Last Updated: 08 Nov 2024
Executive Summary
Sunoco LP (SUN) is a leading distributor and seller of motor fuels in the United States. The company has a strong financial position with a market capitalization of $7.26 billion, EBITDA of $1.01 billion, and EPS of $3.91. Sunoco LP has a trailing PE ratio of 13.65 and a forward PE ratio of 46.95. The stock is currently trading at $53.36, below its 52-week high of $61.78 and above its 52-week low of $47.83.
Company Overview
Sunoco LP is headquartered in Dallas, Texas and has a network of over 1,300 retail fuel outlets in 30 states. The company also has a logistics and distribution network that includes over 6,000 miles of pipelines and 10 terminals. Sunoco LP's primary products include gasoline, diesel fuel, and heating oil.
Fundamental Analysis
Sunoco LP has a strong financial position with a market capitalization of $7.26 billion, EBITDA of $1.01 billion, and EPS of $3.91. The company's trailing PE ratio of 13.65 is below the industry average of 15.54. Sunoco LP's forward PE ratio of 46.95 is above the industry average, but this is due to the company's expected earnings growth in the coming years.
Sunoco LP's revenue and earnings have grown steadily in recent years. The company's revenue increased by 7.5% in 2023 and its EPS increased by 3.9%. Sunoco LP's revenue and earnings are expected to continue to grow in the coming years, driven by the increasing demand for motor fuels.
Sunoco LP has a strong balance sheet with low levels of debt and high levels of cash. The company's debt-to-equity ratio is 0.35, which is below the industry average of 0.54. Sunoco LP's cash and cash equivalents totaled $1.2 billion at the end of 2023.
Technical Analysis
Sunoco LP's stock price has been trending higher in recent months. The stock is currently trading above its 50-day and 200-day moving averages. The stock's relative strength index (RSI) is 62, which indicates that the stock is overbought.
Short Term Outlook
Sunoco LP's stock price is expected to continue to trend higher in the short term. The stock's technical indicators are positive and the company's fundamentals are strong. Sunoco LP is expected to report strong earnings in the coming quarters, which will likely drive the stock price higher.
Long Term Outlook
Sunoco LP's long-term outlook is positive. The company is a leader in the motor fuels industry and is well-positioned to benefit from the increasing demand for motor fuels. Sunoco LP's strong financial position and experienced management team will enable the company to continue to grow and prosper in the years to come.
Analyst Recommendations
The majority of analysts have a buy rating on Sunoco LP. The average analyst target price is $62.86, which represents a potential upside of 17.8% from the current price.
