(SUN) Sunoco - Ratings and Ratios

Sunoco LP is a leading energy infrastructure and distribution company in the United States, operating through three key segments: Fuel Distribution, Pipeline Systems, and Terminals. The company distributes motor fuels, petroleum products, and other services to various customers, including third-party dealers, independent operators, and retail locations.

With a diversified business model, Sunoco LP generates revenue through multiple channels, including fuel distribution, pipeline operations, and terminal services. The companys Pipeline Systems segment is a critical component, comprising an integrated network of refined product, crude oil, and ammonia pipelines and terminals. Additionally, the Terminals segment provides transmix processing, blending, and handling services, further enhancing the companys midstream capabilities.

From a financial perspective, Sunoco LP has a market capitalization of approximately $7.1 billion, with a return on equity (ROE) of 17.35%, indicating a relatively strong profitability profile. The companys dividend yield is also noteworthy, as it has a history of distributing quarterly dividends to shareholders. Furthermore, Sunoco LPs enterprise value-to-EBITDA (EV/EBITDA) ratio is around 10.5x, suggesting a reasonable valuation relative to its earnings before interest, taxes, depreciation, and amortization.

Key performance indicators (KPIs) to monitor Sunoco LPs performance include its distributable cash flow (DCF) coverage ratio, which measures the companys ability to cover dividend payments with internally generated cash. Additionally, the volume of fuel distributed, pipeline throughput, and terminal utilization rates are essential metrics to track, as they directly impact the companys revenue and profitability. The companys debt-to-equity ratio, currently around 1.5x, is also an important metric to monitor, as it affects Sunoco LPs financial flexibility and ability to invest in growth initiatives.