4 Best Energy Stocks to Buy According to Stuart Zimmer’s Hedge Fund

In this article, we discuss 4 best energy stocks to buy according to Stuart Zimmer’s hedge fund. If you want to read our detailed analysis of Zimmer’s history and hedge fund performance, go directly to 8 Best Energy Stocks to Buy According to Stuart Zimmer’s Hedge Fund.

4. Energy Transfer LP (NYSE:ET)

Zimmer Partners’ Stake Value: $18,362,000
Percentage of Zimmer Partners’ 13F Portfolio: 0.27%
Number of Hedge Fund Holders: 36

Energy Transfer LP (NYSE:ET) is a natural gas and propane pipeline delivery firm. Energy Transfer LP (NYSE:ET)’s price target was lifted to $14 from $13 on February 18 by Mizuho analyst Gabriel Moreen, who reiterated a Buy rating on the stock.

Energy Transfer LP (NYSE:ET) is favoured by elite hedge funds. According to the fourth quarter database of Insider Monkey, 36 hedge funds were bullish on Energy Transfer LP (NYSE:ET), up from 29 funds in the prior quarter.

At the end of the fourth quarter of 2021, Zimmer Partners held 2.23 million shares of Energy Transfer LP (NYSE:ET), amounting to $18.36 million and representing 0.27% of the fund’s total investments. Out of the hedge funds being tracked by Insider Monkey, Boston-based investment firm Abrams Capital Management is a leading shareholder of Energy Transfer LP (NYSE:ET), with 22.12 million shares worth more than $182.08 million.

Miller Value Partners, in its Q2 2021 investor letter, talked about Energy Transfer L.P. (NYSE:ET). Here is what the fund said:

“Energy Transfer LP (ET) rose over the period along with the price of oil climbing 40.59% over the period. The company received positive news that the Dakota Access Pipeline project would not be shut down while the Environmental Impact Statement by the US Army Corps of Engineers is drawn up. Energy Transfer reported strong 1Q results with revenue of $17B surpassing expectations for $11.8B with adjusted earnings before income, taxes, depreciation and amortization (EBITDA) hitting $5.04B ahead of consensus of $2.77B. The company raised full year adjusted EBITDA guidance to $12.9-13.3B from $10.6-11.0B previously, with the increase largely related to the benefits realized from Winter Storm Uri. The company paid down $3.7B in debt during the quarter, using strong cash flow to reduce leverage. The company also announced the issuance of $900M in 6.5% Series H perpetual preferreds with the company using the proceeds to repay debt and for general purposes.”