Based on the aggregated intelligence of 180,000-plus investors participating in Motley Fool CAPS, the Fool's free investing community, natural gas partnership Eagle Rock Energy Partners, L.P. (NASDAQ: EROC) has earned a respected four-star ranking.
With that in mind, let's take a closer look at Eagle Rock and see what CAPS investors are saying about the stock right now.
Eagle Rock facts
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Headquarters (founded) |
Houston, Texas (2002) |
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Market Cap |
$1.2 billion |
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Industry |
Oil and gas storage and transportation |
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Trailing-12-Month Revenue |
$963.3 million |
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Management |
Chairman/CEO Joseph Mills CFO Jeffrey Wood |
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Return on Equity (average, past 3 years) |
(6.2%) |
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Cash/Debt |
$60.0 thousand / $1.1 billion |
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Dividend Yield |
11.7% |
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Competitors |
Buckeye Partners, L.P. (BPL) Cabot Oil & Gas (CTRA 0.76%) Energy Transfer Partners, L.P. (ETP) |
Sources: S&P Capital IQ and Motley Fool CAPS.
On CAPS, 96% of the 551 members who have rated Eagle Rock believe the stock will outperform the S&P 500 going forward.
Just yesterday, one of those Fools, Stalldaddy, succinctly summed up bull case for our community:
The midstream business currently handles over 1/2 of a Bcf/day and the best part is that it will continue to grow. As it does it will move toward fix fee contracts that will provide stable cash flow and thus de-risking Eagle Rock's portfolio. Furthermore, recent deals struck with proven producers like Apache create a solid platform. The Apache deal alone could potentially add 1,000 wells which means many years of connecting wells and extending its midstream footprint. The pipeline business unit could also upsize existing processing plants and double down on its fixed fee structure while it continues to beef up its midstream asset base.
If you want market-thumping returns, you need to put together the best portfolio you can. Of course, despite a strong four-star rating, Eagle Rock may not be your top choice.
