📊 WES Key Takeaways
Is Western Midstream Partners, LP (WES) a Good Investment?
WES demonstrates exceptional cash generation with $1.9B free cash flow (48.4% FCF margin) and strong profitability margins (41.7% operating, 30.7% net), supporting sustainable distributions typical of midstream partnerships. However, flat revenue growth and declining net income (-2.6% YoY) present headwinds, though the solid interest coverage (4.1x) and liquidity position (1.34x current ratio) mitigate leverage concerns.
Why Buy Western Midstream Partners, LP Stock? WES Key Strengths
- Exceptional profitability with 41.7% operating margin and 30.7% net margin, well above typical business averages
- Strong free cash flow generation of $1.9B representing 48.4% FCF margin, supporting sustainable distributions
- Solid liquidity position with $819.5M cash, 1.34x current ratio, and 4.1x interest coverage ratio
WES Stock Risks: Western Midstream Partners, LP Investment Risks
- Zero revenue growth (flat YoY) and declining net income (-2.6% YoY) indicate stagnant business momentum
- High leverage with $8.2B long-term debt representing 55% of total assets, typical but elevated for midstream
- Commodity price exposure and pipeline utilization dependency create structural earnings volatility
Key Metrics to Watch
- Operating cash flow trends and free cash flow sustainability for distribution support
- Pipeline volume throughput and utilization rates as leading indicators of revenue trajectory
- Debt-to-EBITDA ratio and refinancing needs given substantial leverage
Western Midstream Partners, LP (WES) Financial Metrics & Key Ratios
💡 AI Analyst Insight
The 48.4% free cash flow margin provides substantial flexibility for dividends, buybacks, and strategic investments.
WES Profit Margin, ROE & Profitability Analysis
WES vs Energy Sector: How Western Midstream Partners, LP Compares
How Western Midstream Partners, LP compares to Energy sector averages
Sector benchmarks are approximate industry averages. Actual sector performance may vary.
Is Western Midstream Partners, LP Stock Overvalued? WES Valuation Analysis 2026
Based on fundamental analysis, Western Midstream Partners, 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.
Western Midstream Partners, LP Balance Sheet: WES Debt, Cash & Liquidity
WES Revenue & Earnings Growth: 5-Year Financial Trend
5-Year Trend Summary: Western Midstream Partners, LP's revenue has grown significantly by 40% over the 5-year period, indicating strong business expansion.
WES Revenue Growth, EPS Growth & YoY Performance
WES Quarterly Earnings & Performance
| Quarter | Revenue | Net Income | EPS |
|---|---|---|---|
| Q3 2025 | $883.1M | $288.5M | N/A |
| Q2 2025 | $905.4M | $341.7M | N/A |
| Q1 2025 | $887.3M | $309.0M | N/A |
| Q3 2024 | $775.6M | $277.3M | N/A |
| Q2 2024 | $738.1M | $252.9M | N/A |
| Q1 2024 | $733.7M | $203.6M | N/A |
| Q3 2023 | $775.6M | $265.7M | N/A |
| Q2 2023 | $738.1M | $252.9M | N/A |
Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.
Western Midstream Partners, LP Dividends, Buybacks & Capital Allocation
WES SEC Filings: Latest 10-K & 10-Q Analysis
Access official SEC EDGAR filings for Western Midstream Partners, LP (CIK: 0001423902)
📋 Recent SEC Filings
❓ Frequently Asked Questions about WES
What is the AI rating for WES?
Western Midstream Partners, LP (WES) has an AI rating of BUY with 78% confidence, based on fundamental analysis of SEC EDGAR filings.
What are WES's key strengths?
Claude: Exceptional profitability with 41.7% operating margin and 30.7% net margin, well above typical business averages. Strong free cash flow generation of $1.9B representing 48.4% FCF margin, supporting sustainable distributions.
What are the risks of investing in WES?
Claude: Zero revenue growth (flat YoY) and declining net income (-2.6% YoY) indicate stagnant business momentum. High leverage with $8.2B long-term debt representing 55% of total assets, typical but elevated for midstream.
What is WES's revenue and growth?
Western Midstream Partners, LP reported revenue of $3.8B.
Does WES pay dividends?
Western Midstream Partners, LP pays dividends, with $1,431.0M distributed to shareholders in the trailing twelve months.
Where can I find WES SEC filings?
Official SEC filings for Western Midstream Partners, LP (CIK: 0001423902) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.
What is WES's EPS?
Western Midstream Partners, LP has a diluted EPS of $0.00.
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 rating reflects both perspectives for balanced insights.
Is WES a good stock to buy right now?
Based on our AI fundamental analysis in April 2026, Western Midstream Partners, LP has a BUY rating with 78% confidence. The AI analysis suggests favorable fundamentals based on SEC filings. This is not investment advice.
Is WES stock overvalued or undervalued?
Valuation metrics for WES: ROE of N/A (sector avg: 14%), net margin of 30.7% (sector avg: 12%). Compare these metrics with sector averages to assess valuation.
Should I buy WES stock in 2026?
Our dual AI analysis gives Western Midstream Partners, LP a combined BUY rating for 2026. Revenue is data pending, with profitability above sector average. Always conduct your own research.
What is WES's free cash flow?
Western Midstream Partners, LP's operating cash flow is $2.2B, with capital expenditures of $361.0M. FCF margin is 48.4%.
How does WES compare to other Energy stocks?
Vs Energy sector averages: Net margin 30.7% (avg: 12%), ROE N/A (avg: 14%), current ratio 1.34 (avg: 1.3).