion. However, despite all that good news, units of the MLP have declined by about 2% this year. That underperformance is a real head-scratcher, as Energy Transfer has pushed up its yield to nearly 10% and its valuation down to a stupid-cheap level . Hopefully, the market will begin to rethink its view on Energy Transfer after getting another look at its performance when the company unveils its third-quarter results later this week. Here’s what to watch in that report. See if it remains on track with its updated outlook Energy Transfer initially anticipated that it would produce between $10.6 billion and $10.8 billion of adjusted EBITDA this year. However, thanks to its strong showing through the first half, it bumped up that range to $10.8 billion to $11 billion. That implies 14.6% year-over-year growth at the midpoint of its range, […]
