Sunoco LP Receives Investment Rating Downgrade

On Thursday, equity research analysts at StockNews.com revised the investment rating of Sunoco LP SUN from a "strong-buy" to a "buy". The adjustment has garnered attention as it may influence investor sentiment and market outlook for the company.

Insights from Equity Research Analysts

Alongside StockNews.com, several other research firms have recently shared their analyses of SUN. In more than one instance, a shift in recommendation was noted. Mizuho changed their stance on SUN, moving from a "buy" to a "neutral" rating with a set target price of $53.00. Meanwhile, Barclays upgraded their target price from $50.00 to $53.00 and sustained an "overweight" rating for the stock. Furthermore, Raymond James elevated their price objective from $53.00 to $55.00, maintaining an "outperform" recommendation, and JPMorgan Chase & Co. increased their price target to $48.00, upholding a "neutral" rating.

Collectively, these analyses have resulted in SUN obtaining an aggregate "Hold" rating from equity research analysts, who have set an average price target of $50.57 for the company's shares.

Performance & Stock Movements

On the trading front, SUN initiated the session at $53.23. The firm boasts a market cap of approximately $5.35 billion, a price-to-earnings ratio of 9.57, and a beta of 1.25. Currently, SUN exhibits a 52-week low of $40.81 and a high of $53.96, with the stock's fifty-day moving average at $49.12 and the 200-day average at $46.06.

Sunoco LP announced their latest earnings results on November 1st, posting a $2.95 earnings per share (EPS), which surpassed the consensus estimate of $1.11 by $1.84. The company saw a return on equity of 53.87% and a net margin of 2.38%. Despite the impressive EPS, revenue declined by 4.2% from the same quarter in the previous year, totaling $6.32 billion against expectations of $5.62 billion. For the current fiscal year, the consensus anticipates an EPS of 4.26 for SUN.

Institutional Investment Activity

Hedge funds and institutional investors have recently adjusted their holdings in SUN. Cambridge Investment Research Advisors Inc. notably boosted their stake by 1.1% during the second quarter, controlling 21,609 shares worth $941,000. Several other investment firms echoed this movement, increasingly backing SUN as part of their portfolio.

About Sunoco LP

Sunoco LP operates as a leading distributor and retailer of motor fuels in the United States. With headquarters in Dallas, Texas, SUN functions in dual segments: Fuel Distribution and Marketing, as well as All Other. It primarily purchases motor fuel from refineries and supplies it to independently operated dealer stations, distributors, and other consumer of motor fuel, including commission agent locations.

Sunoco, Investment, Analysts