Hess Midstream LP's capital turnover -- a measure of revenue relative to shareholder's equity -- is better than 94.91% of US listed stocks.
With a year-over-year growth in debt of 25,822.86%, Hess Midstream LP's debt growth rate surpasses 99.68% of about US stocks.
Hess Midstream LP's shareholder yield -- a measure of how much capital is returned to stockholders via dividends and buybacks -- is -224.37%, greater than the shareholder yield of only 1.84% of stocks in our set.
Stocks that are quantitatively similar to HESM, based on their financial statements, market capitalization, and price volatility, are IRS, NM, STAY, TK, and AMC.
Hess Midstream Partners LP Common Limited Partner Interests (HESM) Company Bio
Hess Midstream Partners LP focuses on processing natural gas and fractionating natural gas liquids (NGLs) in the United States. It also intends to engage in terminaling and loading crude oil and NGLs; transporting crude oil through rail cars; and storing and terminaling propane. Hess Midstream Partners GP LLC is the general partner of the company. The company was founded in 2014 and is based in Houston, Texas.
HESM Price Forecast Based on DCF Valuation
DCF Fair Value Target:
The table below illustrates the output of a discounted cash flow forecast using a variety of scenarios for Hess Midstream LP. To summarize, we found that Hess Midstream LP ranked in the 81th percentile in terms of potential gain offered. More precisely, our analysis suggests the stock is undervalued by approximately 470% on a DCF basis. The most interesting components of our discounted cash flow analysis for Hess Midstream LP ended up being:
The company's debt burden, as measured by earnings divided by interest payments, is 1.69; that's higher than 55.36% of US stocks in the Energy sector that have positive free cash flow.
16% of the company's capital comes from equity, which is greater than just 6.05% of stocks in our cash flow based forecasting set.
The business' balance sheet suggests that 84% of the company's capital is sourced from debt; this is greater than 93.91% of the free cash flow producing stocks we're observing.
Terminal Growth Rate in Free Cash Flow
Return Relative to Current Share Price
For other companies in the Energy that have a similar discounted cashflow valuation profile (and ensuing price forecasts) as HESM, try SRLP, HRST, BTE, CAPL, and PTEN.
As a result of the COVID-19 pandemic, our operations and those of our business partners, suppliers and customers, including Hess Corporation, have experienced and may continue to experience adverse effects, including disruptions, delays or temporary suspension of operations and supply chains, temporary inaccessibility or closures of facilities and workforce impacts. In addition, the pandemic has adversely impacted and may continue to adversely impact demand and marketability of crude oil, natural gas and NGLs that we gather, process and terminal for Hess and other third-party producers. To the extent, the COVID-19 pandemic adversely affects our business and financial results, it may also have the effect of heightening many of the other risks described in our Annual Report on Form 10-K...
Hess Midstream LP (NYSE: HESM) ("Hess Midstream") today reported first quarter 2020 net income of $129.0 million compared with net income of $80.8 million for the first quarter of 2019, as recast for the 2019 acquisition of Hess Infrastructure Partners LP ("HIP") by Hess Midstream Operations LP (formerly known as Hess Midstream Partners LP) (the "Partnership"), Hess Midstream’s controlled subsidiary. After deduction for noncontrolling interests, net income attributable to Hess Midstream was $6.5 million, or $0.37 per Class A share. Hess Midstream generated Adjusted EBITDA of $195.3 million. DCF for the first quarter of 2020 was $170.3 million and free cash flow was $138.3 million.
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