NGL Energy Partners LP: Oil Price Recovery And Contract Visibility Support Upside
NGL Energy Partners LP is positioned for potential upside with a forecasted 50% gain, supported by rising oil prices and strong demand for water disposal and crude logistics. The company expects FY 2026 EBITDA of $650–$660 million, driven by record water disposal volumes and a 14% year-over-year increase in dedicated acreage. Contractual volume commitments provide cash flow visibility, while a $100 million unit repurchase program emphasizes deleveraging over dividends.
- ▪NGL Energy Partners forecasts FY 2026 EBITDA of $650–$660 million.
- ▪Growth is driven by record water disposal volumes and 14% year-over-year expansion in dedicated acreage.
- ▪Minimum Volume Commitments and Contracted Volume Commitments enhance cash flow reliability.
- ▪The company has initiated a $100 million unit repurchase program and currently does not pay a dividend.
- ▪NGL's stock has risen 359.68% year-over-year and 44.80% year-to-date.
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