Oasis Midstream Partners LP (OMP - Free Report) recently announced that the partnership has inked several third-party deals in the Williston Basin, which involves its three development companies. The partnership also raised its 2019 EBITDA guidance, courtesy of the third-party projects.
The growth-oriented master limited partnership was created by Oasis Petroleum Inc. (OAS - Free Report) , which holds 68.6% ownership interest. Oasis Midstream expects the agreements along with growth at Oasis Petroleum to set its course for 20% growth in its long-term annualized distribution.
While the partnership reaffirmed EBITDA guidance for 2018 within $61-$65 million, it revised the same upward for 2019 (incorporating growth activities) by 14% to $94-$97 million. Moreover, the partnership expects the new agreements to increase its 2019 estimated distribution coverage from 1.3x to 1.5x.
Additionally, the fee-based midstream firm increased gross capital expenditure guidance for 2018 from $230-$270 million to $285-$300 million, incorporating the funds required to support the third-party projects. The partnership started capital investment for the projects in the second quarter.
Houston, TX-based Oasis Midstream has gained 2.7% in the past year against the 7% fall of its industry.
Zacks Rank and Stocks to Consider
Currently, Oasis Midstream carries a Zacks Rank #3 (Hold). Investors interested in the Energy sector can opt for some better-ranked stocks like Continental Resources, Inc. (CLR - Free Report) and Delek US Holdings, Inc. (DK - Free Report) , each sporting a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.
Oklahoma City, OK-based Continental Resources is an upstream energy company. The company’s top line for 2018 is anticipated to improve 57.7% year over year. In the last four reported quarters, the company delivered an average positive earnings surprise of 80.5%.
Brentwood, TN-based Delek is an energy company. The company’s top line is anticipated to improve 39.2% year over year and bottom line is expected to increase 293.7% in 2018.
Today's Stocks from Zacks' Hottest Strategies
It's hard to believe, even for us at Zacks. But while the market gained +21.9% in 2017, our top stock-picking screens have returned +115.0%, +109.3%, +104.9%, +98.6% and +67.1%.
And this outperformance has not just been a recent phenomenon. Over the years it has been remarkably consistent. From 2000 - 2017, the composite yearly average gain for these strategies has beaten the market more than 19X over. Maybe even more remarkable is the fact that we're willing to share their latest stocks with you without cost or obligation.
See Them Free>>