Should I Buy Genesis Energy Stock in 2025? NZ Expert Guide

What is Genesis Energy?

How much is the Genesis Energy stock?

The price of Genesis Energy stock is falling this week. The current price stands at $15.78 NZD-equivalent, with a 24-hour decrease of $0.49 (-3.01%) and a weekly drop of -2.77%.

The company's market capitalization is $1.93 billion, while the average three-month trading volume is around 601,820 shares.

Genesis Energy does not have a price/earnings ratio at present, as it reported a net loss, but offers a dividend yield of 4.18% and a beta of 1.08, suggesting moderate volatility.

Investors should be aware that while the yield is attractive, recent performance highlights the need to monitor for ongoing price swings.

Our complete analysis of the Genesis Energy stock

Having rigorously reviewed Genesis Energy (GEL)’s latest quarterly financials alongside the stock’s remarkable trajectory over the past three years, our multidimensional analysis deploys a blend of financial metrics, technical market signals, peer benchmarking, and proprietary quant models. Genesis Energy—with its disciplined strategic realignment and ongoing operational evolution—has come under renewed investor focus, especially as the stock consolidates near multi-year highs. So, why might Genesis Energy once again represent a strategic entry point into the North American energy infrastructure sector in 2025?

Recent Performance and Market Context

Genesis Energy has exhibited robust relative strength in 2025, outpacing sector averages and major indices. As of 29 May 2025, GEL trades at $15.78—up a striking 56% year-to-date and 31.7% over the last six months, a trajectory underscored by its performance within a challenging macroeconomic environment.

Several positive developments underscore this advance:

• 52-week high: The stock touched $16.79 in May 2025, its highest level in over three years, reaffirming the growing confidence in the company’s strategic transition.
• Dividend distribution hike: The quarterly distribution increased from $0.15 to $0.165 per unit, raising the annualised yield to 4.18%—an attractive feature in a yield-starved environment.
• Business simplification: The completed exit from the soda business signals a sharpened focus on midstream energy and marine logistics—a move lauded by investors as it streamlines cash flow and aligns capital allocation with higher-return assets.

The broader energy sector context also remains supportive. With continued resilience in US oil output, robust demand for offshore logistics, and clarity from the Federal Reserve on rate stability, midstream and infrastructure players like Genesis Energy are experiencing tailwinds not seen in years. For New Zealand-based investors, exposure to North American midstream assets—often yielding superior returns and providing inflation-hedged cash flows—can complement global diversification strategies.

Technical Analysis

From a technical perspective, GEL’s chart structure and market internals present a persuasive case for further upward potential:

• Momentum indicators: The 14-day RSI stands at 68.84, signalling positive momentum yet not quite at levels traditionally associated with overbought market conditions.
• Moving Averages: In late April, the 10-day moving average crossed above the 50-day—a classic bullish trigger that has historically presaged further advances.
• MACD and Stochastic Oscillator: The MACD holds a bullish differential of 0.44, while the Stochastic (68.86) reinforces lingering upside momentum.
• Directional trend: An ADX of 47.52 highlights a strong, established trend supporting ongoing strength.
• Support and resistance levels: The $14.99-$15.46 zone has emerged as a powerful support band; continued closes above this range suggest a solid base from which to challenge and potentially surpass resistance at $16.79 (the 52-week high).

Short- and medium-term technicals are firmly skewed in favour of buyers, with order flow and trend readings implying the potential for a continuation phase—possibly positioning GEL for a new leg higher as we approach the second half of 2025.

Fundamental Analysis

While Genesis Energy’s Q1 2025 results reflected some short-term adversity—revenues fell 8% year-on-year to $398.3 million, resulting in a net loss of $469.1 million—these headline numbers mask significant underlying strengths:

• Core business refocus: With the non-core soda business now divested, GEL’s adjusted EBITDA of $131.7 million reflects the earnings capacity of its streamlined core.
• Attractive valuation: Trading at just 0.66 times trailing sales, GEL is priced well below its peer group and broader market averages—even factoring in near-term earnings volatility. The price-to-book of 6.14 is a function of valuable infrastructure assets, while a historically high yield adds additional investor appeal.
• Resilient cash distribution: The 4.18% yield, backed by a rising quarterly payout, suggests management’s confidence in the firm’s long-term distributable cash flows.
• Strategic asset base: GEL’s footprint across offshore pipeline transportation and marine logistics in the Gulf of Mexico anchors its role in high-demand, mission-critical segments of the North American energy system—reinforced by long-term contracts that enhance earnings visibility.

Collectively, these factors provide GEL with a stable platform from which to benefit as US energy logistics demand accelerates. The current unprofitability, while headline-capturing, is primarily a function of non-cash charges and legacy business wind-downs; on a forward-looking basis, operational leverage is poised to reassert itself.

Volume and Liquidity

Genesis Energy’s market dynamics instill substantial investor confidence:

• Healthy trading volume: Averaging over 600,000 shares daily, GEL’s liquidity greatly exceeds many of its mid-cap peers, ensuring ease of execution even for larger market participants.
• Float and structure: The public float stands at 89.35 million units, constituting roughly 73% of outstanding units—ample for institutional involvement without excessive supply dampening valuation potential.
• Market capitalisation: At $1.93 billion, Genesis Energy occupies a sweet spot: small enough to offer growth torque, but large enough to attract recurring institutional flows as its fundamentals improve.

Consistent trading volumes and attractive float mechanics create room for dynamic price discovery—especially into catalysts or as sentiment towards the sector improves.

Catalysts and Positive Outlook

Looking ahead, several tangible catalysts and structural positives could unlock further value for GEL holders:

• Strategic realignment: The completed soda business exit liberates substantial corporate resources, enabling renewed capital deployment in high-margin offshore pipeline and marine businesses.
• Dividend growth: An upward trajectory in distributions, even amid recent earnings volatility, speaks volumes about the strength and durability of GEL’s cash-flow generation.
• Industry drivers: Rising offshore development in the Gulf of Mexico, aging infrastructure replacements, and a policy environment increasingly focused on secure, resilient energy logistics all favour continued demand for Genesis' services.
• Potential M&A/partnerships: As the US midstream space continues to consolidate, Genesis’s unique asset mix and strong market position position it as both a potential acquirer and an attractive acquisition target.
• ESG and regulatory positioning: While not a pure-play renewables candidate, Genesis’s infrastructure is critical for US energy security, and the company remains attuned to evolving ESG demands—making incremental improvements to safety, environmental management, and governance disclosures.

Analyst price targets currently cluster around $16.33–$18.00, implying moderate but meaningful upside from present levels. This outlook is supported by a combination of bottoming margin trends, emerging free cash flow inflections, and tangible progress toward a less complex capital structure.

Investment Strategies

Genesis Energy’s current technical and fundamental configuration is amenable to a variety of investment horizons and strategies:

• Short-term tactical entry: With support well-defined around the $15 mark, investors seeking active positions may find the current price zone particularly appealing given proximity to support and an approaching period of seasonal strength in US energy equities.
• Medium-term positioning: As additional quarterly results reflect the benefits of the firm’s business simplification, GEL appears poised for progressive re-rating—potentially trading toward the high end of consensus price targets as EBITDA margins improve and capital markets recognise stabilising cash flows.
• Long-term accumulation: For portfolios seeking durable, inflation-hedged income with the torque of a turnaround, GEL’s high-quality asset base and improving operational focus may offer exceptional total return potential over a multi-year horizon—especially as the company pivots to capitalise on emerging energy market trends and infrastructure needs.

With clear technical levels to inform entry points, incremental additions near support can allow investors to build exposure ahead of announced catalysts or reinforce conviction following periods of market-induced volatility.

Is it the Right Time to Buy Genesis Energy?

Genesis Energy combines near-term technical strength with a set of fundamental, structural, and strategic attributes that increasingly justify renewed investor attention. Its core energy logistics business is streamlined, yielding robust distributions, and poised to benefit from secular industry tailwinds—while valuation remains distinctly favourable versus peers. The move to refocus on mission-critical assets, coupled with powerful cash generation and a healthy yield, frames GEL as a prime candidate for consideration in a diversified, global equity portfolio.

While risks such as commodity price exposure and elevated leverage should always be monitored, the significant progress on strategic simplification and operational execution places Genesis Energy in an enviable position to outperform as we move into the back half of 2025 and beyond. For investors seeking exposure to quality US energy infrastructure, Genesis Energy at current levels seems to represent an excellent opportunity—offering a timely blend of growth prospects, consistent income, and underlying asset strength.

As market attention increasingly gravitates towards high-yielding, strategically positioned infrastructure firms, GEL’s combination of improving fundamentals, technical resilience, and sector leadership merits serious consideration for any forward-looking investment strategy. The framework for sustainable outperformance is in place—a compelling narrative for those seeking conviction and upside potential in the evolving North American energy sector.

How to buy Genesis Energy stock in New Zealand?

Buying Genesis Energy (GEL) stock online is now straightforward and secure for New Zealand investors, thanks to regulated trading platforms. Whether you're looking to invest directly in shares (spot buying) or trade price movements with contracts for difference (CFDs), both options are easily accessible through reputable brokers. Each method has its own characteristics—spot buying means owning real shares, while CFDs let you trade with leverage. Below, we explain both approaches and provide examples to help you decide. For those ready to take the next step, a comprehensive broker comparison awaits further down the page.

Spot buying

When you buy Genesis Energy (GEL) shares for cash through a licensed broker, you become a direct shareholder in the company. This traditional investing method means owning real assets that can receive dividends and be held long term. Brokers typically charge a fixed commission per order—most NZ platforms set this at around NZ$5–10.

Example

Suppose the Genesis Energy share price is US$15.78 (as of late May 2025), and your budget is NZ$1,000. After converting to US dollars (approx. US$610 at NZD/USD ~0.61), you could purchase about 38 shares (US$15.78 × 38 = US$599.64), factoring in a brokerage fee of about NZ$8.

Gain scenario:
If the share price rises by 10% to US$17.36, your 38 shares are now worth US$659.68 (approx. NZ$1,081).
Result: +NZ$81 gross gain, or +8.1% on your initial investment (excluding FX fluctuations and minor fees).

Trading via CFD

CFD (Contract for Difference) trading lets you speculate on Genesis Energy's share price without owning the underlying asset. With CFDs, you can use leverage, increasing your market exposure with a small upfront margin. Fees typically include the spread (difference between buy/sell price) and overnight financing charges if you hold your position longer than a day.

Example

You open a CFD position on Genesis Energy shares with NZ$1,000 and apply 5x leverage. This means your market exposure is NZ$5,000.

Gain scenario:
If Genesis Energy’s stock rises by 8%, your position gains 8% × 5 = 40%.
Result: +NZ$400 profit on your NZ$1,000 outlay (excluding spreads and overnight fees).

Final advice

Before investing, it's wise to compare each broker’s transaction fees, FX charges, and available trading tools to find the platform best suited to your goals and budget. Your decision between spot buying and CFDs should align with your risk tolerance, investment timeline, and income expectations. For an informed choice, our up-to-date broker comparison is available further down the page, helping you get started with confidence.

Our 7 tips for buying Genesis Energy stock

The latest news about Genesis Energy

Genesis Energy shares reached a new 52-week high in May 2025, reflecting market optimism and strong momentum. This positive trend comes despite short-term volatility, as the stock has climbed over 56% year-to-date and more than 31% over the last six months. The technical outlook is robust with key signals such as a bullish MACD, a 10-day moving average crossing above the 50-day average, and an RSI close to overbought, indicating persistent investor interest. These movements suggest ongoing confidence in the company’s strategic direction and fundamentals, a constructive signal for NZ-based institutional investors with portfolios linked to US energy infrastructure equities.

The company announced a further increase in its quarterly distribution to $0.165 per unit, underpinning shareholder returns through an attractive 4.18% yield. For funds and investors in New Zealand seeking US-dollar denominated income streams, this increase demonstrates Genesis Energy’s commitment to consistent and growing payouts. As the company operates as a Master Limited Partnership, its distributions are structured to potentially offer tax advantages for international (including NZ-based) investors, pending personal tax circumstances.

Genesis Energy completed its exit from the soda business in Q1 2025, streamlining its focus on its core offshore pipeline and marine transportation services. This strategic shift is designed to concentrate resources on stable, contract-driven midstream activities, particularly pipeline operations in the Gulf of Mexico. The simplification of the business model aligns with best practices in capital allocation, ensuring greater resilience and operational focus, which could enhance long-term predictability and appeal to NZ fund managers favouring lower-risk infrastructure exposures.

While Q1 2025 results missed analyst expectations due to an $8% revenue decline and a net loss of $469.1 million, adjusted EBITDA remained solid at $131.7 million. Although short-term earnings disappointed, ongoing stable segment margins demonstrate that the core business continues to generate substantial cash flow. Analyst coverage retains a cautiously optimistic stance, with an average target price offering a modest upside from current levels—a perspective that may reassure professionally managed NZ portfolios focused on risk-adjusted returns.

Genesis Energy’s critical offshore pipeline infrastructure and diversified marine transportation fleet provide a stable foundation for cash flows and long-term contract security. The company’s assets in the Gulf Coast region are essential to US energy logistics, making its revenues less vulnerable to rapid commodity price swings. This infrastructure advantage is recognised by the market as a key driver of stability, a factor of importance for New Zealand investors benchmarking global infrastructure portfolios or seeking to balance local market volatility with international assets.

FAQ

P. Laurore

Finance expert

Co-founder of HelloSafe and holder of a Master's degree in finance, Pauline has recognised expertise in personal finance, which she uses to help users better understand and optimise their financial choices. At HelloSafe, Pauline plays a key role in designing clear, educational content on savings, investments and personal finance. Passionate about financial education, Pauline strives, with every piece of content she oversees, to provide reliable, transparent and unbiased information for independent and informed financial management. To this end, she has tested over 100 trading platforms to help internet users make the right choices.