TC PipeLines Story

<div class='circular--portrait' style='background:#000000;color: #f2f2f2;font-size:4em;'>TP</div>
TCP -- USA Stock  

USD 31.71  0.06  0.19%

TC PipeLines LP is scheduled to announce its earnings today. As many risky investors are excited about energy space, it is only fair to recap TC PipeLines LP based on its current volatility. We currently estimate TC PipeLines as undervalued. The real value is approaching 35.20 per share.
Published over two weeks ago
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How TC PipeLines (NYSE:TCP) unfluctuating forward indicators helped with the recent decline?
Our advice module complements current analysts and expert consensus on TC PipeLines LP. It analyzes the firm potential to grow using all fundamental, technical, and market related data available at this moment. The firm dividends can provide a clue to the current value of the stock. The entity one year expected dividend income is about $1.52 per share.
Typically, a company's financial statements are the reports that show the financial position of the company. There are three main documents that fall into the category of financial statements. These documents include TC PipeLines income statement, its balance sheet, and the statement of cash flows. Potential TC PipeLines investors and stakeholders use financial statements to determine how well the company is positioned to perform in the future. Although TC PipeLines investors may use each financial statement separately, they are all related. The changes in TC PipeLines's assets and liabilities, for example, are also reflected in the revenues and expenses that we see on TC PipeLines's income statement, which results in the company's gains or losses. Cash flows can provide more information regarding cash listed on a balance sheet, but not equivalent to net income shown on the income statement. Please read more on our technical analysis and fundamental analysis pages. The goal of TC PipeLines fundamental analysis is to do accurate financial forecasts. There are several possible objectives to fundamental analysis, such as projecting of TC PipeLines performance into the future periods or doing a reasonable stock valuation. The intrinsic value of TC PipeLines shares is the value that is considered the true value of the share. If the intrinsic value TC PipeLines is higher than its market price, buying is generally recommended. If it is equal to the market price, it is recommended to hold; and if it is less than the market price, then one should sell all shares TC PipeLines. Please read more on our fundamental analysis page.

Are TC PipeLines Earnings Expected to grow?

The future earnings power of TC PipeLines involves the interaction of many company-specific, industry, and economic forces. Earnings estimates embody investors' opinions of TC PipeLines factors such as sales growth, product demand, competitive industry environment, profit margins, and cost controls. TC PipeLines stock prices adjust as these expectations change or are proven wrong. The main thing to remember is that equities with high expected earnings growth tend to underperform the market because it is usually difficult to meet the market's high expectations. Companies with low earnings expectations tend to do better than expected. Please use our latest analysis of TC PipeLines expected earnings.

And What about dividends?

A dividend is the distribution of a portion of TC PipeLines earnings, decided and managed by the company's board of directors and paid to a class of its shareholders. Note, announcements of dividend payouts are generally accompanied by a proportional increase or decrease in a company's stock price. TC PipeLines dividend payments follow a chronological order of events, and the associated dates are important to determine the shareholders who qualify for receiving the dividend payment. TC PipeLines one year expected dividend income is about $1.52 per share.
Investing in dividend-paying stocks, such as TC PipeLines LP is one of the few strategies that are good for long-term investment. Ex-dividend dates are significant because investors in TC PipeLines must own a stock before its ex-dividend date to receive its next dividend. This type of analysis is very useful when you want to generate a past dividend schedule and payout information for TC PipeLines. Then that information in the form of graph and calendar can be used to fully explain how Du Pont dividends can provide a real clue to its valuation.

What do experts say?

Stock analysis is a method for investors and traders to make buying and selling decisions. By studying and evaluating past and current data, investors and traders attempt to gain an edge in the markets by making informed decisions. It is good to see analyst projects for TC PipeLines, but it might be worth checking our own buy vs. sell analysis

Breaking down the case for TC PipeLines

Although in the United States, the Securities and Exchange Commission has enforced strong rules to prevent insiders from engaging in insider trading, finding insiders among active shareholders of TC PipeLines is not uncomon. Institutional investor usually refers to an organization that invests money in TC PipeLines on behalf of clients or other money managers. Buying and selling of large positions of TC PipeLines stock by institutional investors can create supply and demand imbalances that result in sudden price moves of TC PipeLines stock. Let's take a look at how the ownership of TC PipeLines is distributed among investors.

Ownership Allocation

TC PipeLines LP shows a total of 71.31 Million outstanding shares. The majority of TC PipeLines LP outstanding shares are owned by institutions. These other corporate entities are usually referred to as non-private investors looking to take positions in TC PipeLines LP to benefit from reduced commissions. Hence, outside corporations are subject to a different set of regulations than regular investors in TC PipeLines LP. Please pay attention to any change in the institutional holdings of TC PipeLines as this could imply that something significant has changed or about to change at the company. Note that regardless of who owns the company, if the true value of the entity is less than the market is willing to pay for it, you may not be able to generate positive returns over time.

Retail Investors
5.63%
Insiders
23.96%
Institutions
70.41%
Retail Investors5.63
Insiders23.96
Institutions70.41

Another 3 percent roll up for TC PipeLines

The kurtosis is down to 8.49 as of today. As of the 10th of November, TC PipeLines owns the market risk adjusted performance of 4.12, and Standard Deviation of 2.48. In connection with fundamental indicators, the technical analysis model makes it possible for you to check timely technical drivers of TC PipeLines LP, as well as the relationship between them. Strictly speaking, you can use this information to find out if the entity will indeed mirror its model of historical prices and volume patterns, or the prices will eventually revert. We were able to collect and analyze data for nineteen technical drivers for TC PipeLines, which can be compared to its peers in the sector. Please validate TC PipeLines LP coefficient of variation, as well as the relationship between the treynor ratio and semi variance to decide if TC PipeLines LP is priced adequately, providing market reflects its prevailing price of 29.35 per share. Given that TC PipeLines LP has jensen alpha of (0.26), we advise you to double-check TC PipeLines's latest market performance to make sure the company can sustain itself sooner or later.

The Bottom Line

Although some firms in the oil & gas midstream industry are either recovering or due for a correction, TC PipeLines may not be as strong as the others in terms of longer-term growth potentials. The bottom line, as of the 10th of November 2020, our concluding 30 days Buy-Hold-Sell recommendation on the firm is Strong Sell. However, we believe TC PipeLines is currently undervalued with close to average odds of financial distress for the next two years.

About Contributor

This story should be regarded as informational only and should not be considered a solicitation to sell or buy any financial products. Macroaxis does not express any opinion as to the present or future value of any investments referred to in this post. This post may not be reproduced without the consent of Macroaxis LLC. Macroaxis LLC and Vlad Skutelnik do not own shares of TC PipeLines LP. Please refer to our Terms of Use for any information regarding our disclosure principles.

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