Plains All-American Pipeline LP (PAA & PAGP) - May 18

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dan_s
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Joined: Fri Apr 23, 2010 8:22 am

Plains All-American Pipeline LP (PAA & PAGP) - May 18

Post by dan_s »

I have updated my forecast for PAA (which also covers PAGP). My valuation increases to $14.50. TipRanks' price target is $13.88.

PAA closed today at $10.91 and PAGP closed at $11.56. They pay identical dividends. PAA is an MLP and PAGP is a C-Corp., but they are basically the same company.

PAA recently raised their quarterly dividend to $0.2175 or $0.87 on an annualized basis for yield of 7.9%.

PAA has more than enough DCF coverage to increase their distributions.

My updated forecast/valuation model has been posted to the EPG website.
Dan Steffens
Energy Prospectus Group
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