wes
7/28/2025 09:49am
**Western Midstream Partners (WES) is a stock with mixed signals in the energy sector.** Here's a detailed analysis:
1. **Technical Indicators**:
- **Closing Price and Resistance/Support Levels**: WES closed at $40.76 on July 25, 2025, with resistance at $39.98 and support at $37.16. This suggests a narrow trading range, indicating a potential for price movement but also limited upward space.
- **Moving Averages**: The 5-day, 10-day, and 50-day moving averages are $40.06, $40.18, and $38.89, respectively. The close proximity of the 5-day and 10-day averages suggests recent price momentum, while the 50-day average indicates a longer-term trend.
- **RSI, MACD, and KDJ**: The RSI is at 69.9, which is considered overbought territory and suggests that the stock may be due for a pullback. The MACD is at 0.13, and the KDJ is at 63.41, both of which suggest that the stock is neither overbought nor oversold.
- **Bollinger Bands**: The current price is near the upper band, which could indicate a potential for a pullback or consolidation.
|code|Ticker|Name|Date|Support Level|Resistance Level|market_code|
|---|---|---|---|---|---|---|
|WES|WES.N|Western Midstream|20250724|37.1600|39.9800|169|
|code|Ticker|Name|Date|Moving Average|market_code|
|---|---|---|---|---|---|
|WES|WES.N|Western Midstream|20250724|40.0020|169|
|code|Ticker|Name|Date|bollinger lower band|RSI|KDJ|MACD|market_code|
|---|---|---|---|---|---|---|---|---|
|WES|WES.N|Western Midstream|20250724|38.0362|68.2958|45.5529|0.0914|169|
2. **Valuation Metrics**:
- **P/E Ratio, P/S Ratio, and P/B Ratio**: The P/E ratio is 12.15, the P/S ratio is 4.28, and the P/B ratio is 4.87. These metrics are generally in line with the company's growth prospects and industry norms.
- **Price Target and Consensus Rating**: The average price target is $44, with a consensus rating of "Buy". This suggests that analysts are generally optimistic about the stock's future performance.
|code|Ticker|Name|Date|P/E(TTM)|P/S|Price to Book Ratio|market_code|
|---|---|---|---|---|---|---|---|
|WES|WES.N|Western Midstream|20240729|11.302142|4.284267803856401|4.745447438134002|169|
|WES|WES.N|Western Midstream|20240730|11.39453|4.319289066558224|4.784238561606488|169|
|WES|WES.N|Western Midstream|20240731|11.456122|4.3426365750261064|4.810099310588145|169|
|WES|WES.N|Western Midstream|20240801|11.069772|4.19618402190939|4.647881885157752|169|
|WES|WES.N|Western Midstream|20240802|10.86262|4.117659393436331|4.56089572949218|169|
|WES|WES.N|Western Midstream|20240805|10.54066|3.995615365022626|4.4257145416335195|169|
|WES|WES.N|Western Midstream|20240806|10.899015|4.131455674909184|4.576177081163159|169|
|WES|WES.N|Western Midstream|20240807|10.93821|4.1463132088030275|4.527812289221726|169|
|WES|WES.N|Western Midstream|20240808|11.061394|4.193008315326533|4.578803776481965|169|
|WES|WES.N|Western Midstream|20240809|11.0814|4.200591866900287|4.586916058546094|169|
3. **Fundamental Analysis**:
- **Financial Performance**: WES reported a net income of $316.55 million and revenue of $917.12 million for Q1 2025, with a diluted EPS of $0.79. The company's net income growth rate is -46%, and its revenue growth rate is 3.31%.
- **Debt Levels and Cash Flow**: The debt-to-equity ratio is 2.18%, indicating a low level of debt relative to equity. The free cash flow is $388.39 million, which is a positive sign for the company's liquidity and ability to fund operations and growth.
|code|Ticker|Name|Date|Net Income YoY|Total Revenue YoY|Diluted EPS YoY|market_code|
|---|---|---|---|---|---|---|---|
|WES|WES.N|Western Midstream|2024 Q2|49.3410810894126|22.668579238303447|51.562499999999986|169|
|WES|WES.N|Western Midstream|2024 Q3|4.041519279319827|13.833402275477344|5.71428571428572|169|
|WES|WES.N|Western Midstream|2024 Q4|15.495415077497363|8.190904769007048||169|
|WES|WES.N|Western Midstream|2025 Q1|-46.00079151711997|3.310357102223764|-46.25850340136054|169|
|code|Ticker|Name|Date|Net Income YoY|Net Income|market_code|
|---|---|---|---|---|---|---|
|WES|WES.N|Western Midstream|2024 Q2|49.3410810894126|3.87564E8|169|
|WES|WES.N|Western Midstream|2024 Q3|4.041519279319827|2.95892E8|169|
|WES|WES.N|Western Midstream|2024 Q4|15.495415077497363|3.4158E8|169|
|WES|WES.N|Western Midstream|2025 Q1|-46.00079151711997|3.16552E8|169|
|code|Ticker|Name|Date|Total Revenue YoY|Total Revenue|market_code|
|---|---|---|---|---|---|---|
|WES|WES.N|Western Midstream|2024 Q2|22.668579238303447|9.05629E8|169|
|WES|WES.N|Western Midstream|2024 Q3|13.833402275477344|8.83362E8|169|
|WES|WES.N|Western Midstream|2024 Q4|8.190904769007048|9.28503E8|169|
|WES|WES.N|Western Midstream|2025 Q1|3.310357102223764|9.17116E8|169|
|code|Ticker|Name|Date|Diluted EPS YoY|Diluted EPS|market_code|
|---|---|---|---|---|---|---|
|WES|WES.N|Western Midstream|2024 Q2|51.562499999999986|0.97|169|
|WES|WES.N|Western Midstream|2024 Q3|5.71428571428572|0.74|169|
|WES|WES.N|Western Midstream|2025 Q1|-46.25850340136054|0.79|169|
|code|Ticker|Name|Date|Debt-to-Equity Ratio|Debt-to-Equity Ratio YoY|market_code|
|---|---|---|---|---|---|---|
|WES|WES.N|Western Midstream|2024 Q2|2.087202165648513|-7.600705247524853|169|
|WES|WES.N|Western Midstream|2024 Q3|2.35001925971061|-4.375956024284446|169|
|WES|WES.N|Western Midstream|2024 Q4|2.3517864285354517|-9.8393527920253|169|
|WES|WES.N|Western Midstream|2025 Q1|2.182533385369623|-0.15724159924451106|169|
|code|Ticker|Name|Date|Free Cash Flow|Free Cash Flow YoY|market_code|
|---|---|---|---|---|---|---|
|WES|WES.N|Western Midstream|2024 Q2|8.20298188695E8|57.258959608209295|169|
|WES|WES.N|Western Midstream|2024 Q3|1.750781134416E9|217.51737653360323|169|
|WES|WES.N|Western Midstream|2024 Q4|1.34422645826E9|-14.303277796613747|169|
|WES|WES.N|Western Midstream|2025 Q1|6.201014992E8|40.790732046119935|169|
4. **Market Sentiment and Analysts' Views**:
- **Recent Performance**: WES has outperformed the S&P 500 in recent trading sessions, with a 3.49% increase over the last month compared to the sector's 3.19% loss. However, the stock has not kept up with the S&P 500's gains, falling behind the index's 5.88% increase.
- **Analyst Ratings**: The stock has a Zacks Rank of #3 (Hold), with recent analyst ratings maintaining a neutral stance. The average price target is slightly below the current trading price, indicating a potential for the stock to appreciate in value.
- **Dividend and Shareholder Activity**: WES announced a quarterly dividend of $0.91, which represents a yield of 9.23%. This is a significant yield, but it is accompanied by a high dividend payout ratio of 100.8%, which may raise concerns about the sustainability of the dividend.
In conclusion, while WES has strong technical indicators and a positive analyst consensus, the stock's valuation metrics and recent financial performance show mixed signals. The company's debt levels are low, and it has a strong free cash flow, which is a positive sign. However, the high dividend payout ratio and the potential for a pullback due to overbought conditions suggest that investors should exercise caution. The upcoming earnings report on August 6, 2025, will be a key event to watch for further insights into the company's performance and future prospects.