Rose Rock Midstream: Cushing Storage Assets Will Provide Reliable Income For Decades, DJ Basin Pipelines Will Provide Growth Kicker
Michael Fitzsimmons • 15 Comments
Michael Fitzsimmons • 15 Comments
Wed, Feb. 17, 12:45 PM
Tue, Feb. 16, 12:46 PM
Aug. 11, 2015, 12:25 PM
- Magellan Midstream Partners (MMP -0.1%) is upgraded to Buy from Hold with a $77 price target at Stifel, citing MMP's continued strong performance, top-tier balance sheet and attractive current valuation.
- The firm notes MMP's Q2 beat was driven by a 15% Y/Y increase in volumes shipped to 53.8M bbl/day, and the earnings call reiterated previous distribution growth guidance of 15% in FY 2015 and at least 10% in FY 2016 and raised 2015 distributable cash flow guidance to $880M from $870M previously.
- However, Stifel downgrades Rose Rock Midstream (RRMS -8.2%) to Hold from Buy, noting the recently tempered view of volumes from the White Cliffs pipeline at the DJ Basin and increased competition to marketing operations.
Jun. 6, 2014, 12:54 PM
- Rose Rock Midstream (RRMS +3.7%) enjoys strong gains a day after announcing the acquisition of crude oil trucking assets from Chesapeake Energy.
- UBS maintains its Buy rating on RRMS and raises its price target to $49 from $46; financial terms were not disclosed, but the firm estimates RRMS will pay ~$50M at a ~5.5x multiple, similar to its Barcas trucking acquisition given similar size and location of assets (Briefing.com).
- UBS says the deal supports its thesis that RRMS will increase distributions at a mid-teens compound annual growth rate over the next three years, driven by organic growth investments and acquisitions.
Mar. 5, 2014, 11:59 AM
- Robert W. Baird refreshes its outlook for master limited partnerships with six downgrades: five high-growth partnerships that now look fairly valued - NGL Energy Partners (NGL -1.8%), New Source Energy (NSLP -4%), Plains GP Holdings (PAGP -0.3%), Summit Midstream Partners (SMLP -0.6%) and Tallgrass Energy Partners (TEP -2.7%) - and are cut to Neutral from Outperform, and a reduction for Whiting USA Trust II (WHZ -0.7%) to Underperform from Neutral on elevated commodity risk.
- The firm recommends recycling capital into its top investment ideas: ONEOK Partners (OKS -1.2%), Plains All American Pipeline (PAA +0.9%), Rose Rock Midstream (RRMS +0.2%) and Crosstex Energy LP (XTEX -1.5%)
- Despite downgrading multiple high-quality MLPs, Baird says its long-term bullish view on the sector remains unchanged (Briefing.com).
Aug. 13, 2013, 9:11 AM
Aug. 12, 2013, 4:26 PM
- Rose Rock Midstream (RRMS) -6.1% AH after announcing a public offering of 4.75M common units.
- RRMS says it intends to use net proceeds to purchase additional common units to pay down debt, fund capital expenditures and for general partnership purposes.
Mar. 28, 2013, 5:36 PM
Jan. 18, 2012, 11:25 AMRose Rock Midstream (RRMS +2.3%) gets a boost this morning from a slew of initiations, as Baird starts it with an Outperform, Citgroup with a Buy and Barclays with an Overweight. Additionally, pipeline manager SemGroup also said late yesterday that it had taken a 16% stake in the company. | Jan. 18, 2012, 11:25 AM
Rose Rock Midstream LP owns, operates, develops and acquires a diversified portfolio of midstream energy assets. The company is engaged in the business of crude oil gathering, transportation, storage, distribution and marketing in Colorado, Kansas, Louisiana, Montana, New Mexico, North Dakota,... More
Sector: Basic Materials
Industry: Major Integrated Oil & Gas
Country: United States
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