Lumida
/WES
⌘K
Western Midstream Partners LP

Western Midstream Partners LP

WES
$45.97USD↓-0.22%-0.10 today

MARKET CAP

19.5B

P/E (TTM)

15.0x

FWD P/E

12.9x

DAY RANGE

$46 – $47

52W RANGE

$37
$48

AI Summary

Stalk
StalkMedium

WES remains in a Stage 2 advancing phase within a long-term uptrend, supported by a Momentum Breakout pattern signaling new demand. However, price is extended above rising EMAs and in overbought territory, making short-term timing unfavorable. Optimal engagement is to defer entry and stalk pullbacks into the 9/20/21 EMA zone and prior breakout range, while monitoring for potential transition risk into Stage 3 and EMA support failures.

  • ↑Q1 adjusted EBITDA $683M (+15% YoY) driven by ARIS integration
  • ↑Brazos Delaware II acquisition to contribute ~$100M incremental EBITDA
  • ↓Waha gas price weakness could drive customer curtailments and revenue hits
Full analysis →

The case for & against

Bull & Bear analysis

Bullish

Western Midstream Partners, LP (NYSE: WES) is a leading midstream service provider engaging in the gathering, processing, and transportation of natural gas, crude oil, and produced water across key basins in the United States, including the Delaware and DJ Basins. The company's recent focus on strategic acquisitions, particularly the ARIS Water Solutions acquisition, strengthens its capabilities in the produced water segment, emphasizing its strategic position in a transitioning energy market driven by sustainability and environmental considerations.

Bull says

  • ↑Q1 adjusted EBITDA $683M (+15% YoY) driven by ARIS integration
  • ↑Brazos Delaware II acquisition to contribute ~$100M incremental EBITDA
  • ↑Guided mid-single-digit throughput growth across gas and liquids
  • ↑$50M annual cost savings delivered; targeting $40M synergy run rate
  • ↑Distributable cash flow $509M; FCF guidance $900M–$1.1B for 2026
  • ↑High earnings yield, strong analyst revisions, and favorable leverage

Bear says

  • ↓Waha gas price weakness could drive customer curtailments and revenue hits
  • ↓ARIS and Brazos integrations risk missing $40M synergy targets
  • ↓2026 capex expected at $850M–$1B, pressuring free cash flow
  • ↓Customer concentration in key basins adds volatility to throughput
  • ↓Elevated leverage and weak valuation raise balance sheet concerns
  • ↓Lower institutional interest and small size vs. peers limit upside

Investment themes with WES

Midstream↓ -0.47%

SUN · EPD · PAA
Natural Gas↓ -0.85%

Producers and distributors of natural gas

COP · EOG · FANG

Earnings Call · Q1 2026 · Mgmt. Guidance

Updated 05-08-2026neutral

Transcript signals

Bull points

  • During the first quarter, we generated net income attributable to limited partners of $342 million, record adjusted EBITDA of $683 million, and distributable cash flow of $509 million.
  • we continue to expect our free cash flow to range between $900 million and $1.1 billion.
  • the first quarter distribution of 93 cents per unit, or $3.72 annualized, keeps us on track towards our full year guidance of at least $3.70 per unit, which includes distributions paid within calendar year 2026.

Bear points

  • Our operation and maintenance expense increased approximately 5% quarter-over-quarter, mostly driven by the full quarter contribution from the ARIS acquisition.
  • $242 million of free cash flow generation, and free cash flow after our fourth quarter 2025 distribution that was paid on February 16th was a use of cash of $137 million.
  • equity investment volumes declined mostly due to lower throughput at the Movida plant in West Texas.
Read full transcript analysis ›