Energy Transfer LP (NYSE:ET) is one of the The Best Affordable Stocks to Buy According to Analysts. Wall Street maintains a positive outlook on the stock, with analysts’ 12-month price target reflecting an upside of more than 34% from the current level. Recently, on December 23, Morgan Stanley’s Robert Kad reiterated a Hold rating on the stock with a $19 price target. Previously on December 19, Scotiabank’s Brandon Bingham reiterated a Buy rating on Energy Transfer LP (NYSE:ET), but lowered the price target from $23 to $21.
The ratings follow the company’s Dec. 18 announcement to suspend development of its LNG project in Lake Charles. Management noted that they are suspending development to allocate capital to higher-yield pipeline projects, which offers a better risk/return situation. Furthermore, management also highlighted that the continued development of the project is not guaranteed and the company remains open to discussion with third parties interested in developing the project.
That said, Morgan Stanley’s Kad noted that the lowered price target reflects the lack of catalysts for Energy Transfer LP (NYSE:ET) to rerate the target. He added that he doesn’t see any near-term events that could reduce the company’s valuation discount to its peers; He believes outperformance of the stock will be difficult.
Energy Transfer LP (NYSE:ET) offers gas pipeline transportation and transmission services.
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Disclosure: None. This article was originally published in Internal jumpsuit.