ET vs SUN: Which Is the Better Buy in 2026?

Same yardstick, side by side (as of August 2026). Valuation lined up like this is most meaningful for two names in the same corner of the market, which these are. Figures are approximate; verify before investing.

Reading it: ET is the cheaper of the two on forward earnings, but cheaper is not the same as better. Pair the valuation with growth (how far the forward P/E sits below the trailing P/E) and risk (beta) before you decide.

The metrics above tell you which is the marginally better business. The bigger risk for most people is not picking the slightly worse stock, it is over-concentrating. ET and SUN share themes, so owning both, or adding either to what you already hold, can quietly push a large share of your portfolio into one bet.

This is the part a generic comparison page cannot answer, because it depends on what you own. Connect your brokerage and Walnut shows your real, combined ET and SUN exposure, flags overlap with your existing positions, and tells you if adding one would tip you past a concentration you are comfortable with, read-only by default, with your login staying at your broker. Walnut is not an investment adviser.

Energy Transfer owns and operates one of the largest and most diversified energy-infrastructure portfolios in the United States, spanning roughly 140,000 miles of pipeline across 44 states with assets in all major production basins. Its segments include natural gas gathering, processing, and intrastate and interstate transportation and storage; crude oil transportation and terminalling; NGL transportation, fractionation, and export; and refined products. The business is largely fee-based: it earns money by moving and storing volumes for producers, refiners, utilities, and exporters under long-term contracts, which makes cash flow less directly tied to commodity prices than an exploration company, though volumes and spreads still matter. Recent growth is concentrated in the Permian Basin, NGL exports (which set company records in Q1 2026), and a wave of natural-gas supply agreements tied to data centers and power generation, including deals to deliver gas to Oracle data centers.

Full ET guide

Sunoco LP moves fuel. The partnership is the largest independent fuel distributor in the Americas, selling roughly 4.1 billion gallons in the second quarter of 2026 at a margin near 17.1 cents per gallon, and it now sits on top of a midstream network of pipelines and terminals plus a refinery picked up with the ~$9.1 billion Parkland acquisition that closed on October 31, 2025. Four reporting segments carry the business: Fuel Distribution (~$504 million of adjusted EBITDA in the quarter), Pipeline Systems (~$190 million on ~1.3 million barrels per day of throughput), Terminals (~$115 million on ~1.1 million barrels per day) and the new Refinery segment (~$175 million on ~57,000 barrels per day at Burnaby, British Columbia). Trailing twelve-month revenue runs near ~$39.6 billion against a market value of roughly ~$14.3 billion, the arithmetic of a business that turns enormous volumes of low-margin product.

Full SUN guide

Both fit overlapping themes, but they are not interchangeable. The useful comparison is which set of drivers and risks you want exposure to.

• ET drivers: Fee-based midstream cash flows; High distribution and stated growth target.
• SUN drivers: Parkland converts a distributor into an integrated fuel system; The distribution is the reason most unitholders are here.

A faster-growing, richer-valued name usually swings harder, so it suits a longer horizon and a higher tolerance for volatility; a steadier, more cash-generative business suits a more conservative or income-minded investor. The honest test is which set of risks you could hold through a drawdown: Energy Transfer's volumes and some spreads remain exposed to commodity cycles, drilling activity, and energy demand, so a downturn in production or prices can pressure cash flow. For SUN, fuel distribution earns cents on the gallon, so a compression in rack-to-retail spreads or a mild-weather demand quarter reaches the bottom line quickly.

Growth-minded investors who believe the theme has years to run tend to accept the richer multiple for more upside; value-minded investors lean toward the cheaper forward earnings and steadier profile. Pick ET if you believe its drivers more; SUN if you believe its. Many investors hold both, but since they share themes, that is a concentrated bet, not diversification. Decide deliberately and check overlap. For the full detail, see the ET and SUN guides.

ET. Energy Transfer is most often evaluated on cash-flow and yield metrics rather than traditional earnings multiples, because as a midstream MLP its appeal is income from distributions backed by distributable cash flow. As of June 2026 the units yielded roughly 7%, supported by record NGL and Permian volumes and a stated 3% to 5% distribution-growth target. These are descriptive figures tied to the asOf date, not projections, and yields move with the unit price.

SUN. Valuation for an MLP is usually framed on distributable cash flow and enterprise value to EBITDA rather than on a price-to-earnings multiple, because depreciation on pipelines and terminals understates cash generation and net income swings with acquisition accounting. Second-quarter net income of ~$283 million against ~$608 million of adjusted distributable cash flow shows that gap plainly. Market capitalisation of roughly ~$14.3 billion covers both the ~136.9 million common units and the ~51.5 million Class D units, and the enterprise value including debt sits well above it.

Headline figures (approximate, 2026-06): ET shows revenue (ttm) ~$89 billion, distributable cash flow (q1 2026, attributable to partners) ~$2.7 billion, distribution yield ~7% (quarterly distribution ~$0.338/unit), 2026 adjusted ebitda guidance ~$18.2-$18.6 billion; SUN shows revenue (ttm) ~$39.6 billion, adjusted ebitda (q2 2026) ~$982 million, versus ~$454 million a year earlier, 2026 adjusted ebitda guidance ~$3.5 billion to ~$3.7 billion (raised by ~$400 million), distributable cash flow, as adjusted (q2 2026) ~$608 million.

ET and SUN are related but distinct: same themes, different businesses and risks. Neither wins in the abstract; the right pick is whichever thesis you actually believe, sized so you are not over-concentrated in one theme. Walnut can show your combined ET and SUN exposure against your real portfolio. It is not an investment adviser.