Energy Transfer LP (ET) is undervalued and TC Energy Corp (TRP) is overvalued.
Against our estimates of intrinsic value, ET trades at the wider discount: a margin of safety of +40%, against -121% for TRP.
Values as of the 22 Sept 2026 close.
Discounting its cash flows at 7.6% (average of 3 methods) values the shares at $34.14; the price of $20.40 is 40% below that value, and 81% of that value comes from beyond year five.
Leak Score 49/100 on 9 of 12 signals
Discounting its cash flows at 7.3% (average of 3 methods) values the shares at $27.04; the price of $59.78 is 121% above that value, and 82% of that value comes from beyond year five.
Leak Score 0/100 on 2 of 12 signals
| Metric | ET | TRP |
|---|---|---|
| Verdict | Undervalued | Overvalued |
| Price | $20.40 | $59.78 |
| Intrinsic value | $34.14 | $27.04 |
| Margin of safety | +40% | -121% |
| Leak Score | 49/100 (9/12) | 0/100 (2/12) |
| Market cap | $70.2B | $59.8B |
| Revenue growth, 5 years | 17.0% | 2.6% |
| Operating margin | 9.6% | 46.3% |
| Net margin | 4.7% | 21.6% |
| Return on equity | 15.1% | 13.8% |
| Debt to equity | 1.99 | 2.30 |
| P/E | 14.0x | 24.8x |
| Forward P/E | 12.1x | 21.2x |
| P/B | 2.2x | 3.5x |
| Dividend yield | 6.7% | 4.2% |