MLP Must-Knows: Williams Partners Tanks 7.6% on Merger Rejection
(Continued from Prior Part)
Major gainers
In the previous article of this series, we saw the top five midstream MLP losers on Monday, June 22. In this article, we’ll talk about the top five midstream gainers on the same day.
Tesoro Logistics
Tesoro Logistics (TLLP) is a leading full-service logistics MLP (master limited partnership) operating primarily in the Western and Mid-Continent regions of the United States. It was the biggest gainer among midstream MLPs at the end of trading on Monday, June 22. Tesoro Logistics’ stock price jumped 3.5% in a single trading session.
Despite the rout in energy prices, TLLP’s performance has been pretty stable over the last six months. The MLP has returned -0.1% year-to-date. The reason for this stable performance is its lesser exposure to commodity prices compared to other midstream MLPs. You can gauge this advantage through the year-to-date return spread between TLLP and the Alerian MLP ETF (AMLP), which consists of 25 midstream MLPs. TLLP has retuned ~7.90 percentage points more than AMLP year-to-date.
Enbridge Energy Partners
Next in the list of midstream gainers is Enbridge Energy Partners (EEP). EEP stock rose 3.4% yesterday. But still, the stock is close to its 52-week low of $31.6. It’s lost 7.7% year-to-date.
Other midstream gainers
Other midstream gainers on Monday, June 22, were Magellan Midstream Partners (MMP), EQT Midstream Partners (EQM), and NuStar Energy (NS). MMP, EQM, and NS gained 3.0%, 2.8%, and 2.8%, respectively. EQT Midstream stock has risen 4.2% in its last four trading sessions.
AMLP gained 0.1% yesterday. TLLP, EEP, MMP, EQM, and NS together make up ~21.1% of AMLP. For context, consider that the upstream energy company–heavy SPDR S&P Oil & Gas Exploration & Production ETF (XOP) gained 0.4%.
For more must-read company and industry indicator series about master limited partnerships, visit our Master Limited Partnerships page.
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