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ENLC

EnLink MidstreamNYSE:ENLC Stock Report

Market Cap

US$4.6b

7D

1.6%

1Y

173.9%

Updated

21 Oct, 2021

Data

Company Financials +
ENLC fundamental analysis
Snowflake Score
Valuation2/6
Future Growth3/6
Past Performance0/6
Financial Health2/6
Dividends2/6

ENLC Overview

EnLink Midstream, LLC provides midstream energy services in the United States.

EnLink Midstream Competitors

Kinder Morgan

NYSE:KMI

US$42.3b

Williams Companies

NYSE:WMB

US$35.4b

MPLX

NYSE:MPLX

US$32.2b

Energy Transfer

NYSE:ET

US$27.6b

Price History & Performance

Summary of all time highs, changes and price drops for EnLink Midstream
Historical stock prices
Current Share PriceUS$8.30
52 Week HighUS$2.48
52 Week LowUS$8.64
Beta3.2
1 Month Change30.30%
3 Month Change47.43%
1 Year Change173.93%
3 Year Change-41.75%
5 Year Change-47.30%
Change since IPO-77.32%

Recent News & Updates

Oct 09
Here's Why EnLink Midstream (NYSE:ENLC) Has A Meaningful Debt Burden

Here's Why EnLink Midstream (NYSE:ENLC) Has A Meaningful Debt Burden

Howard Marks put it nicely when he said that, rather than worrying about share price volatility, 'The possibility of...

Sep 20

EnLink: Stronger Earnings Are Ahead

With commodity prices soaring once more, hedging losses will resume in Q3, but eventually, the string of derivative losses will come to an end. EnLink has a host of tailwinds which will help produce record profits in 2022. The market has yet to price this in. Commodity prices remain supportive for energy companies.

Sep 18
Are Investors Undervaluing EnLink Midstream, LLC (NYSE:ENLC) By 30%?

Are Investors Undervaluing EnLink Midstream, LLC (NYSE:ENLC) By 30%?

Does the September share price for EnLink Midstream, LLC ( NYSE:ENLC ) reflect what it's really worth? Today, we will...

Aug 09

EnLink's Q2 Earnings Muted By Hedging Losses

EnLink reported high hedging losses for Q2, however, the move in commodity prices is overwhelmingly positive. Mark-to-market hedging losses tend to weaken earnings in the short term, but these paper losses will be offset in future months when the physical barrels are sold. Given the strong fundamentals and the tailwinds for EnLink, the 20% dip should be bought.

Aug 07
EnLink Midstream, LLC Just Missed Earnings; Here's What Analysts Are Forecasting Now

EnLink Midstream, LLC Just Missed Earnings; Here's What Analysts Are Forecasting Now

Last week, you might have seen that EnLink Midstream, LLC ( NYSE:ENLC ) released its second-quarter result to the...

Shareholder Returns

ENLCUS Oil and GasUS Market
7D1.6%0.6%2.6%
1Y173.9%85.8%31.1%

Return vs Industry: ENLC exceeded the US Oil and Gas industry which returned 97.5% over the past year.

Return vs Market: ENLC exceeded the US Market which returned 31.5% over the past year.

Price Volatility

Is ENLC's price volatile compared to industry and market?
ENLC volatility
ENLC Beta3.2
Industry Beta1.74
Market Beta1

Stable Share Price: ENLC is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 6% a week.

Volatility Over Time: ENLC's weekly volatility (6%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
20131,069Barry Davishttps://www.enlink.com

EnLink Midstream, LLC provides midstream energy services in the United States. It operates through Permian, North Texas, Oklahoma, Louisiana, and Corporate segments. The company is involved in gathering, compressing, treating, processing, transporting, storing, and selling natural gas; fractionating, transporting, storing, and selling natural gas liquids; and gathering, transporting, stabilizing, storing, trans-loading, and selling crude oil and condensate, as well as providing brine disposal services.

EnLink Midstream Fundamentals Summary

How do EnLink Midstream's earnings and revenue compare to its market cap?
ENLC fundamental statistics
Market CapUS$4.65b
Earnings (TTM)-US$166.50m
Revenue (TTM)US$4.79b

1.0x

P/S Ratio

-27.8x

P/E Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
ENLC income statement (TTM)
RevenueUS$4.79b
Cost of RevenueUS$3.23b
Gross ProfitUS$1.56b
ExpensesUS$1.73b
Earnings-US$166.50m

Last Reported Earnings

Jun 30, 2021

Next Earnings Date

Nov 02, 2021

Earnings per share (EPS)-0.30
Gross Margin32.64%
Net Profit Margin-3.48%
Debt/Equity Ratio143.9%

How did ENLC perform over the long term?

See historical performance and comparison

Dividends

4.5%

Current Dividend Yield

-110%

Payout Ratio

Valuation

Is EnLink Midstream undervalued compared to its fair value and its price relative to the market?

21.7%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: ENLC ($8.3) is trading below our estimate of fair value ($10.59)

Significantly Below Fair Value: ENLC is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: ENLC is unprofitable, so we can't compare its PE Ratio to the US Oil and Gas industry average.

PE vs Market: ENLC is unprofitable, so we can't compare its PE Ratio to the US market.


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate ENLC's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: ENLC is overvalued based on its PB Ratio (3.4x) compared to the US Oil and Gas industry average (2.1x).


Future Growth

How is EnLink Midstream forecast to perform in the next 1 to 3 years based on estimates from 5 analysts?

57.7%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: ENLC is forecast to become profitable over the next 3 years, which is considered faster growth than the savings rate (2%).

Earnings vs Market: ENLC is forecast to become profitable over the next 3 years, which is considered above average market growth.

High Growth Earnings: ENLC's is expected to become profitable in the next 3 years.

Revenue vs Market: ENLC's revenue (3.8% per year) is forecast to grow slower than the US market (9.9% per year).

High Growth Revenue: ENLC's revenue (3.8% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: ENLC's Return on Equity is forecast to be low in 3 years time (13.1%).


Past Performance

How has EnLink Midstream performed over the past 5 years?

-22.1%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: ENLC is currently unprofitable.

Growing Profit Margin: ENLC is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: ENLC is unprofitable, and losses have increased over the past 5 years at a rate of 22.1% per year.

Accelerating Growth: Unable to compare ENLC's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: ENLC is unprofitable, making it difficult to compare its past year earnings growth to the Oil and Gas industry (-18.6%).


Return on Equity

High ROE: ENLC has a negative Return on Equity (-2.03%), as it is currently unprofitable.


Financial Health

How is EnLink Midstream's financial position?


Financial Position Analysis

Short Term Liabilities: ENLC's short term assets ($808.1M) do not cover its short term liabilities ($1.0B).

Long Term Liabilities: ENLC's short term assets ($808.1M) do not cover its long term liabilities ($4.4B).


Debt to Equity History and Analysis

Debt Level: ENLC's debt to equity ratio (143.9%) is considered high.

Reducing Debt: ENLC's debt to equity ratio has increased from 62.9% to 143.9% over the past 5 years.


Balance Sheet


Cash Runway Analysis

For companies that have on average been loss making in the past we assess whether they have at least 1 year of cash runway.

Stable Cash Runway: Whilst unprofitable ENLC has sufficient cash runway for more than 3 years if it maintains its current positive free cash flow level.

Forecast Cash Runway: ENLC is unprofitable but has sufficient cash runway for more than 3 years, due to free cash flow being positive and growing by 51.8% per year.


Dividend

What is EnLink Midstream current dividend yield, its reliability and sustainability?

4.52%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: ENLC's dividend (4.52%) is higher than the bottom 25% of dividend payers in the US market (1.28%).

High Dividend: ENLC's dividend (4.52%) is in the top 25% of dividend payers in the US market (3.48%)


Stability and Growth of Payments

Stable Dividend: ENLC has been paying a dividend for less than 10 years and during this time payments have been volatile.

Growing Dividend: ENLC has only been paying a dividend for 7 years, and since then payments have fallen.


Current Payout to Shareholders

Dividend Coverage: ENLC is paying a dividend but the company is unprofitable.


Future Payout to Shareholders

Future Dividend Coverage: ENLC's dividends in 3 years are not forecast to be well covered by earnings (394.5% payout ratio).


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

3.3yrs

Average management tenure


CEO

Barry Davis (59 yo)

2.17yrs

Tenure

US$7,819,593

Compensation

Mr. Barry E. Davis has been Executive Chairman of Sabine Pipe Line LLC., Chandeleur Pipe Line LLC., and EnLink Midstream GP, LLC since January 2, 2018. He has been Chief Executive Officer and Chairman of E...


CEO Compensation Analysis

Compensation vs Market: Barry's total compensation ($USD7.82M) is above average for companies of similar size in the US market ($USD5.18M).

Compensation vs Earnings: Barry's compensation has increased whilst the company is unprofitable.


Leadership Team

Experienced Management: ENLC's management team is considered experienced (3.3 years average tenure).


Board Members

Experienced Board: ENLC's board of directors are not considered experienced ( 2.8 years average tenure), which suggests a new board.


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

EnLink Midstream, LLC's employee growth, exchange listings and data sources


Key Information

  • Name: EnLink Midstream, LLC
  • Ticker: ENLC
  • Exchange: NYSE
  • Founded: 2013
  • Industry: Oil and Gas Storage and Transportation
  • Sector: Energy
  • Implied Market Cap: US$4.646b
  • Market Cap: US$4.056b
  • Shares outstanding: 558.20m
  • Website: https://www.enlink.com

Number of Employees


Location

  • EnLink Midstream, LLC
  • 1722 Routh Street
  • Suite 1300
  • Dallas
  • Texas
  • 75201
  • United States

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/10/21 23:06
End of Day Share Price2021/10/21 00:00
Earnings2021/06/30
Annual Earnings2020/12/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.