Global GP LLC, the general partner of Global Partners LP (NYSE:GLP), recently acquired a substantial number of common units in the company. According to a recent SEC filing, Global GP LLC purchased a total of 10,000 common units over two consecutive days.
On November 19, 2024, Global GP LLC acquired 5,000 units at a weighted average price of $51.81, with prices ranging from $51.48 to $52.00. The following day, November 20, 2024, another 5,000 units were purchased at a weighted average price of $50.90, with transaction prices spanning from $50.50 to $51.55. The total value of these transactions amounted to approximately $513,550.
These acquisitions are part of Global GP LLC's efforts to satisfy obligations under the Global Partners LP Long-Term Incentive Plan. The purchases reflect the general partner's ongoing commitment to the company, although Global GP LLC disclaims any pecuniary interest in the securities.
In other recent news, Global Partners LP reported significant financial growth in their third-quarter earnings call, with a notable increase in Adjusted EBITDA and net income. The company's Adjusted EBITDA rose to $114 million, up from $77.7 million the previous year, and net income increased to $45.9 million from $26.8 million. Additionally, distributable cash flow saw a considerable rise to $71.1 million from $42.2 million in the same quarter of the previous year.
Global Partners also announced the acquisition of a 730-acre liquid energy terminal in East Providence, RI, to bolster operations. The company is actively participating in the electric vehicle infrastructure expansion in Massachusetts.
In terms of analyst notes, there were no explicit bearish aspects mentioned during the call. However, the company expressed optimism about its Houston partnership and plans for an EV charger network.
These recent developments indicate a strategic direction towards growth and resilience in fluctuating markets, as highlighted by CEO Eric Slifka. The company's focus on expansion and operational enhancements, including the integration of newly acquired liquid energy terminals, suggests a proactive approach to securing market leadership.
InvestingPro Insights
The recent acquisition of common units by Global GP LLC aligns with Global Partners LP's (NYSE:GLP) strong market performance and financial health. According to InvestingPro data, GLP's stock is trading near its 52-week high, with a robust 56.98% price total return over the past year. This performance is complemented by a 14.99% return in the last month alone, indicating significant investor confidence.
GLP's financial metrics reveal a company with solid fundamentals. The company boasts a P/E ratio of 15.24, suggesting a reasonable valuation relative to its earnings. Moreover, GLP offers an attractive dividend yield of 5.78%, which is particularly noteworthy given that it has maintained dividend payments for 19 consecutive years, as highlighted by an InvestingPro Tip.
Another InvestingPro Tip points out that GLP has raised its dividend for three consecutive years, underscoring the company's commitment to shareholder returns. This dividend growth, coupled with the company's profitability over the last twelve months, paints a picture of financial stability that likely factored into Global GP LLC's decision to increase its stake.
For investors seeking more comprehensive insights, InvestingPro offers 12 additional tips on GLP, providing a deeper understanding of the company's financial position and market outlook.
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