JPMorgan Cites Cooling Upside Potential for MPLX in 2025

MPLX LP (NYSE:MPLX) is included among the 15 Blue Chip Dividend Stocks to Build a Passive Income Porfolio.

JPMorgan reduced its price target on MPLX LP (NYSE:MPLX) to Neutral from Overweight on December 1 and maintained a $57 price target. The firm mentioned that the stock has already surpassed its peers in 2025, leaving less room to grow. The analyst also highlighted a few near-term catalysts and said that risk/reward appears to be more balanced now, which led to the downgrade.

In addition to working on several growth projects, MPLX LP (NYSE:MPLX)’s major focus is on strengthening its Permian-to-Gulf Coast network. The company is actively investing in long-distance pipelines that would transfer natural gas and natural-gas liquids from the Permian Basin to export facilities along the Gulf Coast. Through these developments, the partnership is expected to boost its cash generation.

MPLX LP (NYSE:MPLX)’s energy asset base, which includes oil pipelines, gas processing plants, and storage terminals, contributes generously to the company’s already growing cash flow due to regulated rate structures and long-term contracts. In the first nine months of the year, the company reported a cash flow of $4.3 billion, which comfortably covered its dividend. The partnership has also rewarded shareholders with growing dividends for the past 12 consecutive years.

MPLX LP (NYSE:MPLX) is a master limited partnership that owns a range of midstream energy assets.

While we acknowledge the potential of MPLX as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you’re looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock.

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