Blueknight Energy Partners L.P., L.L.C. - Common Units representing Limited Partner Interests (BKEP) Company Bio
Blueknight Energy Partners, L.P. provides integrated terminalling, storage, processing, gathering, and transportation services for companies engaged in the production, distribution, and marketing of crude oil and asphalt products in the United States. The company was formerly known as SemGroup Energy Partners, L.P. and changed its name to Blueknight Energy Partners, L.P. in December 2009. The company is based in Oklahoma City, Oklahoma.
BKEP Price Forecast Based on DCF Valuation
DCF Fair Value Target:
We started the process of determining a valid price forecast for Blueknight Energy Partners LP with a discounted cash flow analysis -- the results of which can be found in the table below. To summarize, we found that Blueknight Energy Partners LP ranked in the 78th percentile in terms of potential gain offered. More precisely, our analysis suggests the stock is undervalued by approximately 445% on a DCF basis. The most interesting components of our discounted cash flow analysis for Blueknight Energy Partners LP ended up being:
32% of the company's capital comes from equity, which is greater than merely 11.62% of stocks in our cash flow based forecasting set.
Blueknight Energy Partners LP's weighted average cost of capital (WACC) is 7%; for context, that number is higher than merely 12.44% of tickers in our DCF set.
The company's cost of debt, derived from its interest coverage, tax rate, and market capitalization, is greater than only 23.93% of stocks in its sector (Energy).
Terminal Growth Rate in Free Cash Flow
Return Relative to Current Share Price
MPLX, SU, TRMD, NR, and BOOM can be thought of as valuation peers to BKEP, in the sense that they are in the Energy sector and have a similar price forecast based on DCF valuation.
Blueknight Energy Partners, L.P. ("Blueknight" or the "Partnership") (Nasdaq: BKEP and BKEPP), announced today that the board of directors of its general partner has declared a quarterly cash distribution on the Partnership’s common units of $0.04 per common unit, as well as a cash distribution of $0.17875 per unit on the Partnership’s preferred units for the quarter ended June 30, 2020. The second quarter 2020 distributions for both the preferred and common units remain unchanged from those paid for the first quarter of 2020. The distributions are payable on August 14, 2020, on all outstanding common and preferred units to unitholders of record as of the close of business on August 4, 2020.
Blueknight Energy Partners, L.P. ("Blueknight" or the "Partnership") (Nasdaq: BKEP and BKEPP) announced today that Chief Executive Officer Mark Hurley has informed the Partnership’s Board of Directors that he will step down from his position effective June 22, 2020 to pursue other opportunities.