December 12, 2024
Top 10 Stock MLP Buy Recommendation

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For each investment strategy, we provide you with more detailed analysis and our recommendation. You see the ranks of the top 10 stocks ranked by that particular investment strategy (360° View, Sentiment, Value, Growth, Safety and Combined Financial Performance).

360° View: Obermatt 360° View MLP Buy

360 METRICS	December 12, 2024
VALUE
VALUE	97
GROWTH
GROWTH	55
SAFETY
SAFETY	53
SENTIMENT
SENTIMENT	34
360° VIEW
360° VIEW	74

ANALYSIS: With an Obermatt 360° View of 74 (better than 74% compared with alternatives), overall professional sentiment and financial characteristics for the stock MLP are above average. The 360° View is based on consolidating four consolidated indicators, with three out of four indicators above average for MLP. The consolidated Value Rank has an attractive rank of 97, which means that the share price of MLP is on the lower side compared with the typical size in indicators such as revenues, profits, and invested capital. This means the stock price is lower than for 97% of alternative stocks in the same industry. The consolidated Growth Rank has a good rank of 55, which means that the company experiences above-average growth momentum when looking at financial metrics such as revenue, profit, and invested capital growth, as well as stock returns. The company is also safely financed with a Safety Rank of 53. But the professional market sentiment is below average compared with other stock investment alternatives with a Sentiment Rank of only 34. Professional investors are more confident in 66% other stocks. ...read more

RECOMMENDATION: With a consolidated 360° View of 74, MLP is better positioned than 74% of all alternative stock investment opportunities based on the Obermatt Method. As three out of four consolidated Obermatt Ranks exhibit excellent performance, such as good value (Value Rank of 97), above-average growth (Growth Rank of 55), and safe financing practices (Safety Rank of 53), it is a solid stock investment where the risk of paying too much for the shares is limited, and disappointments are less likely, unless information not publicly available. Only the professional market sentiment is on the riskier side (Sentiment Rank of 34), but that could also mean an overreaction to negative news in the past. Good value is sometimes an indication that the company's future is challenging. If they have been enjoying above average growth and are still a good value, this may not continue. We recommend evaluating whether the future of MLP is as challenging as the low price of the stock despite good growth and safe financing practices suggest. Since the professional community is pessimistic, you may want to reflect these negative opinions in light of what you find reasonable to expect for the future. If you believe this pessimistic view is transitory, you have a solid investment case based on current financial factors. ...read more

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Sentiment Strategy: Professional Market Sentiment for MLP only reserved

SENTIMENT METRICS	December 12, 2024
ANALYST OPINION
ANALYST OPINION	90
OPINIONS CHANGE
OPINIONS CHANGE	16
PRO HOLDINGS
PRO HOLDINGS	47
MARKET PULSE
MARKET PULSE	16
CONSOLIDATED RANK: SENTIMENT
CONSOLIDATED RANK: SENTIMENT	34

ANALYSIS: With an Obermatt Sentiment Rank of 34 (better than 34% compared with alternatives), overall professional sentiment and engagement for the stock MLP is below industry average. The Sentiment Rank is based on consolidating four sentiment indicators, with three out of four metrics below average for MLP. Analyst Opinions are at a rank of 90 (better than 90% of alternative investments), which means that, currently, stock research analysts tend to recommend a stock investment in the company. This is a good sign, were it not for Analyst Opinions Change with a low rank of 16, which means that currently, stock research experts are changing their opinions for the worse. In other words, they are getting more critical of a stock investment in MLP. The Professional Investors rank is also low at 47, meaning that professional investors hold less stock in this company than in 53% of alternative investment opportunities. Pros tend to invest in other companies. Even worse, Market Pulse has a low rank of 16, which means that the current professional news and professional social networks are critical of this company (more negative news than for 84% of competitors). ...read more

RECOMMENDATION: With a consolidated Sentiment Rank of 34 (less encouraging than 66% compared with investment alternatives), MLP has a reputation among professional investors that is below that of its competitors. There are several negative sentiment signals, with only the Analyst Opinions Rank above average. This could be a stock with a long reputation for being positive but where things are worsening. Most analysts may not see it yet, but some have, and the professionals are already quite pessimistic. Proceed with caution when investing in this stock. ...read more

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Value Strategy: MLP Stock Price Value at the top

VALUE METRICS	December 12, 2024
PRICE VS. REVENUES (P/S)
PRICE VS. REVENUES (P/S)	97
PRICE VS. PROFITS (P/E)
PRICE VS. PROFITS (P/E)	74
PRICE VS. CAPITAL (Market-to-Book)
PRICE VS. CAPITAL (Market-to-Book)	68
DIVIDEND YIELD
DIVIDEND YIELD	80
CONSOLIDATED RANK: VALUE
CONSOLIDATED RANK: VALUE	97

ANALYSIS: With an Obermatt Value Rank of 97 (better than 97% compared with alternatives) for 2024, MLP shares are significantly less expensive than comparable stocks. The Value Rank is based on consolidating four value indicators that are all above average for MLP. Price-to-Sales is 97 which means that the stock price compared with what market professionals expect for future sales is lower than for 97% of comparable companies, indicating a good value for MLP's revenue size. The same is valid for expected Price-to-Profits, more favorable than for 74% of alternatives, and this is also true for the Price-to-Book capital ratio (also referred to as market-to-book ratio) with a Price-to-Capital Rank of 68. Compared with other companies in the same industry, dividend yields of MLP are expected to be higher than for 80% of all competitors (a Dividend Yield rank of 80). ...read more

RECOMMENDATION: The overall picture with a consolidated Value Rank of 97, is a buy recommendation based on MLP's stock price compared with the company's operational size and dividend yields. Since all value metrics are above the industry average, there is no objection to investing in MLP based on its detailed value metrics.

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Growth Strategy: MLP Growth Momentum good

GROWTH METRICS	December 12, 2024
REVENUE GROWTH
REVENUE GROWTH	31
PROFIT GROWTH
PROFIT GROWTH	89
CAPITAL GROWTH
CAPITAL GROWTH	42
STOCK RETURNS
STOCK RETURNS	57
CONSOLIDATED RANK: GROWTH
CONSOLIDATED RANK: GROWTH	55

ANALYSIS: With an Obermatt Growth Rank of 55 (better than 55% compared with alternatives), MLP shows an above-average growth dynamic in its industry. Investors also speak of positive momentum. The Growth Rank is based on consolidating four value indicators, with half of the indicators below and half above average for MLP. Profit Growth has a rank of 89, which means that currently professionals expect the company to grow its profits more than 89% of its competitors. This is a good sign for shareholders, which is confirmed by an above-average Stock Returns rank of 57 (above 57% of alternative investments). But Sales Growth has a below the median rank of 31, which means that, currently, professionals expect the company to grow less than 69% of its competitors, and Capital Growth also has a lower rank of 42. ...read more

RECOMMENDATION: The overall picture with a consolidated Growth Rank of 55, is a buy recommendation for growth and momentum investors. Because revenues and invested capital are the more solid growth indicators, the positive development on the profit side is less relevant. It may have been caused by cost-cutting, which may be a negative growth indicator. Finally, the above-average stock returns recently are a thing of the past and not a good indicator of future returns. Investors should be confident that the cost-cutting initiative leading to higher profits is to benefit the company's future. If not, there is little growth momentum, and investment is only advisable if the Value Ranks suggest a good investment timing for MLP. ...read more

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Safety Strategy: MLP Debt Financing Safety above-average

SAFETY METRICS	December 12, 2024
LEVERAGE
LEVERAGE	9
REFINANCING
REFINANCING	91
LIQUIDITY
LIQUIDITY	46
CONSOLIDATED RANK: SAFETY
CONSOLIDATED RANK: SAFETY	53

ANALYSIS: With an Obermatt Safety Rank of 53 (better than 53% compared with alternatives), the company MLP has financing practices on the safer side, which mean that their overall debt burden is lower than average. This doesn't mean that the business of MLP is safe, it only means that the company is on the safer side regarding possible bankruptcy, assuming that public reporting is correct. The Safety Rank is based on consolidating three financing indicators, with just one indicator above average for MLP and the other two below average. Refinancing is at 91, meaning the portion of the debt about to be refinanced is below average. It has less debt in the refinancing stage than 91% of its competitors. But Leverage is high with a rank of 9, meaning the company has an above-average debt-to-equity ratio. It has more debt than 91% of its competitors. Liquidity is also on the riskier side with a rank of 46, meaning the company generates less profit to service its debt than 54% of its competitors. ...read more

RECOMMENDATION: With a consolidated Safety Rank of 53 (better than 53% compared with alternatives), MLP has a financing structure that is safer than that of its competitors. A good Refinancing Rank means that the problems of the company may not be around the corner. But high Leverage is only good if things go well, and low Liquidity is a signal for caution. The financing signals for MLP are on the riskier side, requiring the company's future to be on the safer side. Investors may want to look at Growth and Sentiment ranks before making an investment decision. ...read more

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Combined financial peformance: MLP Top Financial Performance

COMBINED PERFORMANCE	December 12, 2024
VALUE
VALUE	97
GROWTH
GROWTH	55
SAFETY
SAFETY	46
COMBINED
COMBINED	87

ANALYSIS: With an Obermatt Combined Rank of 87 (better than 87% compared with investment alternatives), MLP (Asset Management & Custody, Germany) shares have much better financial characteristics than comparable stocks. Shares of MLP are a good value (attractively priced) with a consolidated Value Rank of 97 (better than 97% of alternatives), show above-average growth (Growth Rank of 55), and are safely financed (Safety Rank of 53), which means low debt burdens. ...read more

RECOMMENDATION: A Combined Rank of 87, is a strong buy recommendation based on MLP's financial characteristics. As the company MLP's key financial metrics all exhibit excellent performance, such as good value (Obermatt Value Rank of 97), above-average growth (Obermatt Growth Rank of 55), and indicate that the company is safely financed (Obermatt Safety Rank of 53), it is a solid stock investment where the risk of paying too much for the share is limited, unless the company has a bleak future. Such good financial performance can indicate that the company's future might actually be challenging, as it may be difficult to maintain the good performance. If they are safely financed and have been growing above average, and are still a good value, it means that the market is keeping prices low, for a reason which may become clearer over time. We recommend evaluating the future of MLP. If you believe the company's future is market-typical or even better, this could be an argument for a share purchase. ...read more

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