Is MPLX LP the Next Shining Star In The Energy Sector?
A diversified midstream energy infrastructure and logistics company, MPLX, has been growing leaps and bounds in the last few quarters. But only few have noticed.
Despite having excellent and fast improving fundamentals, along with a high yield, the company hasn’t been able fully engage investor interest. The main reason, perhaps, is that the investor community has recently seen a number of master limited partnerships blow up.
What makes MPLX any different?
MPLX is differentiated by its recession resistant and seemingly low-risk self-funding business model, its short-term hyper growth strategy, its calculated investment strategies which act as a catalyst for its long-term growth, and finally, its strong balance sheet.
The company focused on developing an extensive portfolio of growth projects, but also made sure it didn’t take on too much debt to accomplish its goal. This has resulted in consistently improving quarterly performance.
The company reported its 23rd consecutive quarterly distribution increase to $0.6375 per common unit for the third-quarter 2018. Adjusted EBITDA and distributable cash flow for the quarter stood at $937 million and $766 million respectively, which provided 1.47x distribution coverage and resulted in 3.8x leverage. They also reported 74% adjusted EBIDTA growth in Q3 on a y-o-y basis, and 23% y-o-y adjusted EBITDA growth after excluding the impact from drawdowns.
This rapid growth pace is giving management plenty of cash to invest in the business, while maintaining its streak of consistently increasing its pay-out every quarter.
MPLX in downward trend: price dove below 50-day moving average on July 15, 2025
MPLX moved below its 50-day moving average on July 15, 2025 date and that indicates a change from an upward trend to a downward trend. In of 33 similar past instances, the stock price decreased further within the following month. The odds of a continued downward trend are .
Technical Analysis (Indicators)
Bearish Trend Analysis
The Momentum Indicator moved below the 0 level on June 26, 2025. You may want to consider selling the stock, shorting the stock, or exploring put options on MPLX as a result. In of 75 cases where the Momentum Indicator fell below 0, the stock fell further within the subsequent month. The odds of a continued downward trend are .
The Moving Average Convergence Divergence Histogram (MACD) for MPLX turned negative on June 18, 2025. This could be a sign that the stock is set to turn lower in the coming weeks. Traders may want to sell the stock or buy put options. Tickeron's A.I.dvisor looked at 49 similar instances when the indicator turned negative. In of the 49 cases the stock turned lower in the days that followed. This puts the odds of success at .
The 10-day moving average for MPLX crossed bearishly below the 50-day moving average on July 14, 2025. This indicates that the trend has shifted lower and could be considered a sell signal. In of 11 past instances when the 10-day crossed below the 50-day, the stock continued to move higher over the following month. The odds of a continued downward trend are .
Following a 3-day decline, the stock is projected to fall further. Considering past instances where MPLX declined for three days, the price rose further in of 62 cases within the following month. The odds of a continued downward trend are .
The Aroon Indicator for MPLX entered a downward trend on July 15, 2025. This could indicate a strong downward move is ahead for the stock. Traders may want to consider selling the stock or buying put options.
Bullish Trend Analysis
The Stochastic Oscillator suggests the stock price trend may be in a reversal from a downward trend to an upward trend. of 48 cases where MPLX's Stochastic Oscillator exited the oversold zone resulted in an increase in price. Tickeron's analysis proposes that the odds of a continued upward trend are .
Following a 3-day Advance, the price is estimated to grow further. Considering data from situations where MPLX advanced for three days, in of 357 cases, the price rose further within the following month. The odds of a continued upward trend are .
MPLX may jump back above the lower band and head toward the middle band. Traders may consider buying the stock or exploring call options.
The Tickeron Profit vs. Risk Rating rating for this company is (best 1 - 100 worst), indicating low risk on high returns. The average Profit vs. Risk Rating rating for the industry is 56, placing this stock better than average.
The Tickeron Valuation Rating of (best 1 - 100 worst) indicates that the company is fair valued in the industry. This rating compares market capitalization estimated by our proprietary formula with the current market capitalization. This rating is based on the following metrics, as compared to industry averages: P/B Ratio (3.046) is normal, around the industry mean (48.641). P/E Ratio (10.874) is within average values for comparable stocks, (16.320). MPLX's Projected Growth (PEG Ratio) (12.756) is very high in comparison to the industry average of (2.837). Dividend Yield (0.079) settles around the average of (0.069) among similar stocks. P/S Ratio (3.968) is also within normal values, averaging (3.055).
The Tickeron Price Growth Rating for this company is (best 1 - 100 worst), indicating steady price growth. MPLX’s price grows at a higher rate over the last 12 months as compared to S&P 500 index constituents.
The Tickeron PE Growth Rating for this company is (best 1 - 100 worst), pointing to worse than average earnings growth. The PE Growth rating is based on a comparative analysis of stock PE ratio increase over the last 12 months compared against S&P 500 index constituents.
The Tickeron SMR rating for this company is (best 1 - 100 worst), indicating weak sales and an unprofitable business model. SMR (Sales, Margin, Return on Equity) rating is based on comparative analysis of weighted Sales, Income Margin and Return on Equity values compared against S&P 500 index constituents. The weighted SMR value is a proprietary formula developed by Tickeron and represents an overall profitability measure for a stock.
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General Information
a developer of pipelines and other midstream assets
Industry OilGasPipelines
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