This Week's Top Upgrade: NGL Energy Partners

By Steve Hach of ValuEngine

Monday, December 5, 2016 3:41 PM EST

NGL Energy Partners LP (NGL) is our top-rated upgrade this week and it is a STRONG BUY--as are FBP and MTOR. The rest of the components on our list are BUY-rated companies.

Below is today's data on NGL Energy Partners LP (NGL):

NGL Energy Partners LP is a limited partnership operating a vertically-integrated propane business with three operating segments: retail propane; wholesale supply and marketing; and midstream. The Retail Propane segment engages in retail marketing, sale, and distribution of propane, including the sale and lease of propane tanks, equipment, and supplies to residential, agricultural, commercial, and industrial customers through customer service locations. The Wholesale Supply and Marketing segment supplies propane and other natural gas liquids, as well as provides related storage to retailers, wholesalers, and refiners. The Midstream segment involves in the delivery of propane from pipelines or trucks to propane terminals and transfers the propane to third-party transport trucks for delivery to retailers, wholesalers, or other consumers. NGL Energy Partners LP is headquartered in Tulsa, Oklahoma.

Recommendation: We updated our recommendation from BUY to STRONG BUY for NGL Energy Partners on 2016-12-02. Based on the information we have gathered and our resulting research, we feel that NGL Energy Partners has the probability to OUTPERFORM average market performance for the next year. The company exhibits ATTRACTIVE Price Sales Ratio and P/E Ratio.

ValuEngine Forecast
	Target Price*	Expected Return
1-Month	18.47	1.19%
3-Month	18.39	0.79%
6-Month	18.39	0.77%
1-Year	20.86	14.33%
2-Year	16.29	-10.74%
3-Year	12.56	-31.16%

Valuation & Rankings
Valuation	25.14% undervalued	Valuation Rank	86
1-M Forecast Return	1.19%	1-M Forecast Return Rank	99
12-M Return	20.14%	Momentum Rank	73
Sharpe Ratio	-0.07	Sharpe Ratio Rank	43
5-Y Avg Annual Return	-3.06%	5-Y Avg Annual Rtn Rank	41
Volatility	46.82%	Volatility Rank	37
Expected EPS Growth	-29.39%	EPS Growth Rank	7
Market Cap (billions)	1.63	Size Rank	71
Trailing P/E Ratio	10.80	Trailing P/E Rank	90
Forward P/E Ratio	15.29	Forward P/E Ratio Rank	58
PEG Ratio	n/a	PEG Ratio Rank	n/a
Price/Sales	0.15	Price/Sales Rank	96
Market/Book	0.81	Market/Book Rank	84
Beta	0.46	Beta Rank	66
Alpha	0.03	Alpha Rank	60