Enterprise Products: Slightly Softer Quarter But Cash Flow About To Inflect Higher

  • Enterprise Products' Q1 results slightly missed expectations, mainly due to temporary petrochem weakness, but management expects improvement across key segments for the rest of 2024. Long-term distributable cash flow per unit has grown steadily, with operational resilience outpacing unit price volatility and macro headwinds. Growth capex is peaking in 2025 and then expected to halve, freeing up cash for increased capital returns, including potential unit repurchases.