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

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The most recent trading session ended with Western Midstream (WES - Free Report) standing at $41.37, reflecting a +0.24% shift from the previouse trading day's closing. The stock's change was less than the S&P 500's daily gain of 1.77%. Meanwhile, the Dow gained 1.42%, and the Nasdaq, a tech-heavy index, added 2.28%.

The oil and gas transportation and storage company's shares have seen an increase of 0.34% over the last month, not keeping up with the Oils-Energy sector's gain of 0.43% and outstripping the S&P 500's loss of 5.73%.

Analysts and investors alike will be keeping a close eye on the performance of Western Midstream in its upcoming earnings disclosure. It is anticipated that the company will report an EPS of $0.83, marking a 43.54% fall compared to the same quarter of the previous year. At the same time, our most recent consensus estimate is projecting a revenue of $945.11 million, reflecting a 6.46% rise from the equivalent quarter last year.

For the entire fiscal year, the Zacks Consensus Estimates are projecting earnings of $3.41 per share and a revenue of $3.79 billion, representing changes of -15.17% and +5.21%, respectively, from the prior year.

Investors should also note any recent changes to analyst estimates for Western Midstream. These latest adjustments often mirror the shifting dynamics of short-term business patterns. As a result, upbeat changes in estimates indicate analysts' favorable outlook on the company's business health and profitability.

Based on our research, we believe these estimate revisions are directly related to near-team stock moves. To take advantage of this, we've established the Zacks Rank, an exclusive model that considers these estimated changes and delivers an operational rating system.

Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. The Zacks Consensus EPS estimate has moved 1.64% lower within the past month. Western Midstream is currently a Zacks Rank #3 (Hold).

With respect to valuation, Western Midstream is currently being traded at a Forward P/E ratio of 12.11. This denotes a discount relative to the industry's average Forward P/E of 23.29.

The Oil and Gas - Refining and Marketing - Master Limited Partnerships industry is part of the Oils-Energy sector. This industry currently has a Zacks Industry Rank of 163, which puts it in the bottom 36% of all 250+ industries.

The Zacks Industry Rank assesses the strength of our separate industry groups by calculating the average Zacks Rank of the individual stocks contained within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Don't forget to use Zacks.com to keep track of all these stock-moving metrics, and others, in the upcoming trading sessions.


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