NGL Energy Partners (NYSE:NGL) Issues Earnings Results

NGL Energy Partners (NYSE:NGL) released its earnings results on Thursday. The oil and gas company reported $0.24 earnings per share for the quarter, topping analysts’ consensus estimates of $0.22 by $0.02, Zacks reports. The firm had revenue of $986.55 million during the quarter, compared to the consensus estimate of $869.29 million. NGL Energy Partners had a negative return on equity of 39.51% and a negative net margin of 3.76%.

Here are the key takeaways from NGL Energy Partners’ conference call:

• Water Solutions delivered record results: disposal volumes rose 23% year over year to 3.45 million barrels per day, while segment adjusted EBITDA increased 17% to $178.3 million.
• NGL raised fiscal 2027 adjusted EBITDA guidance by $10 million to $735 million–$745 million, citing strong performance and contracted customer demand.
• The partnership increased fiscal 2027 growth capital guidance to $250 million–$270 million to expand water takeaway and disposal capacity. Management said most of the resulting EBITDA contribution is expected in fiscal 2028, with new capacity filling quickly.
• Management expects leverage to fall to approximately 4x by fiscal year-end and says improving cash flow should support further debt reduction and addressing most remaining Class D Preferred Units; over 90% of produced water comes from investment-grade customers.
• Crude Oil Logistics adjusted EBITDA declined to $11.9 million from $16.6 million year over year, alongside lower Grand Mesa pipeline volumes.

NGL Energy Partners Stock Performance

NGL Energy Partners stock opened at $14.79 on Friday. The firm has a market cap of $1.85 billion, a price-to-earnings ratio of -5.21 and a beta of 0.89. The firm’s 50 day moving average price is $16.22 and its two-hundred day moving average price is $14.89. NGL Energy Partners has a 1 year low of $8.35 and a 1 year high of $19.06.

Analyst Upgrades and Downgrades

A number of analysts have recently commented on the company. Zacks Research downgraded NGL Energy Partners from a “strong-buy” rating to a “hold” rating in a research note on Tuesday, October 6th. Wall Street Zen raised NGL Energy Partners from a “hold” rating to a “buy” rating in a research note on Saturday, August 8th. Finally, Weiss Ratings lowered NGL Energy Partners from a “hold (c-)” rating to a “sell (d+)” rating in a report on Friday, October 30th. One research analyst has rated the stock with a Hold rating and one has assigned a Sell rating to the stock. According to data from MarketBeat.com, the company presently has a consensus rating of “Reduce”.

Insider Activity

In related news, Director James Collingsworth bought 2,289 shares of NGL Energy Partners stock in a transaction dated Thursday, August 27th. The stock was acquired at an average cost of $17.00 per share, with a total value of $38,913.00. Following the completion of the acquisition, the director directly owned 766,797 shares in the company, valued at approximately $13,035,549. This trade represents a 0.30% increase in their position. The purchase was disclosed in a legal filing with the Securities & Exchange Commission, which is available at this link. Also, CEO H. Krimbill sold 300,000 shares of NGL Energy Partners stock in a transaction dated Tuesday, August 25th. The stock was sold at an average price of $17.00, for a total value of $5,100,000.00. Following the completion of the transaction, the chief executive officer directly owned 3,378,615 shares in the company, valued at $57,436,455. This represents a 8.16% decrease in their position. The SEC filing for this sale provides additional information. Insiders purchased a total of 339,923 shares of company stock valued at $5,750,003 over the last three months. Insiders own 7.30% of the company’s stock.

About NGL Energy Partners

NGL Energy Partners LP is a publicly traded master limited partnership that provides energy logistics and water-management services in the United States. The company serves producers and other participants in the domestic crude oil and oilfield-water markets through infrastructure, transportation, handling and related services.

NGL’s Water Solutions segment gathers, transports, treats, recycles and disposes of produced water generated during oil and natural gas production. Its operations include water pipelines, storage facilities, treatment and recycling assets, disposal wells, freshwater services and truck transportation.