Core Viewpoint - Enterprise Products Partners L.P. (NYSE:EPD) is recognized as one of the best long-term low-risk stocks to buy, with a recent price target increase from Scotiabank analyst Brandon Bingham indicating positive market sentiment towards the company [1][2]. Financial Performance - The company reported record EBITDA of $2.7 billion in Q4 2025, surpassing the previous record of $2.6 billion from Q4 2024 [3]. - Average oil prices were approximately $12 per barrel lower than 2024 levels, impacting pricing spreads that had previously supported earnings [5]. Operational Developments - A series of new assets were brought into service during 2025, including Frac 14, the Mentone West and Orion projects, and various gathering and treating assets in the Permian Basin, which contributed positively to performance despite some weaker results [4]. - The company's ethane export terminals and all 20 processing trains in the Permian are fully contracted, with strong demand for long-term commitments in LPG export capacity expected to continue through the end of the decade [6]. Business Overview - Enterprise Products Partners L.P. provides midstream energy services across various sectors, including natural gas, NGLs, crude oil, refined products, and petrochemicals, with a comprehensive portfolio that includes pipelines, processing, and storage facilities [7].

Core Insights - Plains is targeting $100 million in annual savings through 2027, with approximately 50% expected to be realized in 2026, attributed to a simplified post-divestiture business model [1][6] - The company is focusing on execution and self-help in 2026, driven by the divestiture of its NGL business and the acquisition of the EPIC Pipeline, now named Cactus III, aimed at enhancing cash flow quality and durability [2][6] - Plains reported fourth-quarter 2025 adjusted EBITDA of $738 million and full-year adjusted EBITDA of $2.833 billion, marking a transition to a "pure-play crude" midstream operator [3] Financial Performance - The company announced a 10% increase in quarterly distribution, raising it to an annualized $1.67 per unit, reflecting an 8.5% yield based on recent equity price [4][13] - For 2026, Plains provided adjusted EBITDA guidance with a midpoint of $2.75 billion (±$75 million), with crude-segment EBITDA expected at $2.64 billion, indicating a 13% year-over-year growth [5][10] - The company anticipates generating about $1.8 billion of adjusted free cash flow in 2026, excluding sale proceeds from the NGL divestiture [17] Strategic Initiatives - The company is pursuing a strategic shift to a pure-play crude business, with a focus on reducing G&A and operating expenses, consolidating operations, and optimizing lower-margin businesses [1][6] - Management expects $50 million in synergies from the Cactus III acquisition, with half tied to G&A and OPEX reductions, and anticipates achieving these synergies during 2026 [7][10] - Plains is evaluating capital-efficient optimization options for potential expansion while prioritizing stabilization and recontracting of the base system [8] Capital Allocation and Debt Management - The company plans to use proceeds from the NGL sale to pay down debt, targeting a leverage ratio of 3.25x to 3.75x [4][19] - A special distribution of up to $0.15 per unit is expected after the NGL sale closes, pending board approval [18] - Capital spending for 2026 is guided at $350 million for growth and $165 million for maintenance, reflecting a return to typical spending levels [16] Operational Insights - Plains forecasts Permian crude production to remain relatively flat year-over-year in 2026, with basin volumes around 6.6 million barrels at year-end [11] - The company achieved its best-ever safety performance, highlighting a commitment to operational excellence [20]

Core Insights - Energy Transfer's unit price surged 11.9% in January 2026, significantly outperforming the S&P 500's 1.4% gain [1] - The surge was driven by rising crude oil prices and the company's positive outlook for 2026 [1][6] Oil Price Impact - WTI crude oil prices increased by 14% in January, marking the first monthly gain in six months, influenced by potential supply issues in Venezuela and Iran [4] - Although oil prices impact only 5% to 10% of Energy Transfer's earnings, higher prices can boost those earnings and incentivize increased production, enhancing the company's volumes and growth prospects [5] 2026 Outlook - Energy Transfer expects adjusted EBITDA for 2026 to be between $17.3 billion and $17.7 billion, reflecting a growth rate of 7.5% to 10% from last year's $16.1 billion, a significant acceleration from less than 4% growth in 2025 [7] - The company anticipates benefits from several expansion projects, including the Nederland Flexport NGL expansion and gas pipeline projects for Texas data centers [7] Capital Investment and Growth - Energy Transfer plans to invest between $5 billion and $5.5 billion in growth capital projects this year, up from $4.6 billion last year, primarily to enhance its gas pipeline network [8] - The company is also exploring opportunities to meet the growing power demand from AI data centers [8] Cash Distribution - The company has raised its cash distribution by more than 3% over the past year, aligning with its long-term target of 3% to 5% annual distribution growth [9]

Core Viewpoint - MPLX LP (NYSE:MPLX) is recognized as one of the best pipeline and MLP stocks to buy in 2026, indicating strong potential for investment in the midstream energy sector [1]. Analyst Ratings - RBC Capital maintains a Buy rating on MPLX LP with a price target of $60 as of January 28, 2026 [2]. - Morgan Stanley's Robert Kad holds a Hold rating with a price target of $62 on the same date [2]. - Barclays analyst Theresa Chen also maintains a Buy rating with a price target of $55 as of January 23, 2026 [2]. - Raymond James downgraded MPLX LP from Outperform to Market Perform on January 5, 2026, reflecting a recalibration of ratings for the midstream supplier group [3]. Company Overview - MPLX LP, founded in 2012, is a diversified master limited partnership formed by Marathon Petroleum Corporation, focusing on midstream energy infrastructure and logistics assets across the United States [4].

Core Viewpoint - Plains All American Pipeline, L.P. (NASDAQ:PAA) is recognized as one of the best pipeline and MLP stocks to buy in 2026, despite mixed analyst ratings and price targets from various financial institutions [1]. Analyst Ratings and Price Targets - RBC Capital and Morgan Stanley have maintained their Hold ratings on PAA, with price targets of $20 and $21 respectively as of January 28, 2026 [2]. - BofA downgraded PAA's rating from Neutral to Underperform, setting a lower price target of $19 [2]. - Mizuho raised its price target for PAA from $22 to $23 while maintaining an Outperform rating, highlighting a positive outlook on the company's transition to a pure-crude portfolio [3]. Market Sentiment and Company Overview - The 1-year median target for PAA from 20 analysts is 7.09%, indicating a cautious but slightly optimistic sentiment [4]. - Founded in 1998, PAA is a midstream master limited partnership focused on the transportation, storage, and marketing of crude oil and NGLs, operating a significant infrastructure network across the U.S. and Canada [4].

Core Viewpoint - Genesis Energy, L.P. (NYSE:GEL) is recognized as one of the best pipeline and MLP stocks to buy in 2026, with positive ratings from multiple analysts [1]. Group 1: Analyst Ratings and Price Targets - RBC Capital reiterated a Buy rating for Genesis Energy on January 28, 2026, maintaining a price target of $20 [2]. - Wells Fargo also maintained a Buy rating on December 16, 2025, with a price target of $19 [2]. - A consensus Buy rating from 3 analysts indicates an average 1-year upside of 10.59% in the stock price [3]. Group 2: Company Overview and Operations - Genesis Energy, L.P. is a master limited partnership based in Texas, providing diversified midstream services since its incorporation in 1996 [4]. - The company operates through various segments, including offshore pipeline transportation, sodium minerals and sulfur services, and marine transportation, primarily serving the Gulf Coast and Gulf of Mexico [4]. Group 3: Future Outlook - The company anticipates that its Marine Transportation segment will recover and contribute stable-to-modest revenues from 2026 onward [3].

Based in Dallas, Texas, Energy Transfer (NYSE: ET) has a very attractive 7.3% distribution yield. That is likely to attract dividend investors looking to maximize the income their portfolios generate. However, before you buy, you'll want to know a few facts about the business backing that yield. Energy Transfer is a little complex Energy Transfer is one of the largest midstream operators in North America. It basically owns energy infrastructure, such as pipelines, that help move oil and natural gas arou ...

Core Viewpoint - Enterprise Products Partners is positioned for continued growth with a strong distribution yield and a solid financial outlook, making it an attractive option for income investors. Financial Performance - Enterprise Products Partners achieved record cash flow from operations in 2025 and all-time high EBITDA in Q4, with stock prices at a decade high [2] - The company reported a negative discretionary free cash flow of $1.6 billion due to significant capital investments [4] - Management anticipates lower capital expenditures in the current year, projecting discretionary cash flow around $1 billion [5] Distribution and Buybacks - The company has a forward distribution yield of 6.3% and has increased its distribution for 27 consecutive years [1] - Future distribution increases are expected, supported by a payout ratio of 58% based on adjusted cash flow from operations [7] - The strategy includes using discretionary cash flow for unit buybacks (up to 60%) and debt reduction (40%) [5] Growth Prospects - Modest growth is anticipated for 2026, but significant growth is expected beyond that due to new projects coming online [10][11] - The second train at the Neches River facility and a new processing plant in the Midland Basin are set to enhance capacity [11] - Predictions indicate double-digit growth in 2027, with expected 10% year-over-year adjusted EBITDA and cash flow growth [12] Investment Appeal - The company is characterized by a strong distribution track record, high yield, solid balance sheet, and visibility for future cash flow growth [13] - The forward price-to-earnings ratio of 12.1 may attract value investors [13]

Core Viewpoint - MPLX LP has announced the pricing of $1.5 billion in unsecured senior notes, which includes $1.0 billion of 5.300% senior notes due in 2036 and $500 million of 6.100% senior notes due in 2056 [1][2]. Group 1: Offering Details - The net proceeds from this offering will be used to repay $1.5 billion of 1.750% senior notes that are due in March 2026 [2]. - The closing of the offering is expected on February 12, 2026, pending customary closing conditions [2]. - Citigroup Global Markets Inc., Barclays Capital Inc., MUFG Securities Americas Inc., and RBC Capital Markets, LLC are the joint book-running managers for this offering [2]. Group 2: Company Overview - MPLX LP is a diversified, large-cap master limited partnership that operates midstream energy infrastructure and logistics assets, providing fuels distribution services [4]. - The company's assets include a network of crude oil and refined product pipelines, an inland marine business, light-product terminals, storage caverns, refinery tanks, docks, loading racks, and associated piping [4]. - MPLX also owns crude oil and natural gas gathering systems and pipelines, as well as natural gas and NGL processing and fractionation facilities in key U.S. supply basins [4].

Market Overview - Investor sentiment has become cautious due to concerns over stretched valuations in technology and healthcare sectors, leading to a sell-off primarily in software stocks [1] - Despite this turbulence, major indexes, including the S&P 500, remain near record levels, with a new high reached earlier in the week [2] - Investors are shifting focus beyond technology, looking into sectors linked to a strengthening economy and more reasonable valuations [2] Investment Strategy - With interest rates likely to remain high, focusing on stocks with relative price strength is essential for aligning with winning trends while avoiding weaker market segments [3] - Companies such as Archrock (AROC), Southwest Airlines (LUV), Ford Motor Company (F), Seagate Technology Holdings (STX), and Texas Capital Bancshares (TCBI) are recommended for consideration [3] Relative Price Strength Strategy - Earnings growth and valuation multiples are critical for assessing a stock's potential returns and its performance relative to peers [4] - Stocks that underperform despite strong earnings growth or valuation multiples may indicate underlying issues [4][5] - A focus on stocks outperforming the S&P 500 over various time frames (12 weeks, 4 weeks, and 1 week) is advised [8] Company Highlights - **Archrock (AROC)**: A U.S. energy infrastructure company with a market cap over $5 billion, expected earnings growth of 21.5% for 2026, and a 69% upward revision in earnings estimates over the past 60 days [10][11] - **Southwest Airlines (LUV)**: Expected EPS growth rate of 32.8% over three to five years, with a significant 336.6% year-over-year growth estimate for 2026 [12][13] - **Ford Motor Company (F)**: A leading automaker with a market cap of nearly $55 billion, showing a 49.2% increase in shares over the past year and a 9.3% upward revision in earnings estimates [14][15] - **Seagate Technology Holdings (STX)**: A data storage technology provider with a market cap of nearly $100 billion, experiencing a 333.6% surge in stock price over the past year and an 11.8% upward revision in earnings estimates [15][16] - **Texas Capital Bancshares (TCBI)**: A financial holding company with a 27.2% expected EPS growth rate over three to five years and a 12.1% year-over-year growth estimate for 2026 [17][18]