Why Units of NGL Energy Partners Are Soaring Today

Units of NGL Energy Partners (NYSE: NGL) are soaring today, up more than 28% as of 11:30 a.m. EDT, after the MLP updated its earnings outlook and reduced its distribution. 

NGL Energy Partners updated investors on its strategy and outlook. The energy company reaffirmed its adjusted EBITDA forecast for fiscal 2020, stating that it now expects earnings to be at the higher end of its $565 million to $595 million guidance range. Furthermore, NGL Energy Partners said that it anticipates EBITDA in fiscal 2021 to be around $600 million. The company also said that it only plans to spend about $50 million on capital projects in fiscal 2021, which will enable it to be free cash flow positive.

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Source Fool.com