Analysts See Upside as Energy Transfer (ET) Fortifies Balance Sheet for Future Opportunities

Energy Transfer LP (NYSE:ET) is one of the best value stocks in Goldman Sachs’ portfolio. Energy Transfer is one of the largest and most diversified midstream operators in North America, with an extensive portfolio spanning natural gas, NGLs, crude oil, and refined products.

The stock is a strong Buy as per the consensus of analysts, which still indicates more than 34% potential upside, and recent analyst views have been suggesting an optimistic outlook. In fact, on September 11 and 18, analysts from UBS and BofA reiterated a Buy rating, although they have reduced their price targets.

On the fundamental side, the company is performing well. As of Q2 2025, it owns and operates over 140,000 miles of pipelines and related infrastructure across 44 states, giving it unmatched scale and connectivity.

In the first half of 2025, Energy Transfer reported adjusted EBITDA of $8.0 billion, supported by robust volumes in NGL transportation and fractionation. That said, management has modestly adjusted its full-year 2025 adjusted EBITDA guidance and now expects it to be at or slightly below the lower end of its previous guidance of $16.1 billion to $16.5 billion. Importantly, nearly 90% of adjusted EBITDA is fee-based, which limits commodity exposure and provides stability in earnings.

The company is also focused on capital discipline and projects growth capital of $5.0 billion for 2025. Over the last few years, leverage has reduced to approximately 4.0x debt-to-EBITDA, which has strengthened Energy Transfer’s balance sheet significantly, paving the way for capitalizing on future opportunities.

Energy Transfer LP (NYSE:ET) owns and operates pipelines and associated energy infrastructure, offering transportation, storage, and terminaling services for natural gas, crude oil, natural gas liquids (NGLs), refined products, and liquefied natural gas.

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Disclosure: None. This article is originally published at Insider Monkey.