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Western Midstream (WES) Stock Drops Despite Market Gains: Important Facts to Note

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Western Midstream (WES - Free Report) ended the recent trading session at $37.60, demonstrating a -1.73% swing from the preceding day's closing price. The stock fell short of the S&P 500, which registered a gain of 0.15% for the day. Elsewhere, the Dow gained 0.35%, while the tech-heavy Nasdaq lost 0.09%.

Heading into today, shares of the oil and gas transportation and storage company had lost 6.75% over the past month, outpacing the Oils-Energy sector's loss of 9.4% and lagging the S&P 500's loss of 0.21% in that time.

The upcoming earnings release of Western Midstream will be of great interest to investors. The company's earnings report is expected on May 7, 2025. In that report, analysts expect Western Midstream to post earnings of $0.83 per share. This would mark a year-over-year decline of 43.54%. Simultaneously, our latest consensus estimate expects the revenue to be $945.11 million, showing a 6.46% escalation compared to the year-ago quarter.

Regarding the entire year, the Zacks Consensus Estimates forecast earnings of $3.40 per share and revenue of $3.79 billion, indicating changes of -15.42% and +5.25%, respectively, compared to the previous year.

Furthermore, it would be beneficial for investors to monitor any recent shifts in analyst projections for Western Midstream. These revisions typically reflect the latest short-term business trends, which can change frequently. Hence, positive alterations in estimates signify analyst optimism regarding the company's business and profitability.

Our research demonstrates that these adjustments in estimates directly associate with imminent stock price performance. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable 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. Over the last 30 days, the Zacks Consensus EPS estimate has moved 0.44% lower. As of now, Western Midstream holds a Zacks Rank of #3 (Hold).

Investors should also note Western Midstream's current valuation metrics, including its Forward P/E ratio of 11.24. This valuation marks a discount compared to its industry's average Forward P/E of 21.88.

The Oil and Gas - Refining and Marketing - Master Limited Partnerships industry is part of the Oils-Energy sector. At present, this industry carries a Zacks Industry Rank of 236, placing it within the bottom 5% of over 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.

To follow WES in the coming trading sessions, be sure to utilize Zacks.com.


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