Energy Transfer's Growth Accelerates Amid Rising Demand
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Mar 01 2026
0mins
Should l Buy ET?
Source: NASDAQ.COM
- Earnings Growth Outlook: Energy Transfer expects its adjusted EBITDA for 2026 to be between $17.5 billion and $17.9 billion, reflecting a year-over-year growth of 9.2% to 11.7%, indicating a significant acceleration in earnings growth driven by rising oil prices and completed expansion projects.
- Expansion Project Progress: The company has completed its Nederland Flexport NGL expansion and anticipates finishing the Mustang Draw I & II plants and phase I of the Hugh Brinson Pipeline in 2026, which will enhance its competitive position and meet the increasing energy demand.
- Capital Investment Plans: Energy Transfer plans to invest between $5 billion and $5.5 billion in growth capital projects this year, which will support the implementation of several expansion projects and lay the groundwork for future revenue growth.
- High-Yield Distribution: With a current distribution yield of 7.2%, the company aims to increase this payout by 3% to 5% annually, which is likely to attract more investor interest in its high return potential, especially following the completion of expansion projects that are expected to boost total returns.
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Analyst Views on ET
Wall Street analysts forecast ET stock price to rise
11 Analyst Rating
7 Buy
4 Hold
0 Sell
Moderate Buy
Current: 18.590
Low
17.00
Averages
20.65
High
23.00
Current: 18.590
Low
17.00
Averages
20.65
High
23.00
About ET
Energy Transfer LP owns and operates a diversified portfolios of energy assets in the United States, with more than 140,000 miles of pipeline and associated energy infrastructure. The Company’s strategic network spans 44 states with assets in all of the major United States production basins. Its core operations include complementary natural gas midstream, intrastate and interstate transportation and storage assets; crude oil, natural gas liquids (NGL) and refined product transportation and terminalling assets; and NGL fractionation. The Company’s segments include intrastate transportation and storage, interstate transportation and storage, midstream, NGL and refined products transportation and services, crude oil transportation and services, investment in Sunoco LP, investment in USA Compression Partners, LP (USAC), and all other. It also owns Lake Charles LNG Company, LLC, its wholly owned subsidiary, which owns an LNG import terminal and regasification facility.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
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- Consistent Growth Performance: Enterprise Products Partners (EPD) has increased its distribution for 27 consecutive years, with a current yield of 5.9%, and is projected to achieve double-digit growth in adjusted EBITDA and cash flow by 2027, demonstrating its reliability and resilience in uncertain markets.
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- Frequent Negotiations: Sources indicate that both parties will be communicating frequently this week, although no specific meeting times have been set, suggesting that the reform process is gaining momentum with committee staff actively negotiating.
- Increased Political Pressure: With energy prices soaring, lawmakers are under significant political pressure to reach a permitting reform agreement this year to lower energy costs and meet the rising demand for energy, particularly from power-hungry data centers.
- Complex Legislative Background: Despite the House passing the SPEED Act last year to streamline permitting, negotiations in the Senate are ongoing, and any final agreement may involve changes to longstanding environmental laws to expedite approvals for both renewable and traditional energy projects.
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- Strong Market Performance: The stock has surged 26% year-to-date due to soaring oil and gas prices driven by the Iran conflict, indicating increasing investor interest in energy stocks, which may propel future growth for the company.
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High-Yield Dividend Stocks: Companies like Chevron, Clorox, Energy Transfer, Global Net Lease, and Altria are highlighted as strong defensive plays due to their high dividend yields and stable demand, making them attractive options for investors seeking income amidst market volatility.
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