If you’ve spent any time looking at energy stocks lately, you’ve probably stumbled across Global Partners LP (GLP). On paper, it looks like a dream for income seekers. We’re talking about a company that has basically been a dividend machine for two decades. But then you look at the 2025 charts, and honestly, it’s a bit of a mess.
The stock took a massive hit last year, dropping over 10% while the rest of the market seemed to be partying. It even hit a 52-week low of $39.62 just a few days ago in early January 2026.
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So, what gives? Is this a classic "value trap," or is the market totally missing the boat on a high-yield gem? Let’s get into what’s actually happening behind the ticker.
The Reality of the Business: It’s Not Just Gas Stations
Most people think Global Partners is just a collection of gas stations and convenience stores. You’ve seen their Honey Farms Markets or maybe fueled up at one of their branded locations. While that retail side—what they call Gasoline Distribution and Station Operations (GDSO)—is a huge chunk of the business, it's only part of the story.
Basically, GLP is a master of logistics.
They own or control 54 liquid energy terminals. This network stretches from Maine all the way down to the Gulf Coast. They aren't just selling snacks and soda; they are moving massive amounts of gasoline, distillates, and renewable fuels through rail, pipeline, and marine assets.
In the third quarter of 2025, they moved 1.9 billion gallons of product. That’s a staggering amount of liquid. Yet, despite moving more volume than the previous year, their net income dropped to $29 million compared to $45.9 million in Q3 2024.
Why? Because fuel margins are a fickle beast.
When you’re a middleman, you live and die by the spread. Last year, those margins got squeezed hard. Lower retail fuel volumes and tighter spreads meant they were working harder for less profit.
Why the Stock Got Hammered in 2025
Investors hate uncertainty, and 2025 delivered it in buckets for GLP.
First, they missed earnings targets. Big time. In November 2025, they reported an EPS of $0.66 when Wall Street was expecting $0.85. Revenue also came in way lower than the $6.46 billion forecast, landing at $4.69 billion.
When a company misses revenue expectations by nearly 30%, the "sell" button gets a lot of use.
But it wasn't just the earnings miss. There’s a broader narrative shift happening. People are worried about:
- The Lower-Income Consumer: High prices have finally started to bite. If people aren't driving as much or are skipping the "chef-driven" menu items at Honey Farms, GLP’s bottom line feels it immediately.
- Wholesale Price Compression: If gasoline prices drop too fast, the value of the inventory GLP is holding can drop, hurting their margins.
- The Interest Rate Hangover: Even though they've managed to lower some interest expenses recently, carrying debt in a "higher for longer" environment is expensive for a Master Limited Partnership (MLP).
The Dividend: The Only Reason to Stay?
Despite the carnage in the share price, the distribution (the MLP version of a dividend) has been incredibly resilient.
Just this month, the board declared a quarterly cash distribution of $0.59375 for the Series B preferred units. For the common units, the distribution has been sitting around **$0.7550 per quarter**, which works out to about $3.02 annually.
At the current depressed stock price, that’s a yield of roughly 7.1% to 7.4%.
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That is a serious chunk of change. Especially when you consider they’ve been paying out for 20 years straight. In fact, they’ve managed to raise that distribution for 16 consecutive quarters as of late 2025.
It’s rare to find a company that is hitting 52-week lows while simultaneously hiking its payout. Usually, those two things don't go together unless the company is being incredibly aggressive—or incredibly confident.
What Analysts Are Saying (And Doing)
Analysts are split, which is exactly what you want to see if you're looking for an entry point. If everyone agreed it was a "buy," the price would already be $60.
Stifel recently lowered their price target from $53 down to $45. That sounds bad, but they kept a "Buy" rating. Essentially, they're saying, "We still like the company, we just think the market is going to be grumpy about it for a while."
The median price target among the few analysts who cover this stock is currently around $50.50. If the stock is hovering near $43, that’s a potential 17% upside on top of that 7% yield.
Insider Buying: A Vote of Confidence?
One of the most interesting things happened in December 2025. While the stock was sliding, the General Partner (Global GP LLC) was actually out there buying more units. They picked up nearly 4,000 shares in open-market transactions.
It wasn't a massive, world-changing buy, but when insiders put their own cash into the stock while the "smart money" is fleeing, it’s worth taking a second look. They now hold over 152,000 shares.
The Renewable Energy Pivot
You can't talk about an energy stock in 2026 without mentioning the "E" word: ESG.
Global Partners knows the world is changing. They aren't just sitting on their hands waiting for electric vehicles to kill their business. They’ve been moving into renewable fuels and bunkering services.
They’ve expanded their bunkering (fueling ships) from the Northeast down into the Gulf Coast. They are also leaning heavily into their "Bees Knees Benefits" loyalty platform. They want to turn a "gas station stop" into a "retail experience."
If they can get you to buy a $10 sandwich and a $4 coffee, the fact that you only bought 5 gallons of gas matters a lot less. The margins on a latte are way better than the margins on 87 octane.
The Risks: What Could Still Go Wrong
Let’s be real for a second. Investing in Global Partners LP stock isn't a guaranteed win.
MLPs have a specific tax structure. You’ll get a K-1 form at the end of the year, which can be a massive headache for some people (and their accountants). Don't just dump this in a standard IRA without checking the tax implications first.
There’s also the debt. Their interest coverage ratio is around 1.71. That’s okay, but it’s not "fortress balance sheet" territory. If we hit a major recession in 2026 and fuel demand craters, that debt will start looking a lot heavier.
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How to Handle GLP Right Now
If you're looking for a "get rich quick" moonshot, this isn't it. This is a slow, steady, slightly boring income play that is currently on sale because of a bad 2025.
Actionable Insights for the Investor:
- Watch the $40 Level: The stock recently bounced off $39.62. If it holds that level, it could form a solid base for a 2026 recovery. If it breaks below $38, there might be more pain ahead.
- Focus on the Distribution Coverage: Look at the Distributable Cash Flow (DCF). In Q3 2025, it was $53 million. As long as that number stays well above the total payout to unitholders, that 7% yield is safe.
- The "Convenience" Factor: Keep an eye on their retail performance. If the Honey Farms rebranding continues to show growth in "non-fuel" sales, the company is successfully de-risking from volatile oil prices.
- Tax Check: Before buying, confirm you are comfortable with K-1 tax reporting.
Global Partners is essentially a bet on the "last mile" of energy delivery. Whether it's gasoline today or renewable diesel tomorrow, people still need to move things and feed themselves on the road. At $43, you're being paid a lot of money to wait for the market to realize that.