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Fundamental data is updated weekly, as of the prior weekend. Please download the Full Report and Dividend Report for any changes.
Sep 18, 2018
Midstreams Going C-Corp, Should SEC Disallow the Measure Distributable Cash Flow?
It’s important to differentiate the concept of enterprise free cash flow valuation and the idea of capital-market dependence. The uncertainty of the MLP business model remains, as it is clear operators are shunning the MLP business model preferring C-Corps instead. According to work from Global X Funds, now 40% of the energy infrastructure market cap consists of C-Corps, up considerably from just 15% at the end of 2014. Though many simplifications have come with implied distribution cuts, the primary reason for the rise in C-Corps across the midstream space has been the rationalizing of excess MLP valuations to enterprise free cash flow assessments. We encourage the SEC to consider disallowing the use of distributable cash flow, as it is confusing to investors.
Sep 14, 2018
Dividend Growth: Capital Preservation Remains Key
Image Shown: Since mid-June 2015, the performance of an ETF tracking the midstream MLP industry (AMLP) has collapsed while the performance of an ETF tracking the S&P 500 (SPY) industry has surged.The Valuentum dividend methodology continues to identify weeds that may overrun a beautiful garden of stocks forming your portfolio. Part of the Valuentum dividend methodology is helping to identify in advance those companies at risk of a dividend cut, as once the payment is slashed, not only is the income stream reduced but capital may be permanently impaired.
Aug 24, 2018
The Days of the MLP Model Are Numbered
We applaud Enbridge-Spectra on explaining the MLP business model with transparency. Though we think rollups could bring new capital into the MLP space, we expect the days of the MLP model are numbered. The opportunity to raise capital at yield-based pricing has been eliminated.
Aug 20, 2018
ETE-ETP Rollup and Implied Distribution Cut
We continue to believe that the MLP business model may be a goner, and the recent ETE-ETP rollup is the latest example. Though new capital may come into the space on expectations that there will be premiums in unit-for-unit rollup deals, most of the combinations are coming with implied distribution cuts.
Jul 24, 2018
FERC Clarifies MLP Tax Changes
Image shown: The prices of MLPs have collapsed since mid-June 2015 as the stock market has surged. The status quo for many MLPs looks to be restored, though that doesn’t mean MLPs are out of the woods. We continue to expect many to transition to corporates in coming years, and the idea of consolidation/buyouts may bring new investor capital to the space.
Jun 1, 2018
The Free Cash Flow Shortfall in the Master Limited Partnership Space
With the recent acceleration of master limited partnership simplification transactions, we find it appropriate to revisit the internally-generated cash flow shortfall present throughout much of the space. The table provides a breakdown of traditional free cash flow (cash from operating activities less all capital spending) relative to distributions paid, as well as a measure of the elevated financial leverage often found within the group.
May 17, 2018
Master Limited Partnership Simplifications on the Rise
With the announcement of three separate master limited partnership simplification transactions on May 17 alone, we must revisit our thesis that the business structure may not be in it for the long haul.
Apr 20, 2018
Dividend Increases/Decreases for the Week Ending April 20
Let's take a look at companies that raised/lowered their dividend this week.
Apr 18, 2018
Kinder Morgan Back on Track But We're Watching Financial Statements Closely
Kinder Morgan says it is paying dividends out of internal free cash flow generation, which should remove capital-market dependency risk. Shares look attractive in the mid-teens, though we’re not in any hurry to add them to either newsletter. We’ll be watching its financial statements closely through the course of the year.
Apr 8, 2018
Portfolios: Dividend Growth Versus Best Ideas
Let’s talk about the difference between the Dividend Growth Newsletter portfolio and the Best Ideas Newsletter portfolio.


The High Yield Dividend Newsletter, Best Ideas Newsletter, Dividend Growth Newsletter, Nelson Exclusive publication, and any reports, articles and content found on this website are for information purposes only and should not be considered a solicitation to buy or sell any security. The sources of the data used on this website are believed by Valuentum to be reliable, but the data’s accuracy, completeness or interpretation cannot be guaranteed. Valuentum is not responsible for any errors or omissions or for results obtained from the use of its newsletters, reports, commentary, or publications and accepts no liability for how readers may choose to utilize the content. Valuentum is not a money manager, is not a registered investment advisor and does not offer brokerage or investment banking services. Valuentum, its employees, and affiliates may have long, short or derivative positions in the stock or stocks mentioned on this site.