- Based on the debatable supposition that spending on maintenance can be equated with safety, CFRA energy research chief Stewart Glickman offers his four favorite energy pipeline companies ranked by spending on maintenance as a percentage of total assets during 2011-15.
- Glickman calculates $148M in maintenance spending at EQT Midstream Partners (EQM -3%) during the period comprised 10.8% of its average assets, ranking at the top of 23 companies reviewed; the firm rates units as a Buy.
- Spectra Energy (NYSE:SE) Partners (SEP -1.4%) owns 15K-plus miles of transmission and transportation pipelines, and maintenance spending of $1.31B comprised 9.4% of its average assets, ranking second; units are not rated at CFRA.
- Magellan Midstream (MMP -1.7%) owns and operates the longest common carrier pipeline system for refined products and liquefied petroleum gases in the U.S., and its $377M in maintenance spending equaled 7.6% of average assets, ranking third; MMP is rated a Strong Buy.
- Maintenance spending at Enable Midstream Partners (ENBL -1.4%) totaling $619M comprised 6.1% of its average assets, ranking fourth; unit are rated Hold.
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