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Recent Content By Michael Laitkep
4Q20 Midstream/MLP Dividend Recap: Steady Improvement Co
Index Insights

4Q20 Midstream/MLP Dividend Recap: Steady Improvement Continues

Summary

  • With only a single cut and a few additional names growing their dividends, the overall...
US LNG Exporters Taking Advantage of Improved Fundamenta
Index Insights

US LNG Exporters Taking Advantage of Improved Fundamentals

Summary

  • In January, a polar vortex in Asia and Europe drove LNG prices to record highs as...

Where Can Investors Find Income in 2021?
Index Insights

Where Can Investors Find Income in 2021?

Summary

  • Low interest rates for much of the last ten years have made it much tougher for...
Midstream/MLPs: Leverage Reductions Paying Off in 2020
Index Insights

Midstream/MLPs: Leverage Reductions Paying Off in 2020

Summary

  • The average leverage ratio for the AMZI dropped from 4.35x in 2016 to 4.03x in 3Q20 and...
Midstream/MLPs Revamped: Income and Total Return
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Midstream/MLPs Revamped: Income and Total Return

Summary

  • In contrast to the prior midstream business model that emphasized a grow-at-all-costs...
Examining the Active vs. Passive Debate for Midstream
Index Insights

Examining the Active vs. Passive Debate for Midstream

Midstream investing has come a long way since the first MLP closed-end fund was introduced in...

Midstream/MLP Credit Ratings Largely Stable in Tough Tap
Index Insights

Midstream/MLP Credit Ratings Largely Stable in Tough Tape

Summary

  • With the economic challenges brought by the COVID-19 pandemic providing a kind of...
Examining the Active vs. Passive Debate for Midstream
Index Insights

Examining the Active vs. Passive Debate for Midstream

Summary

  • Passive exchange-traded products seek to replicate the performance of their underlying...
US LNG Exports: Outlook Improves as Macro Headwinds Ease
Index Insights

US LNG Exports: Outlook Improves as Macro Headwinds Ease

Summary

  • Global LNG prices have been boosted recently by recovering demand with coronavirus...
Steady Midstream EBITDA Outlooks Contrast with Performan
Index Insights

Steady Midstream EBITDA Outlooks Contrast with Performance

Summary

  • Forward EBITDA estimate revisions for midstream have been resilient in contrast to...
Framing Current Midstream/MLP Yields with Stress Tests
Index Insights

Framing Current Midstream/MLP Yields with Stress Tests

Summary

  • Despite the decrease in midstream yields in recent months, yields for both the Alerian...
Revisiting MLP vs. C-Corp Taxation as Election Day Looms
Index Insights

Revisiting MLP vs. C-Corp Taxation as Election Day Looms

Summary

  • Comparing the taxation of an MLP investment against the taxation of a C-Corp...
Examining Midstream Contracts Amid Slowing Volumes
Index Insights

Examining Midstream Contracts Amid Slowing Volumes

Summary

  • In general, the companies that have reported average contract life provide some...
Midstream at the Midpoint: Where We’ve Been and What’s N
Index Insights

Midstream at the Midpoint: Where We’ve Been and What’s Next

Summary

  • The recent recovery in energy has been multifaceted against the backdrop of an...
NGL Update: How Are Macro Headwinds Impacting Midstream?
Index Insights

NGL Update: How Are Macro Headwinds Impacting Midstream?

Summary //

  • While NGL production was relatively resilient through April, production is expected...
LNG Update: What Do Recent Headwinds Mean for US Project
Index Insights

LNG Update: What Do Recent Headwinds Mean for US Projects?

Summary //

  • LNG prices in Europe and Asia have converged with the US Henry Hub benchmark over...
1Q20 MLP/Midstream Dividend Recap: Putting Cuts in Conte
Index Insights

1Q20 MLP/Midstream Dividend Recap: Putting Cuts in Context

Summary //

  • With midstream companies revising their dividend policies in response to macro...
Recapping Recent Midstream Debt Issuances
Index Insights

Recapping Recent Midstream Debt Issuances

Amid recent volatility, one looming question for midstream has been whether the space will be...

Midstream Tightens Belt with Lower Capex, Project Deferr
Index Insights

Midstream Tightens Belt with Lower Capex, Project Deferrals

A substantial number of midstream companies have released capital spending updates since early...

Midstream Dividend Update: More Maintaining Than Cutting
Index Insights

Midstream Dividend Update: More Maintaining Than Cutting

Given most midstream dividends for 1Q20 have now been announced, today’s piece discusses how...

Is Natural Gas the Beneficiary of Lower Oil Prices?
Index Insights

Is Natural Gas the Beneficiary of Lower Oil Prices?

Before oil prices fell off, US natural gas prices were already weak, with gas producers shifting...

Down(grade) but Not Out: What Recent Credit Rating Updat
Index Insights

Down(grade) but Not Out: What Recent Credit Rating Updates Mean for Midstream

During periods of market volatility, investors often look at credit ratings as one way of...

Comparing Global Listed Infrastructure with Midstream an
Index Insights

Comparing Global Listed Infrastructure with Midstream and MLPs

Summary //

  • Though both benefit from regulated or fee-based cash flows, broader infrastructure...
MLP/Midstream Guidance Updates: Some Stand Firm, Others
Index Insights

MLP/Midstream Guidance Updates: Some Stand Firm, Others Cut with a Focus on Flexibility

Amid ongoing market volatility and the long wait for first quarter earnings, some companies...

Insights at a Glance: Framing Current MLP and Midstream
Index Insights

Insights at a Glance: Framing Current MLP and Midstream Valuations Against History and Past Downturns

March was a historically tough month for midstream given the start of an oil price war and...

Insights at a Glance: Not All Natural Gas Pipelines Are
Index Insights

Insights at a Glance: Not All Natural Gas Pipelines Are Equal

Since the oil price war began earlier this month, we have focused primarily on crude’s fall and...

Insights at a Glance: MMP Analyst Day Highlights Resilie
Index Insights

Insights at a Glance: MMP Analyst Day Highlights Resilient Business Model

Yesterday, Magellan Midstream Partners (MMP) updated investors on its business by holding a...

Insights at a Glance: How MLPs Make Money by Segment
Index Insights

Insights at a Glance: How MLPs Make Money by Segment

While pipelines are often considered the bread and butter of the MLP space, MLPs provide a wide...

Midstream MLPs: Examining AMZI Constituent Debt Profiles
Index Insights

Midstream MLPs: Examining AMZI Constituent Debt Profiles and Index Yield Scenario Analyses

Summary

  • For AMZI constituents, the relatively low principal maturing this year provides some...
4Q19 Midstream Distribution Coverage and Payout Ratios:
Index Insights

4Q19 Midstream Distribution Coverage and Payout Ratios: Comfort Amid Macro Headwinds

Summary //

  • Higher distribution coverage ratios can give investors comfort around the ability...
Permian Update: New Pipelines Loosen Constraints and Tig
Index Insights

Permian Update: New Pipelines Loosen Constraints and Tighten Differentials

Summary

  • In total, about 2.6 million barrels per day of new Permian crude takeaway capacity is...
2020 Vision: What’s the Outlook for Midstream/MLP Divide
Index Insights

2020 Vision: What’s the Outlook for Midstream/MLP Dividends This Year?

Summary

  • Some of the largest US and Canadian midstream companies are guiding to robust annual...
Midstream Energy Battle: What Subgroup Has Performed Bes
Index Insights

Midstream Energy Battle: What Subgroup Has Performed Best in 2019?

Summary //

  • Midstream C-Corps have significantly outperformed MLPs in 2019 on a price-return...
Updating the NGL Picture: Prices, Production, Exports, a
Index Insights

Updating the NGL Picture: Prices, Production, Exports, and More

Summary

  • Despite elevated inventories, delayed cracker additions, and steady export levels,...
MLP Taxation: The Benefits and What You Need to Know
Index Insights

MLP Taxation: The Benefits and What You Need to Know

Summary//

  • The pass-through structure of MLPs provides significant tax efficiency but comes...
First Steps: Introducing ESG Issues in Midstream
Index Insights

First Steps: Introducing ESG Issues in Midstream

Summary //

  • With ESG gaining traction broadly among the investment community, discussions...
2019 Energy Infrastructure Council Conference Recap: Tal
Index Insights

2019 Energy Infrastructure Council Conference Recap: Talking Energy Policy, Trade, and More

Summary

  • Recent deregulatory actions have been beneficial in reducing uncertainty for project...
US LNG Exports: How Does Recent Price Weakness Impact Pr
Index Insights

US LNG Exports: How Does Recent Price Weakness Impact Projects?

Summary

  • US LNG exports continue to grow steadily and reached a new record of 5.2 billion cubic...
TGE: Take-Private Bid Highlights Continued Private Equit
Index Insights

TGE: Take-Private Bid Highlights Continued Private Equity Interest in Midstream

Last night, Tallgrass Energy (TGE) announced that it received a take-private bid from its...

2Q19 MLP Distribution Recap: Trending in the Right Direc
Index Insights

2Q19 MLP Distribution Recap: Trending in the Right Direction

Summary //

  • Most MLPs in the AMZ and AMZI grew their 2Q19 distributions sequentially and on a...
What’s Been Driving Oil Price Volatility?
Index Insights

What’s Been Driving Oil Price Volatility?

Summary

  • Oil prices have been volatile in the last few months, with the price of WTI crude...
Have MLPs and Midstream Actually Reduced Leverage?
Index Insights

Have MLPs and Midstream Actually Reduced Leverage?

Summary

  • Reducing leverage to more comfortable levels is important for midstream in terms of...
The SCOOP on Oklahoma and How It’s STACKing Up
Index Insights

The SCOOP on Oklahoma and How It’s STACKing Up

Summary

  • The broad decline in the rig count in Oklahoma over the last year has likely reflected...
After Years of Growth, Is Midstream Capex Peaking?
Index Insights

After Years of Growth, Is Midstream Capex Peaking?

Summary //

  • Midstream companies have increased capital spending to build the infrastructure...
EPD Analyst Day Recap: Pursuing Broad Appeal in an MLP S
Index Insights

EPD Analyst Day Recap: Pursuing Broad Appeal in an MLP Structure

Summary

  • While retaining the MLP structure, EPD continues to highlight ESG priorities and more...
When Winning Isn't Everything: Midstream Project Returns
Index Insights

When Winning Isn't Everything: Midstream Project Returns and Why They Matter More

Summary

  • As competition increases from private capital for projects in areas like the Permian,...
4Q18 MLP Distribution Recap: 41 MLPs and Just One Cut
Index Insights

4Q18 MLP Distribution Recap: 41 MLPs and Just One Cut

Summary:

  • The AMZ had one sequential distribution cut, while the AMZI had zero cuts for the...
Let it Flow: Permian Crude Heads for the Coast
Index Insights

Let it Flow: Permian Crude Heads for the Coast

Summary:

  • Pipeline capacity constraints out of the Permian have loosened recently and should...
Don’t Lose Interest: Rising Rates and MLP Debt
Index Insights

Don’t Lose Interest: Rising Rates and MLP Debt

Summary:

  • Rising interest rates can mean a higher cost of debt for MLPs.
  • Alerian MLP...
Petrochemicals Provide Midstream Opportunities Downstrea
Index Insights

Petrochemicals Provide Midstream Opportunities Downstream

Summary:

  • Petrochemicals are expected be the biggest driver of global oil demand and account...
Natural Gas Prices Go on a Wild Sleigh Ride but Producti
Index Insights

Natural Gas Prices Go on a Wild Sleigh Ride but Production Up and to the Right

Sleepy natural gas turns volatile in November.

In early November, Henry Hub natural gas prices...

3Q18 MLP Distribution Recap: With 3Q Cuts Behind Us, How
Index Insights

3Q18 MLP Distribution Recap: With 3Q Cuts Behind Us, How Will Current Trends Affect Future Distributions?

Mixed quarter of distribution growth
For context, 3Q18 distributions refer to the distributions...