Sunoco LP (SUN) stock analysis

SUNTXSEPetroleum RefiningFiscal year ends December 31

Financials through Q3 FY2026, quarter ended Sep 30, 2026Last filing: 10-Q on Nov 5, 2026Score 8/3029% above fair value

$63.21+0.51 (+0.81%)

Close on Nov 10, 2026Market cap $12.95BP/E –Yield –

StockData Score

Prices as of Nov 11, 2026How the score works

Weak8 of 30 checks passed

Sunoco LP passes 8 of the 30 checks behind our score; 16 could not be run for lack of data and count as not passed. Each dot in the shape is one check — hover it for the numbers.

Valuation: 1/6
Growth: 1/6
Past performance: 1/6
Financial health: 2/6
Dividend: 3/6

What stands out

Earnings grew over 5 years
Net income grew 20.0% a year on average over the last five fiscal years.
Debt covered by cash flow
Operating cash flow over the last twelve months equals 20.1% of total debt.
P/S below the industry
Sunoco LP's price-to-sales of 0.25 is below the Petroleum Refining median of 0.60 (book value is negative, so we use sales).
Growing faster than the industry
Revenue grew 136% over the last twelve months; the Petroleum Refining median is 18.4%.

What to watch

Margin of safety under 20%
The price is 29.5% above fair value, so there is no margin of safety.
Trading above fair value
The share price of $63.21 is above our fair value estimate of $48.81.
Revenue growing under 10% a year
Revenue grew -0.7% a year over the last three fiscal years, short of the 10% we look for.
Interest not well covered
Operating income covers interest expense 3.1 times; we look for at least 5.

Valuation1/6

P/E against its history
Not enough price and earnings history to compare.
P/E against the industry
Needs positive earnings and enough profitable companies in the industry.
EV/EBITDA against its history
Needs positive EBITDA and price history.
P/S below the industry
Sunoco LP's price-to-sales of 0.25 is below the Petroleum Refining median of 0.60 (book value is negative, so we use sales).
Trading above fair value
The share price of $63.21 is above our fair value estimate of $48.81.
Margin of safety under 20%
The price is 29.5% above fair value, so there is no margin of safety.

Growth1/6

Revenue growing under 10% a year
Revenue grew -0.7% a year over the last three fiscal years, short of the 10% we look for.
EPS growth over 3 years
Needs positive EPS three years ago and today.
Earnings acceleration
Needs positive net income now, a year ago and five years ago.
Growing faster than the industry
Revenue grew 136% over the last twelve months; the Petroleum Refining median is 18.4%.
Guidance issued
The latest outlook (2026 Adjusted EBITDA, Nov 3, 2026) was issued for the first time, so it neither adds nor takes away points.
Gross margin slipping
Gross margin was 10.9% over the last twelve months, against 11.4% a year earlier.

Past performance1/6

Return on equity
Needs positive equity and five years of results.
Return on invested capital
Needs operating income and invested capital.
Return on equity against the industry
Needs positive equity.
Earnings grew over 5 years
Net income grew 20.0% a year on average over the last five fiscal years.
Net margin against its history
Needs five years of revenue and net income.
Net margin against the industry
Needs revenue and net income.

Financial health2/6

Debt level
Needs debt and equity figures.
Debt trend
Needs a balance sheet from five years ago with positive equity.
Debt covered by cash flow
Operating cash flow over the last twelve months equals 20.1% of total debt.
Interest not well covered
Operating income covers interest expense 3.1 times; we look for at least 5.
Short-term assets cover short-term debts
Current assets are 1.28 times current liabilities.
Bankruptcy risk in the grey zone
The Altman Z-score is 2.34; above 3 is the safe zone and below 1.8 the distress zone.

Dividend3/6

Pays a dividend
Sunoco LP paid dividends worth 4.6% of the share price over the last twelve months.
Yield above Treasuries
The 4.6% yield is above the 4.4% on a 1-year Treasury.
Yield in the top quarter
The top quarter of US dividend payers yield 3.8% or more; Sunoco LP yields 4.6%.
Dividend stability
Fewer than five years of dividend history.
Earnings cover
Needs dividends paid and net income.
Cash-flow cover
Needs dividends paid and free cash flow.

Scores of similar companies

Fair value

How we estimate it

Our estimate per share

$48.81

The share price is 29% above this estimate.

20%+ below

Near fair value

20%+ above

$63.21Price$48.81Fair value

Method	Multiple used	Own 5Y median	Industry median	Value per share	Weight
EV/EBITDA	6.4×	–	6.4×	$47.61	70%
Earnings power	7.4% cost of equity	–	–	$51.62	30%
Fair value				$48.81	100%

Valuation over time

Using the earnings and balance sheet published at each date, not today's.

An estimate from reported numbers and market multiples, not a price target or investment advice. It can be far off for companies whose profits are about to change sharply.

Market risk

From the past year of daily prices.

Liquidity

Low risk

Average value traded per day: $32.96M
Value traded per 1% price move: $20.26M

Downside

Low risk

Typical loss in a bad month: 12.9%
Volatility (annualized): 28%
Sharpe ratio, 1 year: 0.70
Beta to the S&P 500 (5Y): 0.49

Typical bad-month loss, week by week

Margins

Share of revenue, fiscal years 2011 to 2025

Gross margin

11.1%+1.2 pts over 5 years

Operating margin

3.7%−0.2 pts over 5 years

Net margin

2.1%+0.1 pts over 5 years

Growth rates

Compound annual growth to fiscal 2025

Per year	1 year	3 years	5 years	10 years
Revenue	+11.1%	-0.7%	+18.7%	+7.3%
Gross profit	+33.1%	+26.5%	+21.5%	+11.0%
Operating income	+18.2%	+11.3%	+17.5%	+14.0%
Net income	-39.1%	+3.5%	+20.0%	+19.7%

Returns and balance sheet

10 fiscal years. Hover a measure to see how it is calculated.

Measure	FY2016	FY2020	FY2025
Return on assets	-4.6%	4.0%	2.5%
Current ratio	1.20	1.30	1.38
Net debt to EBITDA	9.51×	4.98×	7.70×
Interest coverage	0.8×	2.4×	1.7×
Inventory turnover	19.8×	24.1×	13.0×
Capex to revenue	4.4%	1.2%	–