Top 5 Low Price Companies To Watch In Right Now

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Top 5 Low Price Companies To Watch In Right Now: HealthStream Inc (HSTM)

HealthStream, Inc. (HealthStream), incorporated in September 27, 1990, provides Internet-based learning and research solutions for healthcare organizations. The Company’s learning products are used by healthcare organizations to meet a range of their training, certification, and development needs, while its research products provide the customers information about patients’ experiences, workforce engagement, physician relations, and community perceptions of their services. HealthStream’s products and services are organized into two segments: HealthStream Learning and HealthStream Research. HealthStream’s customers include healthcare organizations, pharmaceutical and medical device companies, and other participants in the healthcare industry. Its customer base across both learning and research business units includes over 3,000 healthcare organizations (predominately acute-care facilities) throughout all 50 states of the United States. In March 2014, the Company acq uired Health Care Compliance Strategies, Inc., a Jericho, New York-based company focused on interactive and engaging online compliance training for healthcare organizations.

The Company’s core learning product is the HealthStream Learning Center (HLC), its learning platform provided through the Internet through software-as-a-service (SaaS) model. As of December 31, 2012, HealthStream had approximately 3.1 million contracted, primarily hospital-based subscribers, to the HLC platform. It delivers educational and training courseware to its customers through the HLC platform. Its research products and service offerings include satisfaction surveys, data analyses of survey results, and other research-based measurement tools focused on patients, physicians, employees, and members of the community. The Company’s core research product is the Patient Insights survey.

HealthStream Learning & Talent Management

Within HealthStream Learning & Ta lent Management, the Company brings training, assessment and! education content together with administrative and management tools through its HLC , HCC, and HPC. It also offers a more streamlined version of the HLC, HealthStream Express, along with HealthStream Connect, a content delivery platform that is designed for the singular purpose of allowing access to its content libraries. These content libraries allow HLC platform customers to subscribe to an array of additional courseware. Additionally, through its Hospital Direct capability in the HLC, medical device companies can offer online training support for their products and sponsor continuing education directly to healthcare workers.

The Company’s learning management system supports healthcare administrators in configuring training to meet the needs of various groups of employees, modifying training materials, and documenting training completion. It offer training, implementation, and account management services to facilitate adoption of its platform. Offered via a SaaS model, its Internet-based platform and its courseware are hosted in a central data center that allows authorized subscribers Internet access to its services.

In addition to the HLC, the Company offers an array of platform extensions, each serving a function for hospitals and health systems. The Authoring Center is a platform extension that provides healthcare organizations the capability to create Internet-based courses by moving their existing course material online or self-authoring new material and electively sharing these materials with its other customers through a courseware exchange. It also offers Authoring Pro, an upgraded product, which includes a licensed image library, as an additional subscription to this product. The HealthStream Competency Center (HCC) is its SaaS-based platform extension for competency management solution for healthcare organizations, provides customers tools to assess competency and appraise performance.

SimCe nter, the Company’s platform extension offer products and ! services ! focused on accelerating the global adoption of simulation-based learning by healthcare providers with a focus on improving clinical competencies and patient outcomes. The new venture offers healthcare organizations and medical and nursing schools worldwide a range of integrated SaaS applications that accelerate development and distribution of simulation content; enable enterprise-wide management of simulation centers, simulators, and programs, and support assessment of the effectiveness of simulation training as part of complete curricula.

The HealthStream Improvement Center is a SaaS-based platform extension related to its research offering. This extension is an online system for hospital leaders to optimize and accelerate the execution of improvement plans, including those based on results from its patient, employee, physician, and community surveys. The Improvement Center, a licensed technology, is one of a number of solutions from HealthStream Research that include a line of survey products, national benchmarks, HCAHPS Improvement Library, consulting services, and other support tools.

HealthStream Research

HealthStream Research complements HealthStream Learning’s product and service offerings by providing hospital-based customers with Patient Insights, Employee Insights, Physician Insights, and Community Insights surveys, data analyses of survey results, and other research-based measurement tools. Its services are designed to provide thorough analyses that provide insightful recommendations for change; benchmarking capability using its databases, and consulting services to identify solutions for its customers based on their survey results. Its survey and research solutions focus on providing valid data to assist its customers. In addition to collecting and reporting data, the Company provides analysis and consulting to help customers understand their survey results and the underlying impact on their business. It is with this insight that healthcare organizati! ons are a! ble to develop plans for improved performance that can be delivered through its learning solutions.

The Company competes with Cornerstone OnDemand, Healthcare Source, Oracle, SABA, SAP, SumTotal Systems, Avatar International, Gallup, National Research Corporation, Press Ganey Associates, Professional Research Consultants, Inc., Kenexa, Foresight, B-Line Medical, CAE/Meti, and EMS

Advisors’ Opinion:

  • [By Jake L’Ecuyer]

    Healthstream (NASDAQ: HSTM) was down, falling 4.28 percent to $25.94 after Northland Securities downgraded the stock from Outperform to Market Perform and lowered the target price from $43 to $30.

  • [By Jake L’Ecuyer]

    Healthstream (NASDAQ: HSTM) was down, falling 4.28 percent to $25.94 after Northland Securities downgraded the stock from Outperform to Market Perform and lowered the target price from $43 to $30.

  • [By Seth Jayson]

    Calling all cash flows
    When you are trying to buy the market’s best stocks, it’s worth checking up on your companies’ free cash flow once a quarter or so, to see whether it bears any relationship to the net income in the headlines. That’s what we do with this series. Today, we’re checking in on Healthstream (Nasdaq: HSTM  ) , whose recent revenue and earnings are plotted below.

  • [By Sean Williams]

    What: Shares of HealthStream (NASDAQ: HSTM  ) , an Internet-based talent management company that provides learning solutions to the health care industry, jumped as much as 16% after the company reported its second-quarter earnings results.

Top 5 Low Price Companies To Watch In Right Now: Main Street Capital Corp (MAIN)

Main Street Capital Corporation (MSCC) is a principal investment firm primarily focused on providing customized debt and equity financing to lower middle market (LMM) companies, which it generally define as companies with annual revenues between $10 million and $100 million that operate in diverse industries. Main Street’s LMM portfolio investments principally consist of secured debt, equity warrants and direct equity investments in privately held LMM companies. Main Street’s privately placed portfolio investments consist of primarily debt investments in middle market businesses that are generally larger in size than the portfolio companies within the LMM portfolio. Its LMM portfolio investments range in size from $5 million to $25 million. As of December 31, 2011, it had debt and equity investments in 54 LMM portfolio companies. On February 29, 2012, MSCC completed the exit of its debt investment and a portion of its equity investments in Drilling Info, Inc., (Drilling In fo). Effective September 5, 2013, Main Street Capital Corp acquired TBT Holding Co Inc, a manufacturer of dump trailers, from Harbert Management Corp’s Harbert Private Equity Fund II LLC subsidiary.

On January 5, 2012, Main Street fully exited its debt and equity investments in Currie Acquisitions, LLC (Currie). On February 17, 2012, MSCC acquired a total of approximately 8.5% of the total dollar value of the MSC II limited partnership interests not owned by MSCC. The Company has approximately 75% of its total LMM portfolio investments at cost were in the form of debt investments as of December 31, 2011. At December 31, 2011, it had equity ownership in approximately 94% of its LMM portfolio companies and the average fully diluted equity ownership in those portfolio companies was approximately 34%. Its portfolio investments are generally made through MSCC and the Funds.

Debt Investments

The Company’s LMM debt investments have terms o f three to seven years, with limited required amortization p! rior to maturity, and provide for monthly or quarterly payment of interest at fixed interest rates generally between 12% and 14% per annum, payable in cash. The Company also provides floating interest rates for a portion of a single tranche debt security. In addition, certain LMM debt investments may have a form of interest that is not paid but is accrued and added to the loan balance and paid at maturity. As of December 31, 2011, 93% of its LMM debt investments at cost were secured by first priority liens on the assets of LMM portfolio companies. In addition to seeking a senior lien position in the capital structure of its LMM portfolio companies, it seeks to limit the downside of its LMM investments by negotiating covenants that are designed to protect its LMM investments while affording its portfolio companies as much flexibility in managing their businesses as is reasonable.

Warrants

In connection with its LMM debt investments, the Company has received equity warrants to establish or increase its equity interest in the LMM portfolio company. Warrants it receives in connection with a LMM debt investment typically require only a nominal cost to exercise, and thus, as a LMM portfolio company appreciates in value, it may achieve additional investment return from this equity interest. The Company structures the warrants to provide provisions protecting the rights as a minority-interest holder, as well as secured or unsecured put rights, or rights to sell such securities back to the LMM portfolio company, upon the occurrence of specified events.

Direct Equity Investments

The Company usually makes its direct equity investments in connection with debt investments. In addition, the Company may have both equity warrants and direct equity positions in some of its LMM portfolio companies. The Company makes its direct equity investments in connection with debt investments. In addition, it may have bot h equity warrants and direct equity positions in some of its! LMM port! folio companies. It seeks to maintain fully diluted equity positions in its LMM portfolio companies of 5% to 50%, and may have controlling equity interests in some instances.

Advisors’ Opinion:

  • [By Grass Hopper]

    Examples of the first class of publicly ‐traded private equity firms include Kohlberg Kravis Roberts & Co. L.P. (KKR), The Blackstone Group L.P. (BX), and Oaktree Capital Group, LLC (OAK). Examples of the second class are Wendel SA (MF FP), Exor SpA (EXO IM) and, to some extent, Reinet Investments SCA (REI SJ). Examples of the third class are American Capital, Ltd. (ACAS), Main Street Capital, Gladstone Capital Corp. (MAIN), and Prospect Capital Corp. (PSEC).

  • [By GURUFOCUS]

    Main Street Capital Corporation (MAIN) is a business development company specializing in long- term equity, equity related, and debt investments in small and lower middle market companies. Yield: 6.3%

  • [By Marc Bastow]

    Customized debt and equity financing company Main Street Capital (MAIN) raised its quarterly dividend 10% to 16.5 cents per share for January, February, and March. The payable, record and ex-dividend dates are as follows: payable on Jan. 15 to shareholders of record as of Dec. 30; payable on Feb. 14 to shareholders of record as of Jan. 21; payable on Mar. 14 to shareholders of record as of Feb. 20.
    MAIN Dividend Yield: 6.36%

  • [By Rich Duprey]

    Private equity firm Main Street Capital  (NYSE: MAIN  ) announced today third-quarter monthly dividends of $0.155 per share, the same rate it paid in the second quarter after it raised the payout a half penny from $0.15 per share.

Top 5 Low Price Companies To Watch In Right Now: PetMed Express Inc.(PETS)

PetMed Express, Inc., doing business as 1-800-PetMeds, operates a pet pharmacy in the United States. It markets non-prescription and prescription pet medications; and other health products for dogs and cats, as well as direct to consumers. The company?s non-prescription medications include flea and tick control products, bone and joint care products, vitamins and nutritional supplements, and hygiene products. Its prescription medications comprise heartworm preventatives; arthritis, thyroid, diabetes, and pain medications; antibiotics and other specialty medications; and generic substitutes. In addition, the company, through its Web site, 1800petmeds.com, sells beds, crates, stairs, strollers, and other pet supplies. PetMed Express offers its products under the Frontline Plus, K9 Advantix, Advantage, Heartgard Plus, Sentinel, Interceptor, Program, Revolution, Deramaxx, and Rimadyl brands. The company markets its products through national television, online, and direct mail /print advertising campaigns, as well as through telephone, catalogs, brochures, and postcards. It primarily serves retail customers. PetMed Express was founded in 1996 and is headquartered in Pompano Beach, Florida.

Advisors’ Opinion:

  • [By Peter Graham]

    The Q1 2014 earnings report for pet supply retailer PetSmart, Inc (NASDAQ: PETM), a brick and mortar peer of online Petmed Express Inc (NASDAQ: PETS), is due out before the market opens on Wednesday. Aside from the PetSmart earnings report, it should be said that Petmed Express Inc reported Q4 2013 earnings on May 5th (sales slipped 4.9% to $48.6 million while net income came in at $4.5 million verses $4.6 million – results that were blamed on severe winter weather). However, PetSmart did get some downgrades recently with analyst saying there is increased competition in the pets space.

  • [By Anna Prior]

    PetMed Express Inc.(PETS) said its fiscal fourth-quarter earnings edged down 1.7% at the retail pet-pharmacy as severe winter weather dented sales.

Top 5 Low Price Companies To Watch In Right Now: Meadwestvaco Corporation (MWV)

MeadWestvaco Corporation (MWV) provides packaging solutions to the healthcare, personal care and beauty, food, beverage, home and garden, tobacco, and commercial print industries worldwide. The company?s Packaging Resources segment produces bleached paperboard, Coated Natural Kraft paperboard, and linerboard. Its Consumer Solutions segment designs and produces multi-pack cartons and packaging systems primarily for the beverage take-home and tobacco market. In addition, it offers a range of converting and consumer packaging solutions, including printed plastic packaging and injection-molded products used for personal care, beauty, and pharmaceutical products; and dispensing and sprayer systems for personal care, beauty, healthcare, fragrance, and home and garden markets. In addition, this segment has a pharmaceutical packaging contract with a mass-merchant, and manufactures equipment that is leased or sold to its beverage and dairy customers to package their products. The c ompany?s Consumer & Office Products segment manufactures, sources, markets, and distributes school and office products, time-management products, and envelopes in North America and Brazil through both retail and commercial channels. Its Specialty Chemicals segment manufactures, markets, and distributes specialty chemicals derived from sawdust and other byproducts of the papermaking process in North America, South America, and Asia. Its products include activated carbon used in emission control systems for automobiles and trucks, as well as for water and food purification applications, and performance chemicals used in printing inks, asphalt paving, adhesives, and lubricants for the agricultural, paper, and petroleum industries. MWV?s Community Development and Land Management segment involves in real estate development, forestry operations, and leasing activities. MeadWestvaco Corporation was founded in 1888 and is based in Glen Allen, Virginia.

Advisors’ Opinion:

  • [By Will Ashworth]

    I don’t know about you but I definitely use several of its products on a regular basis. In fact, right here on my desk beside my computer is a small, Five Star notebook for jotting down ideas. I grew up on Hilroy notebooks, a brand brought to the table in its 2012 merger with MeadWestvaco’s (MWV) Consumer and Office Products division. MWV shareholders received one-third of an ACCO share for every MWV share. Since the deal was completed, ACCO stock has lost 42% of its value.

  • [By Lauren Pollock]

    MeadWestvaco Corp.(MWV) expanded its cost-cutting efforts and said it plans to simplify the structure of its packaging businesses, as it strives to improve its performance.

  • [By Ben Levisohn]

    When you’re stock has been lagging the S&P 500, sometimes drastic action must be followed by even more drastic action. Case in point: MeadWestvaco (MWV), which announced a program of cost cutting on the heels of one announced last year.

Top 5 Low Price Companies To Watch In Right Now: MPLX LP (MPLX)

MPLX LP, incorporated on March 27, 2012, is a fee-based limited partnership formed by Marathon Petroleum Corporation to own, operate, develop and acquire crude oil, refined product and other hydrocarbon-based product pipelines and other midstream assets. The Company’s assets consist of a 51% indirect interest in a network of common carrier crude oil and product pipeline systems and associated storage assets in the Midwest and Gulf Coast regions of the United States.

The Company generates revenue by charging tariffs for transporting crude oil, refined products and other hydrocarbon-based products through its pipelines and at its barge dock and fees for storing crude oil and products at its storage facilities. The Company is also the operator of additional crude oil and product pipelines owned by Marathon Petroleum Corporation and its subsidiaries (MPC) and third parties, for which it is paid operating fees.

The Company’s assets consist of a 51 % partner interest in Pipe Line Holdings, an entity which owns a 100.0% interest in Marathon Pipe Line LLC (MPL) and Ohio River Pipe Line LLC (ORPL), which in turn own: a network of pipeline systems, which includes approximately 962 miles of common carrier crude oil pipelines and approximately 1,819 miles of common carrier product pipelines extending across nine states. This network includes approximately 153 miles of common carrier crude oil and product pipelines, which it operates under long-term leases with third parties; a barge dock located on the Mississippi River near Wood River, Illinois, and crude oil and product tank farms located in Patoka, Wood River and Martinsville, Illinois and Lebanon, Indiana; and a 100.0% interest in a butane cavern located in Neal, West Virginia, which serves MPC’s Catlettsburg, Kentucky refinery.

Crude Oil Pipeline Systems

The Company’s crude oil pipeline systems and related assets are positioned to support c rude oil supply options for MPC’s Midwest refineries, whic! h receive imported and domestic crude oil through a range of sources. Imported and domestic crude oil is transported to supply hubs in Wood River and Patoka, Illinois from a range of regions, including Cushing, Oklahoma on the Ozark pipeline system; Western Canada, Wyoming and North Dakota on the Keystone, Platte, Mustang and Enbridge pipeline systems, and the Gulf Coast on the Capline crude oil pipeline system.

The Company’s Patoka to Lima crude system is comprised of approximately 76 miles of 20-inch pipeline extending from Patoka, Illinois to Martinsville, Illinois, and approximately 226 miles of 22-inch pipeline extending from Martinsville to Lima, Ohio. This system also includes associated breakout tankage. Crude oil delivered on this system to MPC’s tank farm in Lima can then be shipped to MPC’s Canton, Ohio refinery through MPC’s Lima to Canton pipeline, to MPC’s Detroit refinery through MPC’s undivided joint interest portion of the Maumee pi peline, and its Samaria to Detroit pipeline, or to other third-party refineries owned by BP, Husky Energy, and PBF Energy in Lima and Toledo, Ohio.

The Company’s Catlettsburg and Robinson crude system is consisted of the pipelines: Patoka to Robinson and Patoka to Catlettsburg. Its Patoka to Robinson pipeline consists of approximately 78 miles of 20-inch pipeline, which delivers crude oil from Patoka, Illinois to MPC’s Robinson, Illinois refinery. Its Patoka to Catlettsburg pipeline consists of approximately 140 miles of 20-inch pipeline extending from Patoka, Illinois to Owensboro, Kentucky, and approximately 266 miles of 24-inch pipeline extending from Owensboro to MPC’s Catlettsburg, Kentucky refinery. Crude oil can enter this pipeline at Patoka, and into the Owensboro to Catlettsburg portion of the pipelines at Lebanon Junction, Kentucky, from the third-party Mid-Valley system.

The Company’s Detroit crude system is consisted of Samaria to Detroit and Romulus to Detroit. Its Samaria to Detroit pi! peline co! nsists of approximately 44 miles of 16-inch pipeline that delivers crude oil from Samaria, Michigan to MPC’s Detroit, Michigan refinery. This pipeline includes a tank farm and crude oil truck offloading facility located at Samaria.

The Company’s Romulus to Detroit pipeline consists of approximately 17 miles of 16-inch pipeline extending from Romulus, Michigan to MPC’s Detroit, Michigan refinery. Its Wood River to Patoka crude system is consisted of two pipelines: Wood River to Patoka and Roxanna to Patoka. Its Wood River to Patoka pipeline consists of approximately 57 miles of 22-inch pipeline, which delivers crude oil received in Wood River, Illinois from the third-party Platte and Ozark pipeline systems to Patoka, Illinois.

The Company’s Roxanna to Patoka pipeline consists of approximately 58 miles of 12-inch pipeline, which transports crude oil received in Roxanna, Illinois from the Ozark pipeline system to its tank farm in Patoka, Illi nois.

Product Pipeline Systems

The Company’s product pipeline systems are positioned to transport products from five of MPC’s refineries to MPC’s marketing operations, as well as those of third parties. These pipeline systems also supply feedstocks to MPC’s Midwest refineries. These product pipeline systems are integrated with MPC’s expansive network of refined product marketing terminals, which support MPC’s integrated midstream business.

The Company’s Gulf Coast product pipeline systems include Garyville products system and Texas City products system. The Company’s Garyville products system is consisted of approximately 70 miles of 20-inch pipeline, which delivers refined products from MPC’s Garyville, Louisiana refinery to either the Plantation Pipeline in Baton Rouge, Louisiana or the MPC Zachary breakout tank farm in Zachary, Louisiana, and approximately two miles of 36-inch pipeline that delivers refined product s from the MPC tank farm to Colonial Pipeline in Zachary.

The Company’s Texas City products system is comprised of approximately 39 miles of 16-inch pipeline that delivers refined products from refineries owned by MPC, BP and Valero in Texas City, Texas to MPC’s Pasadena breakout tank farm and third-party terminals in Pasadena, Texas. The system also includes approximately three miles of 30- and 36-inch pipeline that delivers refined products from MPC’s Pasadena breakout tank farm to the third-party TEPPCO and Centennial pipeline systems.

The Company’s Midwest product pipeline systems include Ohio River Pipe Line (ORPL) products system, Robinson products system and Louisville Airport products system. The Company’s ORPL products system is consisted of Kenova to Columbus, Canton to East Sparta, East Sparta to Heath, East Sparta to Midland, Heath to Dayton, and Heath to Findlay.

The Company’s Kenova to Columbus pipeline consists of approximately 150 miles of 14-inch pipeline that delivers refi ned products from MPC’s Catlettsburg refinery to MPC’s Columbus, Ohio area terminals. Its Canton to East Sparta pipeline consists of two parallel pipelines, which connect MPC’s Canton, Ohio refinery with its East Sparta, Ohio breakout tankage and station. The first pipeline consists of approximately 8.5 miles of six-inch pipeline that delivers products (distillates) from Canton to East Sparta. The second pipeline consists of approximately 8.5 miles of six-inch bi-directional pipeline, which can deliver products (gasoline) from Canton to East Sparta or light petroleum-based feedstocks from East Sparta to Canton.

The Company’s East Sparta to Heath pipeline consists of approximately 81 miles of eight-inch pipeline that delivers products from its East Sparta, Ohio breakout tankage and station to MPC’s terminal in Heath, Ohio. The Company’s East Sparta to Midland pipeline consists of approximately 62 miles of eight-inch bi-directional pipeline, which can deliver products and light petroleum-based feedstocks betwe! en its br! eak-out tankage and station in East Sparta, Ohio and MPC’s terminal in Midland, Pennsylvania. MPC’s Midland terminal has a marketing load rack and is able to connect to other Pittsburgh, Pennsylvania-area terminals through a pipeline owned by Buckeye Pipe Line Company, L.P. and a river loading/unloading dock for products and petroleum feedstocks. This pipeline can also transport products to MPC’s terminals in Steubenville and Youngstown, Ohio through a connection at West Point, Ohio with a pipeline owned by MPC.

The Company’s Heath to Dayton pipeline consists of approximately 108 miles of six-inch pipeline, which delivers products from MPC’s terminals in Heath, Ohio and Columbus, Ohio to terminals owned by CITGO and Sunoco Logistics Partners, L.P. in Dayton, Ohio. This pipeline is bi-directional between Heath and Columbus for product deliveries. Its Heath to Findlay consists of approximately 100 miles of eight- and 10-inch pipeline, which delivers pro ducts from MPC’s terminal in Heath, Ohio to MPC’s pipeline break-out tankage and terminal in Findlay, Ohio. Robinson products system is consisted of Robinson to Lima, Robinson to Louisville, Robinson to Mt. Vernon, Wood River to Clermont, Dieterich to Martinsville and Wabash Pipeline System.

The Company’s Robinson to Lima pipeline consists of approximately 250 miles of 10-inch pipeline, which delivers products from MPC’s Robinson, Illinois refinery to MPC terminals in Indianapolis, Indiana, as well as to MPC terminals in Muncie, Indiana and Lima, Ohio. Its Robinson to Louisville pipeline consists of approximately 129 miles of 16-inch pipeline, which delivers products from MPC’s Robinson, Illinois refinery to two MPC and multiple third-party terminals in Louisville, Kentucky. In addition, these products can supply MPC and Valero terminals in Lexington, Kentucky through the Louisville to Lexington pipeline system owned by MPC and Valero.

Th e Company’s Robinson to Mt. Vernon pipeline consists of ap! proximate! ly 79 miles of 10-inch pipeline that delivers products from MPC’s Robinson, Illinois refinery to a MPC terminal located on the Ohio River in Mt. Vernon, Indiana. It leases this pipeline from a third party under a long-term lease. The Company’s Wood River to Clermont pipeline consists of approximately 153 miles of 10-inch pipeline extending from MPC’s terminal in Wood River, Illinois to Martinsville, Illinois, and approximately 156 miles of 10-inch pipeline extending from Martinsville, Illinois to Clermont, Indiana. This pipeline also includes approximately 9.5 miles of pipelines utilized for the local movement of products in and around Wood River, Illinois, and Clermont, Indiana.

The Company’s Dieterich to Martinsville pipeline consists of approximately 40 miles of 10-inch pipeline, which delivers products from the termination point of Centennial Pipeline to Martinsville, Illinois. From Martinsville, these products (including refinery feedstocks) can be distributed to MPC’s Robinson, Illinois refinery or to other destinations through our other pipeline systems. Its Wabash Pipeline System consists of three interconnected pipeline pipelines: approximately 130 miles of 12-inch pipeline extending from MPC’s terminal in Wood River, Illinois to Champaign, Illinois (the West leg); approximately 86 miles of 12-inch pipeline extending from MPC’s Robinson, Illinois refinery to Champaign (the East leg), and approximately 140 miles of 12- and 16-inch pipeline extending from the junction with the East and West legs in Champaign to MPC’s terminals in Griffith, Indiana and Hammond, Indiana. This pipeline system delivers products to MPC’s tanks at Martinsville, Champaign, Griffith and Hammond. This pipeline system also delivers products to tanks owned by Meier Oil Company at Ashkum, Illinois. The Wabash Pipeline System connects to other pipeline systems in the Chicago area through a portion of the system located beyond MPC’s G riffith terminal. The Company’s Louisville airport product! s system ! consists of approximately 14 miles of eight- and six-inch pipeline, which delivers jet fuel from MPC’s Louisville, Kentucky refined product terminals to customers at the Louisville International Airport.

Other Major Midstream Assets

The Company’s butane cavern is located in Neal, West Virginia, across the Big Sandy River from MPC’s Catlettsburg, Kentucky refinery. This storage cavern has approximately 1.0 million barrels of storage capacity and is connected to MPC’s Catlettsburg refinery. Rail access to the storage cavern is also available through connections with the refinery.

The Company’s barge dock is located on the Mississippi River in Wood River, Illinois and is used both for crude oil barge loading and products barge unloading. The barge dock is connected to its Wood River tank farm by approximately two miles of 14-inch pipeline, which transfers crude oil from the tank farm to the dock, and two 10-inch pipelines, which are each approximately two miles long and transfer products and feedstocks from the dock to the tank farm. This dock generates revenue through a FERC tariff, which is collected for the transfer and loading/unloading of crude oil and products. It also owns tank farms located in Patoka, Martinsville and Wood River, Illinois and Lebanon, Indiana, which it uses for storing both crude oil and products. These storage assets are integral to the operation of its pipeline systems in those areas.

Advisors’ Opinion:

  • [By Robert Rapier]

    Refiners that have spun off midstream assets have done very well over the past years. Valero Energy Partners (NYSE: VLP) is up nearly 60 percent since its December IPO, Phillips 66 Partners (NYSE: PSXP) has more than doubled since its July IPO (and is the biggest gainer among MLPs year-to-date), and MPLX (NYSE: MPLX) — formed from Marathon Petroleum (NYSE: MPC) — is up 110 percent since its November 2012 IPO.

  • [By Aimee Duffy]

    Master limited partnerships are not like other stocks, and the metrics we use to compare an MLP to its peers differ from the metrics we use to compare regular companies. For example, instead of the traditional P/E ratio, we emphasize MLP-specific metrics like distribution coverage ratio, and today’s focus: price to distributable cash flow (P/DCF). I’ll use MPLX (NYSE: MPLX  ) , Tesoro Logistics (NYSE: TLLP  ) , and Holly Energy Partners (NYSE: HEP  ) as our three examples.

  • [By Robert Rapier]

    Two things PSXP has going for it are that it has no debt, and is likely to be able to grow future distributions. But there are other midstream MLPs that have little or no debt and are also in position to grow distributions, but with a higher yield than PSXP. Marathon Petroleum’s (NYSE: MPC) midstream affiliate MPLX (NYSE: MPLX) also has essentially no debt, but a slightly higher yield of 2.9 percent.

  • [By Dan Caplinger]

    In Marathon’s quarterly report, watch for how the refiner’s relationship with spun-off midstream pipeline operator MPLX (NYSE: MPLX  ) is faring. With Marathon holding a majority stake in MPLX, its pipeline assets will play an increasingly important role in bringing midcontinent energy products to its refineries.