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Western Midstream (WES) reported earnings 30 days ago. What's next for the stock?
Western Midstream, valued at over $15 billion, has shown strong performance with growing volumes and cash flow, making it a valuable investment. Occidental Petroleum owns nearly 45% of Western Midstream, which poses a risk due to its potential influence on public unitholders. In 2024, Western Midstream achieved double-digit growth in natural gas and produced water throughput, boosting adjusted EBITDA by 13% to $2.34 billion.
In the closing of the recent trading day, Western Midstream (WES) stood at $41.37, denoting a +0.24% change from the preceding trading day.
The latest trading day saw Western Midstream (WES) settling at $41.85, representing a +0.02% change from its previous close.
Market uncertainty and volatility have knocked down most growth bets.
Western Midstream's debt levels are now aligned with management's guidance. The debt has achieved investment grade rating. The company offers a compelling growth and income opportunity. Western Midstream provides an attractive return with significant downside protection through take-or-pay contracts.
The recent events in the market have made risk mitigation a relevant topic once again. This is especially important for investors, who want to maximize yield, while keeping the risks balanced (and income cut distant). In this article I have shared two picks, which offer close to 9% yields and the necessary fundamentals to deliver non-cyclical (de-risked) distributions.
Western Midstream Partners has shown steady growth and is a strong dividend-paying company, making it an attractive investment for stability in a volatile environment. The company operates primarily in Texas, Colorado, and Wyoming, with significant infrastructure for transporting oil, gas, and water, showing remarkable revenue and EBITDA growth. Despite some debt concerns, WES has significantly reduced its leverage ratio and plans to continue expanding, pursuing M&A projects, and increasing dividends.
Essential infrastructure assets generate consistent revenues, regardless of economic cycles. Midstream assets are like toll roads and bridges: essential assets with inflation-protected, resilient cash flows and steady demand. We discuss two midstream MLPs with growing distributions; Yields of up to 8.5%.
AND PARTICIPATION IN UPCOMING INVESTOR CONFERENCES HOUSTON , March 3, 2025 /PRNewswire/ -- March 3, 2025 – Today Western Midstream Partners, LP (NYSE: WES) ("WES" or the "Partnership") announced that tomorrow before the market open it will make available on its website at www.westernmidstream.com a post-earnings interview with Kristen Shults, Senior Vice President and Chief Financial Officer, and Jon VandenBrand, Senior Vice President, Commercial, that provides additional insights related to WES's fourth-quarter 2024 results and 2025 outlook. In addition, WES intends to participate in the following investor conferences during the first and second quarters of 2025: Barclays IG Energy & Utilities Corporate Days (Virtual) on March 5, 2025 NYSE Virtual Energy & Utilities Day on March 20, 2025 US Capital Advisors 12th Annual Midstream Corporate Access Day on April 2, 2025 The 22nd Annual Energy Infrastructure CEO & Investor Conference in Aventura, Florida on May 20 – 22, 2025 ABOUT WEST