Particle.news

Energy Transfer Lifts 2026 EBITDA Outlook as Volumes Climb on Data Center Demand

Contract‑backed growth strengthens the case for its high, rising payout.

Overview

  • Q4 2025 revenue rose 29.6% to $25.32 billion as EPS came in at $0.25, missing estimates, while the unit price slipped less than 1% after the report and the stock was up roughly 14% early in 2026.
  • Management raised 2026 adjusted EBITDA guidance to $17.45–$17.85 billion, with reporting attributing the lift in part to USA Compression’s acquisition of J‑W Power Company.
  • Operational momentum continued with NGL and refined product terminals volumes up 12% and NGL transportation up 5%, and the company began natural gas deliveries to Oracle’s Texas data center under long‑term deals totaling about 900 MMcf/d across three facilities.
  • Income appeal remains central with a roughly 7.2%–7.3% yield, a January distribution increase of just over 3% year over year, a stated 3%–5% long‑term growth target, and Q4 distribution coverage near 1.8x.
  • Growth spending is set at $5.0–$5.5 billion in 2026 as the Hugh Brison Pipeline nears completion of phase 1 by year‑end and the Desert Southwest project is upsized with an expected in‑service date in late 2029.