Western Midstream (WES) Increases Yet Falls Behind Market: What Investors Need to Know

Core Viewpoint - Western Midstream is facing a significant decline in earnings per share (EPS) while experiencing a modest increase in revenue, indicating potential challenges ahead for the company [3][4]. Company Performance - The stock price of Western Midstream closed at $41.37, reflecting a slight increase of +0.24% from the previous trading day, which is lower than the S&P 500's daily gain of 1.77% [1]. - Over the last month, the company's shares increased by 0.34%, which is below the Oils-Energy sector's gain of 0.43% and outperformed the S&P 500's loss of 5.73% [2]. Earnings Estimates - Analysts anticipate an EPS of$ 0.83 for the upcoming earnings disclosure, representing a 43.54% decline compared to the same quarter last year [3]. - The consensus estimate projects revenue of $945.11 million, reflecting a 6.46% increase from the equivalent quarter last year [3]. Fiscal Year Projections - For the entire fiscal year, the Zacks Consensus Estimates project earnings of$ 3.41 per share and revenue of $3.79 billion, indicating changes of -15.17% and +5.21%, respectively, from the prior year [4]. Analyst Sentiment - Recent changes to analyst estimates for Western Midstream suggest a favorable outlook on the company's business health and profitability, as positive revisions often reflect improved short-term business dynamics [5]. Valuation Metrics - Western Midstream is currently trading at a Forward P/E ratio of 12.11, which is a discount compared to the industry's average Forward P/E of 23.29 [8]. - The Oil and Gas - Refining and Marketing - Master Limited Partnerships industry is part of the Oils-Energy sector and currently holds a Zacks Industry Rank of 163, placing it in the bottom 36% of over 250 industries [8].