📊 PAGP Key Takeaways
Is Plains Gp Holdings LP (PAGP) a Good Investment?
PAGP exhibits fundamental deterioration with declining revenue (-9.5% YoY), critical negative stockholders equity (-$753M), and deteriorating profitability (0.2% net margin). While positive operating cash flow ($418M) provides near-term stability, the company faces solvency risks, poor liquidity (0.94x current ratio), and inadequate operational returns (0.1% ROA) that demand restructuring.
PAGP generates strong operating and free cash flow with solid interest coverage despite razor-thin margins and a revenue decline. However, negative shareholders’ equity and sub-1.0 liquidity ratios temper the improvement in earnings, keeping financial flexibility constrained. Maintain a neutral stance while monitoring cash flow durability and balance sheet repair.
Plains Gp Holdings LP Key Strengths (PAGP)
- Positive operating cash flow of $418M provides liquidity buffer for operations and debt service
- Generates positive free cash flow of $288M despite low profitability, indicating capital-light business model
- Interest coverage of 4.2x remains adequate to service debt obligations
- Robust operating cash flow and FCF relative to revenue
- Strong interest coverage (~15x) signaling manageable debt service
- Earnings rebound with sharply higher diluted EPS YoY
PAGP Stock Risks: Plains Gp Holdings LP Investment Risks
- Negative stockholders equity of -$753M indicates technical insolvency and shareholder value destruction
- Current ratio of 0.94x below 1.0 signals inability to cover short-term liabilities; liquidity crisis risk
- Revenue decline of 9.5% YoY combined with 0.2% net margin (only $20M profit on $12.5B revenue) indicates structural operational distress
- Operating margin of 3.2% is severely depressed for midstream pipeline company; suggests commodity headwinds or operational inefficiency
- Negative shareholders’ equity indicating balance sheet fragility
- Sub-1 current and quick ratios suggesting tight liquidity
- Low margin profile and declining revenue heighten sensitivity to operating shocks
Key Metrics to Watch
- Stockholders equity trajectory and debt reduction progress
- Revenue stabilization or return to growth
- Operating margin expansion and path to sustainable profitability
- Liquidity metrics (current ratio, working capital position)
- Operating cash flow and FCF conversion
- Liquidity (current/quick ratio) and trajectory of equity
Plains Gp Holdings LP (PAGP) Financial Metrics & Key Ratios
💡 AI Analyst Insight
The relatively thin 2.3% FCF margin may limit capital allocation flexibility. The current ratio below 1.0x warrants monitoring of short-term liquidity.
PAGP Profit Margin, ROE & Profitability Analysis
PAGP vs Energy Sector: How Plains Gp Holdings LP Compares
How Plains Gp Holdings LP compares to Energy sector averages
Sector benchmarks are approximate industry averages. Actual sector performance may vary.
Is Plains Gp Holdings LP Stock Overvalued? PAGP Valuation Analysis 2026
Based on fundamental analysis, Plains Gp Holdings LP has mixed fundamental signals relative to the Energy sector in 2026.
Note: This is a fundamental analysis based on SEC filings. For P/E ratio, price targets, and market-based valuation, consult financial data providers. This is not investment advice.
Plains Gp Holdings LP Balance Sheet: PAGP Debt, Cash & Liquidity
PAGP Revenue & Earnings Growth: 5-Year Financial Trend
5-Year Trend Summary: Plains Gp Holdings LP's revenue has grown significantly by 16% over the 5-year period, indicating strong business expansion. The most recent EPS of $0.10 reflects profitable operations.
PAGP Revenue Growth, EPS Growth & YoY Performance
PAGP Quarterly Earnings & Performance
| Quarter | Revenue | Net Income | EPS |
|---|---|---|---|
| Q1 2026 | $11.5B | $20.0M | N/A |
| Q3 2025 | $11.6B | $33.0M | N/A |
| Q2 2025 | $10.6B | $30.0M | N/A |
| Q1 2025 | $12.0B | $42.0M | N/A |
| Q3 2024 | $12.1B | $29.0M | N/A |
| Q2 2024 | $11.6B | $39.0M | N/A |
| Q1 2024 | $12.0B | $42.0M | N/A |
| Q3 2023 | $12.1B | $29.0M | N/A |
Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.
Plains Gp Holdings LP Dividends, Buybacks & Capital Allocation
PAGP SEC Filings: Latest 10-K & 10-Q Analysis
Access official SEC EDGAR filings for Plains Gp Holdings LP (CIK: 0001581990)
📋 Recent SEC Filings
❓ Frequently Asked Questions about PAGP
What is the AI rating for PAGP?
Plains Gp Holdings LP (PAGP) has a Combined AI Grade of C from Claude (C) and ChatGPT (B) with 75% combined confidence, based on fundamental analysis of SEC EDGAR filings.
What are PAGP's key strengths?
Claude: Positive operating cash flow of $418M provides liquidity buffer for operations and debt service. Generates positive free cash flow of $288M despite low profitability, indicating capital-light business model. ChatGPT: Robust operating cash flow and FCF relative to revenue. Strong interest coverage (~15x) signaling manageable debt service.
What are the risks of investing in PAGP?
Claude: Negative stockholders equity of -$753M indicates technical insolvency and shareholder value destruction. Current ratio of 0.94x below 1.0 signals inability to cover short-term liabilities; liquidity crisis risk. ChatGPT: Negative shareholders’ equity indicating balance sheet fragility. Sub-1 current and quick ratios suggesting tight liquidity.
What is PAGP's revenue and growth?
Plains Gp Holdings LP reported revenue of $12.5B.
Does PAGP pay dividends?
Plains Gp Holdings LP does not currently pay dividends.
Where can I find PAGP SEC filings?
Official SEC filings for Plains Gp Holdings LP (CIK: 0001581990) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.
What is PAGP's EPS?
Plains Gp Holdings LP has a diluted EPS of $0.27.
How is the AI analysis conducted?
Two independent AI systems — Claude (Anthropic) and ChatGPT (OpenAI) — analyze SEC EDGAR filings including 10-K annual reports and 10-Q quarterly reports. Each AI evaluates financial health, profitability ratios, balance sheet strength, and growth metrics. The combined grade reflects both perspectives for balanced insights.
What is PAGP's fundamental grade?
Based on our AI fundamental analysis in May 2026, Plains Gp Holdings LP has a C grade with 75% confidence. Review the strengths and risks sections above for full context. This is not investment advice.
Is PAGP stock overvalued or undervalued?
Valuation metrics for PAGP: ROE of N/A (sector avg: 14%), net margin of 0.2% (sector avg: 12%). Compare these metrics with sector averages to assess valuation.
What is PAGP's AI grade for 2026?
Our dual AI analysis gives Plains Gp Holdings LP a combined C grade for 2026. Revenue is data pending, with profitability at or below sector average. Always conduct your own research.
What is PAGP's free cash flow?
Plains Gp Holdings LP's operating cash flow is $418.0M, with capital expenditures of $130.0M. FCF margin is 2.3%.
How does PAGP compare to other Energy stocks?
Vs Energy sector averages: Net margin 0.2% (avg: 12%), ROE N/A (avg: 14%), current ratio 0.94 (avg: 1.3).