Analyst Ned Baramov of Wells Fargo maintained a Hold rating on Western Midstream Partners (WES – Research Report), with a price target of $34.00.
Ned Baramov has given his Hold rating due to a combination of factors surrounding Western Midstream Partners’ financial performance and market expectations. The company’s first-quarter results surpassed the consensus, showing strong adjusted EBITDA. However, the free cash flow per unit fell short of forecasts due to lower product-based service revenues. Capital expenditures were generally in line with expectations, and the company’s guidance for the year remains unchanged, suggesting stability in its operational outlook.
Additionally, Western Midstream Partners has completed significant asset sales, which have provided a substantial influx of capital, and has been active in repurchasing senior notes, demonstrating a focus on managing its debt profile. Despite these positive steps, the financial metrics and future projections appear to be largely factored into the current market valuation, leading to the Hold rating. Baramov’s assessment implies that while the company is on a solid footing, there may not be immediate catalysts for significant stock price appreciation, warranting a neutral stance at this time.
According to TipRanks, Baramov is an analyst with an average return of -9.1% and a 51.35% success rate. Baramov covers the Energy sector, focusing on stocks such as Sunoco, Antero Midstream, and Western Midstream Partners.
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Western Midstream Partners (WES) Company Description:
Western Midstream Partners LP owns, operates, acquires and develops midstream energy assets. It engages in the business of gathering, processing, compressing, treating, and transporting natural gas, condensate, natural gas liquids, and crude oil for Anadarko, as well as third-party producers and customers. The company was founded in 2007 and is headquartered in The Woodlands, TX.
