Buoyed by a robust operating performance and favorable growth
prospects, we are maintaining our Outperform recommendation on
Sunoco Logistics Partners
). Recent results for Sunoco Logistics have been driven by strength
in its crude pipeline system and terminals facilities.
Importantly, the partnership has grown its cash distribution for
twenty-seven consecutive quarters. With its stable fee-based
revenue, geographically-diverse assets and strong business
fundamentals, Sunoco Logistics offers investors an opportunity to
capture income growth through steadily-rising cash distributions
and capital appreciation.
Therefore, we are confident of the partnership's total return
potential. As such, we rate units of Sunoco Logistics as an
attractive investment and maintain its Outperform recommendation.
Our $45 price objective reflects a 2012 P/E multiple of 17.9x.
SUNOCO LOGISTIC (
): Free Stock Analysis Report
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