WESTERN MIDSTREAM PARTNERS L (WES) Stock Fundamental Analysis
USA - NYSE:WES - US9586691035
38.6 USD
-0.18 (-0.46%)
WES gets a fundamental rating of 6 out of 10. The analysis compared the fundamentals against 209 industry peers in the Oil, Gas & Consumable Fuels industry. WES has an excellent profitability rating, but there are some minor concerns on its financial health. WES is valued correctly, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
In the past year WES was profitable.
In the past year WES had a positive cash flow from operations.
In the past 5 years WES has always been profitable.
In the past 5 years WES always reported a positive cash flow from operatings.
1.2 Ratios
WES has a better Return On Assets (10.22%) than 88.04% of its industry peers.
WES has a Return On Equity of 38.98%. This is amongst the best in the industry. WES outperforms 93.78% of its industry peers.
Looking at the Return On Invested Capital, with a value of 10.95%, WES belongs to the top of the industry, outperforming 84.21% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for WES is significantly below the industry average of 21.71%.
The last Return On Invested Capital (10.95%) for WES is above the 3 year average (9.49%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 10.22% | ||
| ROE | 38.98% | ||
| ROIC | 10.95% |
ROA(3y)10.08%
ROA(5y)8.51%
ROE(3y)40.66%
ROE(5y)34.2%
ROIC(3y)9.49%
ROIC(5y)9.22%
1.3 Margins
WES has a Profit Margin of 33.86%. This is amongst the best in the industry. WES outperforms 89.00% of its industry peers.
In the last couple of years the Profit Margin of WES has grown nicely.
Looking at the Operating Margin, with a value of 43.29%, WES belongs to the top of the industry, outperforming 88.52% of the companies in the same industry.
WES's Operating Margin has improved in the last couple of years.
WES has a better Gross Margin (95.74%) than 99.52% of its industry peers.
In the last couple of years the Gross Margin of WES has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 43.29% | ||
| PM (TTM) | 33.86% | ||
| GM | 95.74% |
OM growth 3Y2.49%
OM growth 5Y3.58%
PM growth 3Y11.02%
PM growth 5Y12.07%
GM growth 3Y2.36%
GM growth 5Y2.58%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), WES is creating some value.
WES has about the same amout of shares outstanding than it did 1 year ago.
WES has less shares outstanding than it did 5 years ago.
Compared to 1 year ago, WES has an improved debt to assets ratio.
2.2 Solvency
The Debt to FCF ratio of WES is 4.78, which is a neutral value as it means it would take WES, 4.78 years of fcf income to pay off all of its debts.
The Debt to FCF ratio of WES (4.78) is better than 65.55% of its industry peers.
A Debt/Equity ratio of 2.17 is on the high side and indicates that WES has dependencies on debt financing.
With a Debt to Equity ratio value of 2.17, WES is not doing good in the industry: 82.78% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.17 | ||
| Debt/FCF | 4.78 | ||
| Altman-Z | N/A |
ROIC/WACC1.4
WACC7.81%
2.3 Liquidity
A Current Ratio of 1.30 indicates that WES should not have too much problems paying its short term obligations.
The Current ratio of WES (1.30) is better than 60.29% of its industry peers.
A Quick Ratio of 1.29 indicates that WES should not have too much problems paying its short term obligations.
WES has a better Quick ratio (1.29) than 64.59% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.3 | ||
| Quick Ratio | 1.29 |
3. Growth
3.1 Past
The earnings per share for WES have decreased strongly by -16.24% in the last year.
WES shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 20.90% yearly.
Looking at the last year, WES shows a small growth in Revenue. The Revenue has grown by 7.11% in the last year.
WES shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 5.59% yearly.
EPS 1Y (TTM)-16.24%
EPS 3Y22.73%
EPS 5Y20.9%
EPS Q2Q%-10.31%
Revenue 1Y (TTM)7.11%
Revenue growth 3Y7.81%
Revenue growth 5Y5.59%
Sales Q2Q%4.05%
3.2 Future
WES is expected to show a decrease in Earnings Per Share. In the coming years, the EPS will decrease by -0.01% yearly.
The Revenue is expected to grow by 5.41% on average over the next years.
EPS Next Y-14.3%
EPS Next 2Y-3.79%
EPS Next 3Y-0.01%
EPS Next 5YN/A
Revenue Next Year3.39%
Revenue Next 2Y5.51%
Revenue Next 3Y5.41%
Revenue Next 5YN/A
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
The Revenue growth rate is stable: in the next years the growth will be about the same than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 11.88, the valuation of WES can be described as reasonable.
Compared to the rest of the industry, the Price/Earnings ratio of WES indicates a somewhat cheap valuation: WES is cheaper than 66.03% of the companies listed in the same industry.
When comparing the Price/Earnings ratio of WES to the average of the S&P500 Index (27.00), we can say WES is valued rather cheaply.
The Price/Forward Earnings ratio is 10.35, which indicates a very decent valuation of WES.
Based on the Price/Forward Earnings ratio, WES is valued a bit cheaper than the industry average as 69.86% of the companies are valued more expensively.
WES is valuated cheaply when we compare the Price/Forward Earnings ratio to 22.87, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.88 | ||
| Fwd PE | 10.35 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of WES is on the same level as its industry peers.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of WES indicates a somewhat cheap valuation: WES is cheaper than 74.64% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 10.85 | ||
| EV/EBITDA | 10.01 |
4.3 Compensation for Growth
WES has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)0.57
EPS Next 2Y-3.79%
EPS Next 3Y-0.01%
5. Dividend
5.1 Amount
WES has a Yearly Dividend Yield of 9.35%, which is a nice return.
Compared to an average industry Dividend Yield of 6.15, WES pays a better dividend. On top of this WES pays more dividend than 87.08% of the companies listed in the same industry.
Compared to an average S&P500 Dividend Yield of 2.31, WES pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 9.35% |
5.2 History
The dividend of WES has a limited annual growth rate of 2.35%.
WES has been paying a dividend for at least 10 years, so it has a reliable track record.
WES has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)2.35%
Div Incr Years3
Div Non Decr Years3
5.3 Sustainability
110.84% of the earnings are spent on dividend by WES. This is not a sustainable payout ratio.
WES's earnings are declining while the Dividend Rate has been growing. This means the dividend growth is most likely not sustainable.
DP110.84%
EPS Next 2Y-3.79%
EPS Next 3Y-0.01%
NYSE:WES (10/29/2025, 10:07:52 AM)
38.6
-0.18 (-0.46%)
Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryOil, Gas & Consumable Fuels
Earnings (Last)
Earnings (Next)
Inst Owners81.03%
Inst Owner Change-3.31%
Ins Owners0.18%
Ins Owner Change0%
Market Cap15.75B
Revenue(TTM)3.67B
Net Income(TTM)1.24B
Analysts65.88
Price Target41.31 (7.02%)
Short Float %2.39%
Short Ratio6.23
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 9.35% |
Yearly Dividend3.28
Dividend Growth(5Y)2.35%
DP110.84%
Div Incr Years3
Div Non Decr Years3
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-1.1%
Min EPS beat(2)-6.21%
Max EPS beat(2)4%
EPS beat(4)1
Avg EPS beat(4)-3.77%
Min EPS beat(4)-12%
Max EPS beat(4)4%
EPS beat(8)4
Avg EPS beat(8)9.9%
EPS beat(12)5
Avg EPS beat(12)5.04%
EPS beat(16)6
Avg EPS beat(16)3.72%
Revenue beat(2)0
Avg Revenue beat(2)-1.77%
Min Revenue beat(2)-3.05%
Max Revenue beat(2)-0.5%
Revenue beat(4)0
Avg Revenue beat(4)-2.8%
Min Revenue beat(4)-6.34%
Max Revenue beat(4)-0.5%
Revenue beat(8)1
Avg Revenue beat(8)-2.51%
Revenue beat(12)1
Avg Revenue beat(12)-3.92%
Revenue beat(16)4
Avg Revenue beat(16)-2.64%
PT rev (1m)0%
PT rev (3m)1.48%
EPS NQ rev (1m)2.39%
EPS NQ rev (3m)3.77%
EPS NY rev (1m)-0.05%
EPS NY rev (3m)1.27%
Revenue NQ rev (1m)0.37%
Revenue NQ rev (3m)0.68%
Revenue NY rev (1m)0.29%
Revenue NY rev (3m)1.29%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.88 | ||
| Fwd PE | 10.35 | ||
| P/S | 4.29 | ||
| P/FCF | 10.85 | ||
| P/OCF | 7.16 | ||
| P/B | 4.94 | ||
| P/tB | 6.17 | ||
| EV/EBITDA | 10.01 |
EPS(TTM)3.25
EY8.42%
EPS(NY)3.73
Fwd EY9.66%
FCF(TTM)3.56
FCFY9.22%
OCF(TTM)5.39
OCFY13.97%
SpS9
BVpS7.82
TBVpS6.25
PEG (NY)N/A
PEG (5Y)0.57
Graham Number23.91
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 10.22% | ||
| ROE | 38.98% | ||
| ROCE | 13.86% | ||
| ROIC | 10.95% | ||
| ROICexc | 11.08% | ||
| ROICexgc | 11.74% | ||
| OM | 43.29% | ||
| PM (TTM) | 33.86% | ||
| GM | 95.74% | ||
| FCFM | 39.53% |
ROA(3y)10.08%
ROA(5y)8.51%
ROE(3y)40.66%
ROE(5y)34.2%
ROIC(3y)9.49%
ROIC(5y)9.22%
ROICexc(3y)9.97%
ROICexc(5y)9.61%
ROICexgc(3y)10.63%
ROICexgc(5y)10.29%
ROCE(3y)12.66%
ROCE(5y)12.26%
ROICexgc growth 3Y6.85%
ROICexgc growth 5Y8.96%
ROICexc growth 3Y7.4%
ROICexc growth 5Y10.13%
OM growth 3Y2.49%
OM growth 5Y3.58%
PM growth 3Y11.02%
PM growth 5Y12.07%
GM growth 3Y2.36%
GM growth 5Y2.58%
F-Score6
Asset Turnover0.3
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.17 | ||
| Debt/FCF | 4.78 | ||
| Debt/EBITDA | 3.06 | ||
| Cap/Depr | 111.56% | ||
| Cap/Sales | 20.41% | ||
| Interest Coverage | 4.17 | ||
| Cash Conversion | 97.33% | ||
| Profit Quality | 116.74% | ||
| Current Ratio | 1.3 | ||
| Quick Ratio | 1.29 | ||
| Altman-Z | N/A |
F-Score6
WACC7.81%
ROIC/WACC1.4
Cap/Depr(3y)111.42%
Cap/Depr(5y)95.45%
Cap/Sales(3y)20.59%
Cap/Sales(5y)17.59%
Profit Quality(3y)93.2%
Profit Quality(5y)135.41%
High Growth Momentum
Growth
EPS 1Y (TTM)-16.24%
EPS 3Y22.73%
EPS 5Y20.9%
EPS Q2Q%-10.31%
EPS Next Y-14.3%
EPS Next 2Y-3.79%
EPS Next 3Y-0.01%
EPS Next 5YN/A
Revenue 1Y (TTM)7.11%
Revenue growth 3Y7.81%
Revenue growth 5Y5.59%
Sales Q2Q%4.05%
Revenue Next Year3.39%
Revenue Next 2Y5.51%
Revenue Next 3Y5.41%
Revenue Next 5YN/A
EBIT growth 1Y7.33%
EBIT growth 3Y10.5%
EBIT growth 5Y9.38%
EBIT Next Year39.48%
EBIT Next 3Y17.43%
EBIT Next 5Y12.08%
FCF growth 1Y29.49%
FCF growth 3Y-3.57%
FCF growth 5Y57.3%
OCF growth 1Y25.66%
OCF growth 3Y6.54%
OCF growth 5Y10.05%
WESTERN MIDSTREAM PARTNERS L / WES FAQ
What is the fundamental rating for WES stock?
ChartMill assigns a fundamental rating of 6 / 10 to WES.
Can you provide the valuation status for WESTERN MIDSTREAM PARTNERS L?
ChartMill assigns a valuation rating of 6 / 10 to WESTERN MIDSTREAM PARTNERS L (WES). This can be considered as Fairly Valued.
How profitable is WESTERN MIDSTREAM PARTNERS L (WES) stock?
WESTERN MIDSTREAM PARTNERS L (WES) has a profitability rating of 9 / 10.
What are the PE and PB ratios of WESTERN MIDSTREAM PARTNERS L (WES) stock?
The Price/Earnings (PE) ratio for WESTERN MIDSTREAM PARTNERS L (WES) is 11.88 and the Price/Book (PB) ratio is 4.94.
How financially healthy is WESTERN MIDSTREAM PARTNERS L?
The financial health rating of WESTERN MIDSTREAM PARTNERS L (WES) is 4 / 10.