Sunoco, Energy Transfer Unveil 2026 Guidance, Eyeing Billions In Growth Projects
Sunoco LP (NYSE:SUN) and Energy Transfer LP (NYSE:ET) on Tuesday disclosed 2026 guidance.
Both companies are closely aligned, with Energy Transfer having a controlling stake in Sunoco LP.
Sunoco Outlook
For 2026, the company expects adjusted EBITDA of $3.1 billion and $3.3 billion.
The guidance reflects projected synergies of roughly $125 million from Parkland, a scheduled 50-day maintenance turnaround at the Burnaby Refinery starting in late January, and the expected closing of the TanQuid acquisition in the first quarter of 2026.
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Sunoco also plans growth capital expenditures of at least $600 million in 2026, alongside a multi-year strategy of bolt-on acquisitions averaging at least $500 million per year.
The company sees maintenance capital expenditures of $400 million-$450 million.
The partnership expects to return to its long-term leverage target of 4x in 2026 and aims for a distribution growth rate of at least 5%, with future increases to be announced quarterly.
Sunoco expects Distributable Cash Flow per common unit to rise for the ninth consecutive year.
Energy Transfer Guidance
Meanwhile, Energy Transfer anticipates continued growth in 2026, projecting adjusted EBITDA of $17.3 billion–$17.7 billion, including contributions from SUN and USAC.
Also, the company plans to invest growth capital of $5.0 billion–$5.5 billion in 2026 on expanding its natural gas network.
Moreover, Energy Transfer said it is well-positioned to pursue high-return opportunities supported by long-term contracts, targeting mid-teens returns at sub-6.0x EBITDA build multiples.
These growth investments exclude affiliates Sunoco LP (SUN) and USA Compression Partners, LP (USAC).
The company cited key new projects that are expected to ramp up or come online next year.
The projects include the Nederland Flexport NGL expansion, Mustang Draw I and II processing plants in the Permian Basin, Hugh Brinson Pipeline Phase I, NGL expansions on the Lone Star Express and Gateway Pipelines, and natural gas pipelines supporting data center facilities in Texas.
Price Action: SUN shares are down 0.17% at $53.35, while ET stock was up 0.30% at $16.48 at the last check on Tuesday.
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