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Oppenheimer: The Party In Energy Is Over For Now

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Oppenheimer: The Party In Energy Is Over For Now
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Oppenheimer reviewed earnings on energy MLPs Tuesday and highlighted current trends in the industry.

Analyst Bernard Colson commented that "2015 will be a difficult year for the industry as production growth slows and as oil & gas prices remain depressed, causing reductions in capital spending, slowing distribution growth and increasing financial leverage."

Colson noted that the industry had experienced a five-year boom due to high energy prices, increased production and low interest rates with easy access to credit.

The analyst suggested that the current environment may be viewed as a period of "normalization to a more sober environment."

Based on shrinking capital budgets, the analyst expected continued capex reductions in 2015 which did not "bode well for 2016 growth."

Colson concluded that the "party is over for now."

Below are current ratings on the names Oppenheimer covers in the energy MLP space along with price targets, where applicable.

  • BreitBurn Energy Partners L.P. (NASDAQ: BBEP) - Underperform
  • EV Energy Partners, L.P. (NASDAQ: EVEP) - Perform
  • Legacy Reserves LP (NASDAQ: LGCY) - Perform
  • LRR Energy LP (NYSE: LRE) - Perform
  • Mid-Con Energy Partners LP (NASDAQ: MCEP) - Perform
  • Memorial Production Partners LP (NASDAQ: MEMP) - Underperform
  • New Source Energy Partners LP (NYSE: NSLP) - Perform
  • Vanguard Natural Resources, LLC (NASDAQ: VNR) - Perform
  • EnLink Midstream Partners LP (NYSE: ENLK) - Outperform, $32 price target
  • EQT Midstream Partners LP (NYSE: EQM) - Outperform, $97 price target
  • Marlin Midstream Partners LP (NASDAQ: FISH) - Perform
  • Western Gas Partners, LP (NYSE: WES) - Outperform, $81 price target
  • Western Gas Equity Partners LP (NYSE: WGP) - Outperform, $70 price target
  • Enbridge Energy Partners, L.P. (NYSE: EEP) - Perform
  • Genesis Energy, L.P. (NYSE: GEL) - Perform
  • Plains All American Pipeline, L.P. (NYSE: PAA) - Outperform, $58
  • Plains GP Holdings LP (NYSE: PAGP) - Outperform, $32 price target
  • Tesoro Logistics LP (NYSE: TLLP) - Outperform, $67 price target
  • Enterprise Products Partners L.P. (NYSE: EPD) - Outperform, $39 price target
  • Energy Transfer Partners LP (NYSE: ETP) - Perform
  • Oneok Partners LP (NYSE: OKS) - Perform
  • ONEOK, Inc. (NYSE: OKE) - Outperform, $49 price target
  • Crossamerica Partners LP (NYSE: CAPL) - Outperform, $48 price target
  • Seadrill Partners LLC (NYSE: SDLP) - Outperform, $19 price target
  • Western Gas Equity Partners LP (NYSE: WGP) - Outperform, $70 price target

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Latest Ratings for BBEP

DateFirmActionFromTo
Mar 2016CitigroupMaintainsNeutral
Feb 2016Wells FargoDowngradesMarket PerformUnderperform
Dec 2015BarclaysMaintainsEqual-Weight

View More Analyst Ratings for BBEP
View the Latest Analyst Ratings

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