(HESM) Hess Midstream Partners - Overview
Stock: Gathering, Processing, Storage, Terminaling, Export
EPS (Earnings per Share)
Revenue
Dividends
| Dividend Yield | 9.88% |
| Yield on Cost 5y | 20.37% |
| Yield CAGR 5y | 10.98% |
| Payout Consistency | 100.0% |
| Payout Ratio | 103.7% |
| Risk 5d forecast | |
|---|---|
| Volatility | 24.3% |
| Relative Tail Risk | -1.57% |
| Reward TTM | |
|---|---|
| Sharpe Ratio | -0.17 |
| Alpha | -17.34 |
| Character TTM | |
|---|---|
| Beta | 0.628 |
| Beta Downside | 1.038 |
| Drawdowns 3y | |
|---|---|
| Max DD | 25.78% |
| CAGR/Max DD | 0.61 |
Description: HESM Hess Midstream Partners January 07, 2026
Hess Midstream LP (NYSE:HESM) owns, operates, develops, and acquires midstream infrastructure in the United States, delivering fee-based services to Hess and third-party customers across three segments: Gathering, Processing & Storage, and Terminaling & Export.
The Gathering segment includes roughly 1,415 mi of natural gas and NGL pipelines (≈ 675 MMcf/d capacity), 590 mi of crude oil pipelines, and 330 mi of produced-water lines. The Processing & Storage segment operates the Tioga Gas Plant (natural gas processing and fractionation) and the Mentor propane storage cavern with rail/truck loading. The Terminaling & Export segment controls the Ramberg crude-oil terminal, Tioga rail terminal, associated rail cars, and the Johnson’s Corner crude-oil header system.
Key performance indicators (as of FY 2023) show an adjusted EBITDA of about $550 million and a cash-flow-to-debt ratio near 0.9, indicating solid liquidity for capital-intensive projects. Utilization rates on the natural-gas gathering system have averaged 78 % in the past 12 months, reflecting continued growth in U.S. shale production. The segment’s fee-based revenue model provides resilience to commodity-price volatility, though margin expansion is still tied to the natural-gas price spread (Waha – Henry Hub) and NGL differential trends.
Sector drivers that will likely influence HESM’s outlook include (1) sustained U.S. crude-oil output growth of 1–2 % YoY, (2) the ongoing recovery of natural-gas demand for power generation and LNG export, and (3) regulatory scrutiny of water-disposal pipelines, which could affect capital-expenditure timing. A shift in any of these variables would materially alter cash-flow forecasts.
For a deeper dive into HESM’s valuation metrics, you might find ValueRay’s analyst toolkit useful.
Piotroski VR‑10 (Strict, 0-10) 4.5
| Net Income: 352.9m TTM > 0 and > 6% of Revenue |
| FCF/TA: 0.16 > 0.02 and ΔFCF/TA 0.28 > 1.0 |
| NWC/Revenue: -3.46% < 20% (prev -4.69%; Δ 1.22% < -1%) |
| CFO/TA 0.22 > 3% & CFO 996.7m > Net Income 352.9m |
| Net Debt (3.79b) to EBITDA (1.24b): 3.07 < 3 |
| Current Ratio: 0.75 > 1.5 & < 3 |
| Outstanding Shares: last quarter (129.4m) vs 12m ago 24.30% < -2% |
| Gross Margin: 74.99% > 18% (prev 0.86%; Δ 7413 % > 0.5%) |
| Asset Turnover: 37.71% > 50% (prev 35.94%; Δ 1.77% > 0%) |
| Interest Coverage Ratio: 4.54 > 6 (EBITDA TTM 1.24b / Interest Expense TTM 225.6m) |
What is the price of HESM shares?
Over the past week, the price has changed by +4.38%, over one month by +8.67%, over three months by +8.61% and over the past year by -5.16%.
Is HESM a buy, sell or hold?
- StrongBuy: 2
- Buy: 1
- Hold: 2
- Sell: 0
- StrongSell: 0
What are the forecasts/targets for the HESM price?
| Issuer | Target | Up/Down from current |
|---|---|---|
| Wallstreet Target Price | 36.8 | 3.1% |
| Analysts Target Price | 36.8 | 3.1% |
| ValueRay Target Price | 43.1 | 20.7% |
HESM Fundamental Data Overview February 09, 2026
P/E Forward = 12.8205
P/S = 4.6294
P/B = 8.0754
P/EG = 1.57
Revenue TTM = 1.62b USD
EBIT TTM = 1.02b USD
EBITDA TTM = 1.24b USD
Long Term Debt = 3.76b USD (from longTermDebt, two quarters ago)
Short Term Debt = 30.0m USD (from shortTermDebt, two quarters ago)
Debt = 3.79b USD (from shortLongTermDebtTotal, two quarters ago)
Net Debt = 3.79b USD (using Total Debt 3.79b, CCE unavailable)
Enterprise Value = 11.30b USD (7.51b + Debt 3.79b - (null CCE))
Interest Coverage Ratio = 4.54 (Ebit TTM 1.02b / Interest Expense TTM 225.6m)
EV/FCF = 15.86x (Enterprise Value 11.30b / FCF TTM 712.7m)
FCF Yield = 6.31% (FCF TTM 712.7m / Enterprise Value 11.30b)
FCF Margin = 44.00% (FCF TTM 712.7m / Revenue TTM 1.62b)
Net Margin = 21.79% (Net Income TTM 352.9m / Revenue TTM 1.62b)
Gross Margin = 74.99% ((Revenue TTM 1.62b - Cost of Revenue TTM 405.0m) / Revenue TTM)
Gross Margin QoQ = 63.63% (prev 63.25%)
Tobins Q-Ratio = 2.55 (Enterprise Value 11.30b / Total Assets 4.44b)
Interest Expense / Debt = 1.49% (Interest Expense 56.7m / Debt 3.79b)
Taxrate = 15.24% (30.2m / 198.2m)
NOPAT = 868.0m (EBIT 1.02b * (1 - 15.24%))
Current Ratio = 0.75 (Total Current Assets 168.2m / Total Current Liabilities 224.3m)
Debt / Equity = 6.63 (Debt 3.79b / totalStockholderEquity, two quarters ago 572.5m)
Debt / EBITDA = 3.07 (Net Debt 3.79b / EBITDA 1.24b)
Debt / FCF = 5.32 (Net Debt 3.79b / FCF TTM 712.7m)
Total Stockholder Equity = 584.9m (last 4 quarters mean from totalStockholderEquity)
RoA = 8.22% (Net Income 352.9m / Total Assets 4.44b)
RoE = 60.34% (Net Income TTM 352.9m / Total Stockholder Equity 584.9m)
RoCE = 23.54% (EBIT 1.02b / Capital Employed (Equity 584.9m + L.T.Debt 3.76b))
RoIC = 20.20% (NOPAT 868.0m / Invested Capital 4.30b)
WACC = 5.89% (E(7.51b)/V(11.30b) * Re(8.23%) + D(3.79b)/V(11.30b) * Rd(1.49%) * (1-Tc(0.15)))
Discount Rate = 8.23% (= CAPM, Blume Beta Adj.)
Shares Correlation 3-Years: 100.0 | Cagr: 37.54%
[DCF Debug] Terminal Value 86.62% ; FCFF base≈689.6m ; Y1≈710.2m ; Y5≈797.7m
Fair Price DCF = 154.0 (EV 23.72b - Net Debt 3.79b = Equity 19.92b / Shares 129.4m; r=5.90% [WACC]; 5y FCF grow 3.01% → 2.90% )
EPS Correlation: 93.93 | EPS CAGR: 10.81% | SUE: -0.43 | # QB: 0
Revenue Correlation: 93.68 | Revenue CAGR: 7.14% | SUE: -3.00 | # QB: 0
EPS next Quarter (2026-03-31): EPS=0.55 | Chg30d=-0.039 | Revisions Net=-2 | Analysts=2
EPS current Year (2026-12-31): EPS=2.56 | Chg30d=-0.107 | Revisions Net=-2 | Growth EPS=-10.6% | Growth Revenue=-0.6%
EPS next Year (2027-12-31): EPS=2.95 | Chg30d=+0.033 | Revisions Net=+1 | Growth EPS=+15.3% | Growth Revenue=+2.7%