Shell Midstream Partners (NYSE:SHLX) Upgraded to Buy by Zacks Investment Research

Zacks Investment Research upgraded shares of Shell Midstream Partners (NYSE:SHLX) from a hold rating to a buy rating in a research report sent to investors on Wednesday, Zacks.com reports. Zacks Investment Research currently has $15.00 price target on the pipeline company’s stock.

According to Zacks, “Shell Midstream Partners, L.P. engages in owning, operating, developing and acquiring pipelines and other midstream assets. Its initial assets consist of interests in entities that own crude oil and refined products pipelines serving as key infrastructure to transport growing onshore and offshore crude oil production to Gulf Coast refining markets and to deliver refined products from those markets to major demand centers. Shell Midstream Partners, L.P. is based in Houston, Texas. “

A number of other research firms also recently issued reports on SHLX. Wells Fargo & Company lifted their price objective on Shell Midstream Partners from $13.00 to $14.00 and gave the stock an underweight rating in a research note on Thursday, May 13th. Mizuho lifted their price objective on Shell Midstream Partners from $13.00 to $15.00 and gave the stock a neutral rating in a research note on Monday, May 3rd. One investment analyst has rated the stock with a sell rating, four have given a hold rating and one has given a buy rating to the company’s stock. The stock currently has an average rating of Hold and a consensus price target of $13.17.

Shares of SHLX opened at $13.78 on Wednesday. The company’s 50 day simple moving average is $14.97. The company has a market cap of $5.42 billion, a P/E ratio of 10.77 and a beta of 1.81. Shell Midstream Partners has a 12-month low of $8.17 and a 12-month high of $16.50. The company has a debt-to-equity ratio of 4.59, a current ratio of 5.85 and a quick ratio of 5.85.

Shell Midstream Partners (NYSE:SHLX) last issued its earnings results on Friday, April 30th. The pipeline company reported $0.37 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.34 by $0.03. The company had revenue of $139.00 million for the quarter, compared to the consensus estimate of $135.14 million. Shell Midstream Partners had a return on equity of 90.23% and a net margin of 113.83%. The firm’s quarterly revenue was up 14.9% on a year-over-year basis. During the same quarter last year, the company earned $0.36 EPS. On average, equities research analysts predict that Shell Midstream Partners will post 1.47 EPS for the current year.

The business also recently announced a quarterly dividend, which was paid on Friday, May 14th. Stockholders of record on Tuesday, May 4th were issued a $0.46 dividend. This represents a $1.84 dividend on an annualized basis and a dividend yield of 13.35%. The ex-dividend date of this dividend was Monday, May 3rd. Shell Midstream Partners’s dividend payout ratio (DPR) is 147.20%.

Institutional investors have recently made changes to their positions in the company. Quadrant Capital Group LLC boosted its holdings in shares of Shell Midstream Partners by 472.8% in the 1st quarter. Quadrant Capital Group LLC now owns 2,131 shares of the pipeline company’s stock worth $28,000 after purchasing an additional 1,759 shares during the period. ADE LLC purchased a new position in shares of Shell Midstream Partners in the 4th quarter worth approximately $25,000. Pacer Advisors Inc. boosted its holdings in shares of Shell Midstream Partners by 13.3% in the 1st quarter. Pacer Advisors Inc. now owns 6,847 shares of the pipeline company’s stock worth $91,000 after purchasing an additional 804 shares during the period. Axiom Investment Management LLC purchased a new position in shares of Shell Midstream Partners in the 1st quarter worth approximately $158,000. Finally, Stephens Inc. AR boosted its holdings in shares of Shell Midstream Partners by 23.7% in the 1st quarter. Stephens Inc. AR now owns 13,960 shares of the pipeline company’s stock worth $186,000 after purchasing an additional 2,672 shares during the period. Hedge funds and other institutional investors own 20.69% of the company’s stock.

Shell Midstream Partners Company Profile

Shell Midstream Partners, L.P. owns, operates, develops, and acquires pipelines and other midstream, and logistics assets in the United States. It owns interests in crude oil and refined products pipelines and terminals to transport onshore and offshore crude oil production to Gulf Coast and Midwest refining markets.

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