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Why Western Midstream (WES) Dipped More Than Broader Market Today

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Western Midstream (WES - Free Report) closed at $40.49 in the latest trading session, marking a -1.68% move from the prior day. This move lagged the S&P 500's daily loss of 0.13%. Meanwhile, the Dow experienced a drop of 0.39%, and the technology-dominated Nasdaq saw an increase of 0.15%.

The stock of oil and gas transportation and storage company has risen by 6.74% in the past month, leading the Oils-Energy sector's gain of 4.18% and the S&P 500's gain of 3.39%.

Analysts and investors alike will be keeping a close eye on the performance of Western Midstream in its upcoming earnings disclosure. The company's earnings report is set to go public on August 6, 2025. The company is expected to report EPS of $0.82, down 15.46% from the prior-year quarter. In the meantime, our current consensus estimate forecasts the revenue to be $941.48 million, indicating a 3.96% growth compared to the corresponding quarter of the prior year.

In terms of the entire fiscal year, the Zacks Consensus Estimates predict earnings of $3.33 per share and a revenue of $3.8 billion, indicating changes of -17.16% and +5.33%, respectively, from the former year.

Investors should also take note of any recent adjustments to analyst estimates for Western Midstream. These recent revisions tend to reflect the evolving nature of short-term business trends. Hence, positive alterations in estimates signify analyst optimism regarding the business and profitability.

Our research demonstrates that these adjustments in estimates directly associate with imminent stock price performance. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.

The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. The Zacks Consensus EPS estimate has moved 2.16% lower within the past month. Right now, Western Midstream possesses a Zacks Rank of #4 (Sell).

In the context of valuation, Western Midstream is at present trading with a Forward P/E ratio of 12.39. This indicates a discount in contrast to its industry's Forward P/E of 20.97.

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 196, which puts it in the bottom 21% of all 250+ industries.

The strength of our individual industry groups is measured by the Zacks Industry Rank, which is calculated based on the average Zacks Rank of the individual stocks within these 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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