Suburban Propane: Be Wary Of This Melting Ice Cube

Suburban Propane is rated 'Sell' due to secular decline and excess debt, despite recent outperformance and a secure 6.6% dividend yield. SPH's Q2 EBITDA was flat at $175 million, with strong H1 results driven by an unusually cold winter in the Northeast. Leverage remains elevated at 4.3x, with management prioritizing debt reduction over distribution growth for the next 18-24 months.