Plains All American Pipeline, L.P. (PAA) Company Bio
Plains ALL American Pipeline LP engages in the transportation, storage, terminalling, and marketing of crude oil, natural gas liquids, natural gas, and refined products in the United States and Canada. The company operates in three segments: Transportation, Facilities, and Supply and Logistics. The company was founded in 1998 and is based in Houston, Texas.
PAA Price Forecast Based on DCF Valuation
DCF Fair Value Target:
We started the process of determining a valid price forecast for Plains All American Pipeline Lp with a discounted cash flow analysis -- the results of which can be found in the table below. To summarize, we found that Plains All American Pipeline Lp ranked in the 88th percentile in terms of potential gain offered. Moreover, under all the scenarios we modelled, the output consistently forecasted positive returns. The most interesting components of our discounted cash flow analysis for Plains All American Pipeline Lp ended up being:
The company has produced more trailing twelve month cash flow than 84.29% of its sector Energy.
Plains All American Pipeline Lp's effective tax rate, as measured by taxes paid relative to net income, is at 0 -- greater than only 0% of US stocks with positive free cash flow.
Plains All American Pipeline Lp's interest coverage rate -- a measure of gross earnings relative to interest payments -- comes in at -4.02. This coverage rate is greater than that of just 13.61% of stocks we're observing for the purpose of forecasting via discounted cash flows.
Terminal Growth Rate in Free Cash Flow
Return Relative to Current Share Price
Want more companies with a valuation profile/forecast similar to that of Plains All American Pipeline Lp? See SMLP, CNQ, WTTR, TGP, and SUN.
Plains All American Pipeline, L.P. (Nasdaq: PAA) and Plains GP Holdings (Nasdaq: PAGP) announced they will release fourth-quarter and full-year 2020 earnings after market close on Tuesday, February 9, 2021 and will hold a joint webcast on the same day as follows: