GuruFocus Manual of Stocks™  |  Jan 23, 2022
Western Midstream Partners LP (NYSE:WES)
www.gurufocus.com/stock/NYSE:WES
Western Midstream Partners LP (NYSE:WES)
[1]
Modestly Overvalued[5]$ 23.14
Oil & Gas - Oil & Gas Midstream
Market Cap: $ 9,450 Mil
Western Gas Equity Partners LP is a US-based company engaged in gathering, processing, compressing, treating and transporting natural gas condensate.
Valuation Rank
Score: 0 /10CurrentIndustry MedianHistorical Median
PE Ratio10.4213.9526.29
Forward P/E7.769.47N/A
PB Ratio3.21.367.57
PS Ratio3.411.343.8
P/FCF7.149.5223.69
Shiller P/E16.1515.6613.85
PEG Ratio1.831.291
Valuation Analysis
% of Price
NCAV-18.86-82
Tangible Book5.3823
Graham Number16.3971
Price23.14
Dividend & Ownership
Dividend Yield(ttm) %5.48
Dividend Yield(forward) %5.65
Payout0.57
Dividend Growth(5y) %5.1
Yield on Cost(5y) %7.03
Continuous Div. since2020
Insider Ownership %0.33
Institution Ownership %20.31
Financial Strength
Score: 3 /10CurrentIndustry MedianHistorical Median
Cash-to-Debt0.010.460.04
Equity-to-Asset0.260.460.20
Interest Coverage3.186.845.18
Piotroski F-Score756
Profitability Rank
Score: 7 /10CurrentIndustry MedianHistorical Median
Operating Margin %42.574.3831.72
Net Margin %33.391.8118.90
ROE %32.532.4117.23
ROA %8.070.384.48
ROC (Joel Greenblatt) %15.493.4612.48
Growth (Per Share)
10 Yr5 Yr1 Yr
Revenue Growth (%)-2.5-5.26.2
EBITDA Growth (%)0.55.743.7
Oprt. Income Growth (%)31.63
EPS w/o NRI Growth (%)16.417.585
Free Cash Flow Growth (%)N/AN/A73.9
Book Value Growth (%)-5.15.613.4
Quarterly
Sep20Dec20Mar21Jun21Sep21
Revenue679647675719764
Net Income247264186231256
EPS0.550.620.440.550.61
Revenue (YoY) %1.95-10.47-12.837.0512.49
Net Income (YoY) %103.45-8.3-172.43-15.33.7
EPS (YoY) %103.70-177.19-8.3310.91
Warning Signs
SEVEREFinancial Strength: Poor
SEVEREAltman Z-Score: Distress
SEVERERevenue per Share: Declined
SEVERELong-Term Debt: Keep issuing new debt
Good Signs
GOODPiotroski F-Score: High
Insider Trades
InsiderPositionDateTradesCur. Shares
Occidental Petroleum Corp /de/10% Owner12/13/21-2500000200282k
Occidental Petroleum Corp /de/10% Owner12/13/21-2500000200282k
Occidental Petroleum Corp /de/10% Owner03/25/21-11500000202782k
Occidental Petroleum Corp /de/10% Owner03/25/21-11500000202782k
As of 01-23-2022
* All financial numbers are in millions except for per share data, ratios and percentage change.
Gain % SP500 %
1W-3.74-5.75
1M12.55-5.42
3M2.64-3.10
6M20.721.47
YTD3.91-7.79
1Y59.7415.50
3Y-3.1719.94
5Y-5.9716.09
10Y--14.91
65.51
31.22
3.07
6M
3.1M
2012201320142015201620172018201920202021CurrentPerformance
--29.9543.2965.5165.245.8747.4342.5134.9321.724.49Highest Stock Price
----31.0237.730.1619.8634.6227.217.583.0714.09Lowest Stock Price
--65568649131857945927281366071874257199450Market Cap
51218.9218.9218.9218.9218.9218.9218.9415.8435.6412.7Shares Outstanding-Diluted
N/A299555.6559.0593.0527.6821.616.4112.3811.7110.42PE Ratio
--5.897.19.545.338.857.672.592.742.073.2PB Ratio
--7.337.978.64.535.143.352.642.982.173.41PS Ratio
--25.8423.8723.5729.6415.2912.7610.9910.59.618.86EV-to-EBITDA
2011201220132014201520162017201820192020TTMPer Share Data
17.044.094.967.0188.2411.110.56.616.376.78Revenue per Share
1.850.010.711.020.391.531.721.691.591.182.22Earnings per Share
2.14-1.65-0.88-0.520.661.980.07-2.720.352.83.24Free Cash Flow per Share
----0.631.041.41.712.022.32.451.561.26Dividends per Share
7.724.354.830.51.1-0.79-0.64.814.374.785.38Tangible Book per Share
----------------------Median PS Value
17.90.998.793.383.1----13.5212.511.2716.39Graham Number
2011201220132014201520162017201820192020TTMIncome Statement
869.4894.51085.51533.41752.11804.32429.62299.72746.22772.62805.4Revenue
428.9437.8562.5863.2951.11037.11157.114951818.72093.42006.9Gross Profit
49.348.951.856.354.357.547.66566.275.571.5Gross Margin %
183.6259.5260.6364.4409.7397.4452.7599.9817.2805812.7Total Operating Expense
245.3178.3301.9498.8541.4639.7704.3895.11001.51288.41194.2Operating Income
28.219.927.832.530.935.52938.936.546.542.6Operating Margin %
94.24.5163.8288165.5345.8540.8551.6697.2527936.7Net Income
10.80.515.118.89.519.222.32425.41933.4Net Margin %
264.1207.2337.9564.2164.8714.5812864.31112889.41345.7EBIT
377.2327.8487.7776437.4987.41130.81253.51595.31380.51859.5EBITDA
11.50.313.417.1626.335.721.723.917.332.5ROE %
4.10.13.952.34.66.95.75.94.48.1ROA %
2011201220132014201520162017201820192020Sep21Balance Sheet
226.6422.6113.167.299.7359.179.692.1100444.999.9Cash & Equivalents
22.750.287.5109.4195.2226.5161.9235.6272.3471.2622.4Total Receivables
2837.63750.84630.86955.27303.37736.18016.311457123461183011419Total Assets
------1.2------287.9438.9726.4Short-Term Debt & CLO
669.21168.31418.224232690.73119.53492.75214.97951.67415.86399.9Long-Term Debt & CLO
1370.71470.41726.82821.43383.23625.34071.46564.59001.28934.88322.9Total Liabilities
528.91112.31217.21382.71491.41048.11061.12339.93195.72761.12954.7Total Stockholders Equity
14672280.429044133.93920.14110.83944.94892.73345.32895.23096.4Total Equity
2011201220132014201520162017201820192020TTMCashflow Statement
258.9277.5489.2690.7782.8913.11042.71352.11332.21640.71610.9Cash Flow from Operations
-479.7-1357.5-1688.5-2740.2-500.3-1105.5-1133.3-2210.8-3387.9-448.3-208.9Cash Flow from Investing
-------------0.2-----32.5-16.2Repurchase of Stock
186.9492.6247.5998278.5423.2468.81631.32729.6-136.9-763.7Net Issuance of Debt
420.31276.1889.92003.6-250.1451.8-188.9870.32063.3-872-1445.7Cash Flow from Financing
199.5196-309.5-45.932.5259.4-279.511.67.7320.4-43.7Net Change in Cash
-149.7-638.1-682-805-638-480-1028.3-1948.6-1188.8-423.1-268.6Capital Expenditure
109.2-360.6-192.8-114.3144.8433.114.4-596.5143.41217.61342.3Free Cash Flow
Competitor
TickerCompanyFinancial
Strength
Profitability
Rank
Market Cap
($M)
PE RatioPS RatioNet
Margin %
ROA %ROE %
NYSE:TRGPTarga Resources Corp3512,69642.651.002.972.6513.10
NYSE:PSXPPhillips 66 Partners LP379,58819.269.0051.207.7518.68
NYSE:WESWestern Midstream Partners LP379,45010.423.4133.398.0732.53
NYSE:DCPDCP Midstream LP355,80556.970.641.801.231.77
NYSE:SHLXShell Midstream Partners LP374,9919.6910.35106.6124.790.00
GuruFocus Manual of Stocks™  |  Jan 23, 2022
Western Midstream Partners LP (NYSE:WES)
www.gurufocus.com/stock/NYSE:WES

Financial Strength[2] (Quarterly data, as of Sep. 2021) : Poor (3/10)

0
1
2
3
4
5
6
7
8
9

Cash-to-Debt : 0.01

Cash-to-Debt Ratio measures the financial strength of a company. It is calculated as a company's cash, cash equivalents, and marketable securities divide by its debt. A high ratio indicates that a company is better able to pay back its debt, and is thus able to take on more debt if necessary.


Equity-to-Asset : 0.26

Equity-to-Asset ratio is calculated as total stockholders equity divided by its total assets. Equity-to-Asset ratio can vary greatly across different industries, as they have different capital structure. A company with smaller Equity-to-Asset ratio (more leveraged) may have higher ROE % because of the leverage.


Debt-to-Equity : 2.41

A high Debt-to-Equity ratio generally means that a company has been aggressive in financing its growth with debt.


Piotroski F-Score : 7

The Piotroski F-Score is used to determine the strength of a firm's financial position, with 9 being the best and 0 being the worst.

0
1
2
3
4
5
6
7
8
9


WACC : 18.27% vs ROIC : 10.47%

The weighted average cost of capital (WACC) is the rate that a company is expected to pay on average to all its security holders to finance its assets. Return on invested capital (ROIC) measures how well a company generates cash flow relative to the capital it has invested in its business.


Dividend Yield : 5.99%

Dividend yield is a way to measure how much cash flow you are getting for each dollar invested in an equity position.

GuruFocus Manual of Stocks™  |  Jan 23, 2022
Western Midstream Partners LP (NYSE:WES)
www.gurufocus.com/stock/NYSE:WES

Profitability[3] (Annual data, as of Dec. 2020) : Good (7/10)

0
1
2
3
4
5
6
7
8
9

Revenue : $764 Mil vs Net Income : $256 Mil

Revenue is the amount of money that a company actually receives during a specific period, including discounts and deductions for returned merchandise. Net Income is a company's total profit. Net income is calculated by taking revenues and adjusting for the cost of doing business, depreciation, interest, taxes and other expenses.


Cash & Equivalents : $100 Mil vs Long-Term Debt* : $6,400 Mil

Cash & equivalents are the most liquid assets on the balance sheet. Cash equivalents are assets that are readily convertible into cash. Long-Term Debt* consists of loans and obligations lasting over one year.


Operating Margin % : 44.08%

Operating margin % measures how much profit a company makes on a dollar of sales. Operating Margin % is calculated as Operating Income divided by Revenue.


EPS without NRI : $0.61

Earnings Per Share without Non-Recurring Items is the amount of earnings without non-recurring items per outstanding share of the company's stock. In calculating earnings per share without non-recurring items, the dividends of preferred stocks and Non Operating Income need to subtracted from the total net income first.


Dividends per Share : $0.32

Dividends per Share is the amount of dividends that the shareholders of a company receive on a per-share basis. It is calculated using the total dividends paid out to shareholders over one fiscal year and the number of shares outstanding.


Free Cash Flow per Share : $0.75

Free Cash flow per Share is the amount of Free cash flow per outstanding share of the company's stock.

GuruFocus Manual of Stocks™  |  Jan 23, 2022
Western Midstream Partners LP (NYSE:WES)
www.gurufocus.com/stock/NYSE:WES

Valuation (Quarterly data, as of Sep. 2021)

These valuation metrics should give you a sense of reasonable prices, but be careful with them. Always seek to understand why a valuation is changing over time.


Valuation Chart (Current stock price : $23.14)


PE Ratio without NRI : 9.44

The price-to-earnings ratio can be affected by Non Operating Income such as the sale of part of businesses. This may increase for the current year or quarter dramatically. But it cannot be repeated over and over. Therefore PE Ratio without NRI is a more accurate indication of valuation than regular PE Ratio.


PB Ratio : 2.90

The price-to-book ratio measures the valuation of the stock relative to the underlying asset of the company.


PS Ratio : 3.09

The price-to-sales ratio is a valuation ratio that compares a company’s stock price to its revenues. The price-to-sales ratio is an indicator of the value placed on each dollar of a company’s sales or revenues.


Price-to-Free-Cash-Flow : 6.46

Price-to-free-cash-flow is very similar to the valuation metric of price-to-operating-cash-flow but is considered a more exact measure, owing to the fact that it uses free cash flow, which subtracts capital expenditures from a company's total operating cash flow, thereby reflecting the actual cash flow available to fund non-asset-related growth.


EV-to-EBIT : 11.69

Enterprise value of a company divided by its trailing 12 months earnings before interest and taxes (EBIT).

GuruFocus Manual of Stocks™  |  Jan 23, 2022
Western Midstream Partners LP (NYSE:WES)
www.gurufocus.com/stock/NYSE:WES

Valuation Bands

In these charts the 10-year valuation bands of the price-to-earnings ratio (PE Ratio), price-to-book ratio (PB Ratio), price-to-sales ratio (PS Ratio) and price-to-operating-cash-flow ratio (POCF) are drawn together with the historical stock prices. For example, the upper line of the PE band is where the stock price would have been if it were always traded at the maximum PE ratio of the past 10 years. The lower line of the PE band is where the stock price would have been if it were always traded at the lowest PE ratio of the past 10 years. It is always better if the stock price is close to the lower line, which indicates a lower valuation.


Historical Price and PE Band


Historical Price and PS Band


Historical Price and PB Band


Historical Price and Price-to-Operating-Cash-Flow (POCF) Band

GuruFocus Manual of Stocks™  |  Jan 23, 2022
Western Midstream Partners LP (NYSE:WES)
www.gurufocus.com/stock/NYSE:WES

Warning Signs

GuruFocus conducted a thorough checkup using a checklist of 32 items that cover the areas of financial strength, profitability, growth, and valuation of each company. The purpose of Warning Signs is to warn you that the company may have red flags in certain areas, helping to avoid overlooking them. These warning signs do not necessarily mean you should not invest in the stock. But you should be aware of them before you invest.


Severe Warning Signs

Financial Strength : Poor

Western Midstream Partners LP displays poor financial strength. Usually this is caused by too much debt for the company.

Altman Z-Score : Distress

Altman Z-score of 1.26 is in distress zone. This implies bankrupcy possibility in the next two years.

Revenue per Share : Declined

Western Midstream Partners LP revenue per share has been in decline for the last 5 years.

Long-Term Debt : Keep issuing new debt

Western Midstream Partners LP keeps issuing new debt. Over the past 3 years, it issued USD 2.1 billion of debt.

Good Signs

Piotroski F-Score : High

Piotroski F-Score is 7, indicating very healthy situation.

Beneish M-Score : Unlikely manipulator

Beneish M-Score -2.57 no higher than -1.78, which implies that the company is unlikely to be a manipulator.

Operating Margin % : Expansion

Western Midstream Partners LP operating margin is expanding. Margin expansion is usually a good sign.

Medium Warning Signs

Interest Coverage : Low

Ben Graham prefers companies interest coverage is at least 5. Western Midstream Partners LP interest coverage is 3.18, which is low.

Dividend Yield % : Close to 3-year low

Western Midstream Partners LP stock dividend yield is close to 3-year low.

PS Ratio : Close to 3-year high

Western Midstream Partners LP stock PS Ratio (=3.41) is close to 3-year high of 3.54

Tax Rate : Tax Rate is too low

Company seems to be paying lower tax, which may boast earnings, and may not be sustainable.

ROIC vs. WACC : Return on invested capital is less than weighted average cost of capital.

Companys's return on invested capital is less than weighted average cost of capital. It might not be capital efficient

Insider Sell : Insider Selling

There were 2 insider selling transactions and no insider buying over the past 3 months. 5,000,000 shares were sold.
GuruFocus Manual of Stocks™  |  Jan 23, 2022
Western Midstream Partners LP (NYSE:WES)
www.gurufocus.com/stock/NYSE:WES

Competitive Comparison


5 Year Price Change Comparison


Financial Strength

CompanyFinancial StrengthCash-to-DebtEquity-to-AssetDebt-to-EquityInterest CoveragePiotroski F-ScoreAltman Z-ScoreBeneish M-ScoreWACC %ROIC %
NYSE:AMAntero Midstream Corp3/100.000.421.343.2761.35-2.9415.027.59
NYSE:DCPDCP Midstream LP3/100.000.411.020.0071.18-1.5714.88-0.17
NYSE:HESMHess Midstream LP3/100.000.0419.257.0051.20-3.038.5920.26
NYSE:PSXPPhillips 66 Partners LP3/100.020.371.513.6071.77-2.887.686.19
NYSE:SHLXShell Midstream Partners LP3/100.13-0.20-5.782.6672.45-3.629.7311.68
NYSE:TRGPTarga Resources Corp3/100.030.143.113.3361.67-1.8913.418.37
NYSE:WESWestern Midstream Partners LP3/100.010.262.413.1871.26-2.5718.2710.47

Profitability

CompanyProfitability RankOperating
Margin %
Net Margin %ROE %ROA %Price-to-Free-Cash-FlowROC (Joel Greenblatt) %3-Year Revenue Growth %3-Year EBITDA Growth %3-Year EPS w/o NRI Growth %
NYSE:HESMHess Midstream LP7/1059.103.1323.911.061.0822.2977.6079.2020.40
NYSE:PSXPPhillips 66 Partners LP7/1042.9651.2018.687.7513.7019.77-19.10-12.008.10
NYSE:SHLXShell Midstream Partners LP7/1042.02106.610.0024.799.1098.55-22.20-11.80-0.80
NYSE:WESWestern Midstream Partners LP7/1042.5733.3932.538.077.1415.49-16.90-15.00-11.80
NYSE:DCPDCP Midstream LP5/10-0.231.801.771.2312.655.84-20.00-34.100.00
NYSE:TRGPTarga Resources Corp5/109.492.9713.102.657.0130.49-5.8021.00-186.10
NYSE:AMAntero Midstream Corp4/1060.6235.8013.825.908.3018.580.0026.300.00

Valuation

CompanyPE RatioPB RatioPS RatioPrice-to-Intrinsic-Value-Projected-FCFPrice-to-Intrinsic-Value-DCF (Earnings Based)Price-to-Median-PS-ValuePrice-to-Peter-Lynch-Fair-ValuePrice-to-Graham-NumberEarnings Yield (Joel Greenblatt) %Forward Rate of Return (Yacktman) %
NYSE:SHLXShell Midstream Partners LP9.690.0010.351.370.000.000.000.009.288.85
NYSE:WESWestern Midstream Partners LP10.423.203.411.660.000.000.001.418.17-1.53
NYSE:AMAntero Midstream Corp14.392.055.170.000.000.000.001.807.790.00
NYSE:HESMHess Midstream LP17.665.250.530.190.000.000.712.0319.4653.76
NYSE:PSXPPhillips 66 Partners LP19.263.719.002.920.000.000.001.855.37-8.23
NYSE:TRGPTarga Resources Corp42.655.811.00221.800.001.541.845.1719.1617.64
NYSE:DCPDCP Midstream LP56.971.030.640.760.001.050.001.624.04-6.33
GuruFocus Manual of Stocks™  |  Jan 23, 2022
Western Midstream Partners LP (NYSE:WES)
www.gurufocus.com/stock/NYSE:WES

Peter Lynch Chart[4]

GuruFocus Manual of Stocks™  |  Jan 23, 2022
Western Midstream Partners LP (NYSE:WES)
www.gurufocus.com/stock/NYSE:WES

Per Share Data



Per Share Data

Dec07
Dec08
Dec09
Dec10
Dec11
Dec12
Dec13
Dec14
Dec15
Dec16
Dec17
Dec18
Dec19
Dec20
TTM Fiscal Period
3.77
12.96
16.78
13
17.04
4.09
4.96
7.01
8
8.24
11.1
10.5
6.61
6.37
6.78
Revenue per Share
1.39
4.69
6.85
5.59
7.39
1.5
2.23
3.55
2
4.51
5.17
5.73
3.84
3.17
4.5
EBITDA per Share
0.94
3.35
4.36
3.81
5.17
0.95
1.54
2.58
0.75
3.26
3.71
3.95
2.67
2.04
3.25
EBIT per Share
0.54
0.78
1.99
1.25
1.85
0.01
0.71
1.02
0.39
1.53
1.72
1.69
1.59
1.18
2.22
Earnings per Share (Diluted)
0.54
0.78
1.99
1.25
1.85
0.01
0.71
1.02
0.39
1.53
1.72
1.69
1.59
1.18
2.22
EPS without NRI
--
--
--
--
--
--
--
--
-0.36
0.58
1.59
1.38
0.84
0.68
1.93
Owner Earnings per Share (TTM)
-0.94
1.53
1.79
1.63
2.14
-1.65
-0.88
-0.52
0.66
1.98
0.07
-2.72
0.35
2.8
3.24
Free Cash Flow per Share
1.08
4.07
5.13
4.34
5.07
1.27
2.24
3.16
3.58
4.17
4.76
6.18
3.2
3.77
3.89
Operating Cash Flow per Share
--
0.68
1.92
0.53
4.44
1.93
0.52
0.31
0.46
1.64
0.36
0.42
0.23
1.08
0.24
Cash per Share
--
--
--
--
--
--
0.63
1.04
1.4
1.71
2.02
2.3
2.45
1.56
1.26
Dividends per Share
--
13.88
33.39
21.84
10.36
5.08
5.56
6.32
6.81
4.79
4.85
10.69
7.2
6.67
7.23
Book Value per Share
--
13.49
31.81
20.66
7.72
4.35
4.83
0.5
1.1
-0.79
-0.6
4.81
4.37
4.78
5.38
Tangible Book per Share
--
--
--
5.86
13.11
5.34
6.48
11.07
12.29
14.25
15.95
23.95
17.93
18.98
17.44
Total Debt per Share
--
--
--
--
--
29.95
39.51
60.23
36.29
42.35
37.16
27.73
19.69
13.82
23.14
Month End Stock Price

Ratios

Dec07
Dec08
Dec09
Dec10
Dec11
Dec12
Dec13
Dec14
Dec15
Dec16
Dec17
Dec18
Dec19
Dec20
TTM Fiscal Period
--
5.59
7.39
5.49
11.46
0.34
13.35
17.14
5.99
26.34
35.71
21.72
23.93
17.32
32.53
ROE %
--
--
--
--
--
0.06
1.88
1.8
1.12
2.98
4.66
8.39
8.73
8.37
10.17
ROE % Adjusted to Book Value
--
12.23
5.12
3.6
4.09
0.14
3.91
4.97
2.32
4.6
6.87
5.66
5.86
4.36
8.07
ROA %
--
5.75
7.7
5.78
13
0.42
15.48
38.2
49.37
999
Neg. E
80.1
44.25
26.32
44.83
Return-on-Tangible-Equity
--
12.48
5.26
3.72
4.27
0.14
4.06
5.67
2.82
5.5
8.11
6.49
6.56
4.76
8.65
Return-on-Tangible-Asset
--
25.98
15.49
14.28
15.48
8.69
11.08
14.19
3.49
14.42
15.06
12.22
12.73
10.01
15.49
ROC (Joel Greenblatt) %
--
18
11.56
11.17
11.87
6.59
8.44
10.12
2.39
9.86
10.82
9.39
9.81
7.83
12.63
ROCE %
--
11.99
6.91
7.4
8.59
4.33
7.72
8.2
1.54
8.92
10.29
8.64
8.5
10.9
10.47
ROIC %
--
--
--
--
--
7.88
8.58
7.65
9.05
11.89
11.36
7.61
6.33
13.79
18.27
WACC %
--
--
--
5.14
5.17
4.11
3.66
3.73
4.23
3.76
4.07
4
4.41
4.64
4.97
Effective Interest Rate on Debt %
56.03
51.72
60.86
49.12
49.33
48.94
51.82
56.29
54.28
57.48
47.62
65.01
66.23
75.5
71.54
Gross Margin %
22.55
22.73
20.77
26.83
28.21
19.93
27.81
32.53
30.9
35.46
28.99
38.92
36.47
46.47
42.57
Operating Margin %
14.32
18.32
11.83
9.64
10.83
0.5
15.09
18.78
9.45
19.16
22.26
23.98
25.39
19.01
33.39
Net Margin %
-24.93
11.84
10.67
12.56
12.56
-40.32
-17.76
-7.46
8.27
24
0.59
-25.94
5.22
43.91
47.85
FCF Margin %
N/A
--
--
0.27
1.27
1.05
1.17
1.75
1.8
2.98
3.29
2.24
2.49
2.85
2.41
Debt-to-Equity
--
0.72
0.68
0.63
0.19
0.3
0.26
0.2
0.2
0.14
0.13
0.2
0.26
0.23
0.26
Equity-to-Asset
--
--
--
0.17
0.24
0.31
0.31
0.35
0.37
0.4
0.44
0.46
0.65
0.66
0.62
Debt-to-Asset
--
0.22
0.27
0.32
0.48
0.39
0.37
0.41
0.46
0.47
0.51
0.57
0.73
0.76
0.73
Liabilities-to-Assets
--
34.52
26.32
18.33
18.64
13.29
13.42
14.9
13.34
13.79
14.69
15.35
15.28
17.32
17.3
Gross-Profit-to-Asset %
--
0.67
0.43
0.37
0.38
0.27
0.26
0.27
0.25
0.24
0.31
0.24
0.23
0.23
0.24
Asset Turnover
--
--
--
--
--
--
0.88
1.02
3.59
1.12
1.17
1.36
1.54
1.32
0.57
Dividend Payout Ratio
--
4.18
5.77
6.13
7.05
14.54
22.28
22.54
25.91
33.98
26.5
30.26
32
46.94
64.73
Days Sales Outstanding
--
29.13
33.24
17.37
17.3
20.68
22.59
25.55
34.84
82.25
85.6
180
145
135
109
Days Payable
--
--
--
--
--
1.34
1.49
2.15
1.76
2.27
2.57
4.91
6.93
6.78
1.17
Days Inventory
--
-24.95
-27.47
-11.24
-10.25
-4.8
1.18
-0.86
-7.17
-46
-56.53
-145
-106
-81.66
-42.87
Cash Conversion Cycle
--
--
--
--
--
272
245
170
208
161
142
74.31
52.67
53.83
311
Inventory Turnover
0.44
0.48
0.39
0.51
0.51
0.51
0.48
0.44
0.46
0.43
0.52
0.35
0.34
0.24
0.28
COGS-to-Revenue
--
--
--
--
--
0
0
0
0
0
0
0.01
0.01
0.01
0
Inventory-to-Revenue
0.54
0.2
0.2
0.21
0.17
0.71
0.63
0.53
0.36
0.27
0.42
0.85
0.43
0.15
0.1
Capex-to-Revenue
2.38
0.86
0.96
0.78
0.61
3.58
2.26
1.61
1.18
0.75
1.46
2.18
1.19
0.33
0.23
Capex-to-Operating-Income
* All financial numbers are in millions except for per share data, ratios and percentage change. When Return-on-Tangible-Equity displays Neg. E, it means the the tangible equity is negative.
GuruFocus Manual of Stocks™  |  Jan 23, 2022
Western Midstream Partners LP (NYSE:WES)
www.gurufocus.com/stock/NYSE:WES

Financial Satement



Income Statement

Dec07
Dec08
Dec09
Dec10
Dec11
Dec12
Dec13
Dec14
Dec15
Dec16
Dec17
Dec18
Dec19
Dec20
TTM Fiscal Period
255
689
610
663
869
894
1085
1533
1752
1804
2430
2300
2746
2773
2805
Revenue
112
333
239
337
441
457
523
670
801
767
1273
805
928
679
799
Cost of Goods Sold
143
357
371
326
429
438
562
863
951
1037
1157
1495
1819
2093
2007
Gross Profit
56.03
51.72
60.86
49.12
49.33
48.94
51.82
56.29
54.28
57.48
47.62
65.01
66.23
75.5
71.54
Gross Margin %
8.37
23.33
33.17
29.64
40.56
99.73
35.07
41.78
44.43
49.25
53.95
67.2
115
156
177
Selling, General, & Admin. Expense
77.13
177
211
118
143
160
226
323
365
348
399
533
703
649
635
Other Operating Expense
85.5
200
245
148
184
260
261
364
410
397
453
600
817
805
813
Total Operating Expense
57.57
157
127
178
245
178
302
499
541
640
704
895
1002
1288
1194
Operating Income
22.55
22.73
20.77
26.83
28.21
19.93
27.81
32.53
30.9
35.46
28.99
38.92
36.47
46.47
42.57
Operating Margin %
--
12.15
20.72
21.84
24.11
16.9
16.9
16.9
16.9
16.9
16.9
16.9
16.9
11.74
--   Interest Income
-7.81
-0.36
-9.96
-15.36
-25.05
-37.74
-47.35
-71.67
-108
-109
-135
-175
-291
-367
-375
  Interest Expense
-7.81
11.78
10.76
3.05
-6.24
-25.16
-34.9
-59.87
-96.97
-99.73
-126
-167
-286
-368
-388
Net Interest Income
6.13
9.49
11.15
-2.14
-0.04
16.33
23.62
53.64
-388
65.36
98.74
-38.57
106
-397
165
Other Income (Expense)
55.89
178
149
179
239
169
291
493
56.63
605
677
690
821
523
971
Pre-Tax Income
-19.42
-43.75
-39.67
-51.46
-58.8
-48.88
-4.61
-39.06
-45.53
-8.37
59.92
-58.93
-13.47
-6
-6.61
Tax Provision
34.75
24.58
26.68
28.77
24.6
28.85
1.59
7.93
80.4
1.38
-8.85
8.55
1.64
1.15
0.68
Tax Rate %
36.47
134
109
127
180
121
286
453
11.1
597
737
631
808
517
964
Net Income (Continuing Operations)
0.09
-7.91
-36.77
-63.5
-86.06
-59.18
-122
-165
154
-251
-197
-79.08
-110
10.16
-27.26
  Other Income (Minority Interest)
36.56
126
72.22
63.94
94.16
4.52
164
288
166
346
541
552
697
527
937
Net Income
14.32
18.32
11.83
9.64
10.83
0.5
15.09
18.78
9.45
19.16
22.26
23.98
25.39
19.01
33.39
Net Margin %
--
85.06
7.37
15
--
--
--
--
--
--
--
--
5.64
11.1
20.13
Preferred Dividends
0.54
0.78
1.99
1.25
1.85
0.01
0.71
1.02
0.39
1.53
1.72
1.69
1.59
1.18
2.22
EPS (Basic)
0.54
0.78
1.99
1.25
1.85
0.01
0.71
1.02
0.39
1.53
1.72
1.69
1.59
1.18
2.22
EPS (Diluted)
67.82
53.22
36.38
51.04
51.04
219
219
219
219
219
219
219
416
436
413
Shares Outstanding (Diluted Average)
63.7
178
159
194
264
207
338
564
165
714
812
864
1112
889
1346
EBIT
30.79
71.04
90.69
91.01
113
121
150
212
273
273
319
389
483
491
514
Depreciation, Depletion and Amortization
94.48
249
249
285
377
328
488
776
437
987
1131
1253
1595
1380
1860
EBITDA

Cashflow Statement

Dec07
Dec08
Dec09
Dec10
Dec11
Dec12
Dec13
Dec14
Dec15
Dec16
Dec17
Dec18
Dec19
Dec20
TTM Fiscal Period
36.47
134
109
127
180
121
286
453
11.1
597
737
637
815
520
967
Net Income From Continuing Operations
30.79
71.04
90.69
91.01
113
121
150
212
273
273
319
389
483
491
514
Depreciation, Depletion and Amortization
-3.69
-3.89
2.67
0.42
-44.73
23.16
-14.07
1.5
-4.43
-49
-16.24
-60.46
-44.94
-147
-168
  Change In Receivables
0.46
18.38
-14.27
0.6
30.88
5.32
29.62
-35.93
1.01
58.37
-0.94
44.42
-29.75
105
192
  Change In Payables And Accrued Expense
-1.5
-1.37
7.13
0.66
-16.5
-0.55
-4.48
4
-0.65
-4.3
-2.98
-37.8
56.04
24.82
11.72
  Change In Other Working Capital
-4.73
13.13
-4.47
1.68
-30.34
27.93
11.07
-30.42
-4.07
5.07
-20.16
-53.84
-18.64
-16.87
35.6
Change In Working Capital
10.7
-1.6
-8.79
-3.07
-10.72
-2.26
40.04
38.68
11.35
2.56
-53.14
139
7.61
3.3
3.18
Deferred Tax
--
--
--
2.57
3.49
3.72
3.82
4.11
4.45
4.99
5.17
6.15
14.24
14.6
31.32
Stock Based Compensation
--
--
--
--
--
--
1.27
5.13
515
15.54
180
231
6.28
645
32.51
Asset Impairment Charge
0
-0
0
1.7
3.11
6.93
-2.8
7.87
-28.09
15.01
-125
4.48
24.76
-16.75
27.47
Cash Flow from Others
73.22
217
186
221
259
277
489
691
783
913
1043
1352
1332
1641
1611
Cash Flow from Operations
-137
-135
-121
-138
-150
-638
-682
-805
-638
-480
-1028
-1949
-1189
-423
-269
Purchase Of Property, Plant, Equipment
--
--
--
2.81
0.38
0.76
0.09
0.4
0.93
0.62
--
--
--
--
-- Sale Of Property, Plant, Equipment
--
-175
-101
-753
-331
-720
-1012
-1967
-25.86
-716
-185
-296
-2230
-19.9
-4.57
Purchase Of Business
-6.4
-8.1
-0.38
-0.31
-0.09
--
--
--
--
--
--
--
--
--
-- Purchase Of Investment
-0
-260
0
3.14
0.59
--
5.07
31.23
163
90.33
79.59
33.52
30.6
-5.26
64.28
Cash From Other Investing Activities
-143
-578
-223
-886
-480
-1358
-1689
-2740
-500
-1106
-1133
-2211
-3388
-448
-209
Cash Flow from Investing
--
315
120
338
328
624
725
1441
57.35
--
--
--
--
--
-- Issuance of Stock
--
--
--
--
--
--
--
--
--
--
-0.18
--
--
-32.54
-16.24
Repurchase of Stock
--
--
--
--
--
--
--
--
--
687
--
--
--
--
-- Net Issuance of Preferred Stock
--
175
101
1320
1056
1042
958
1648
890
1323
469
2671
4170
3681
400
  Issuance of Debt
--
--
-203
-1021
-869
-549
-710
-650
-611
-900
--
-1040
-1440
-3818
-1164
  Payments of Debt
--
175
-101
299
187
493
248
998
278
423
469
1631
2730
-137
-764
Net Issuance of Debt
--
--
--
--
--
--
-137
-228
-306
-374
-442
-894
-1124
-772
-691
Cash Flow for Dividends
--
-92.6
51.99
-16.22
-94.97
159
54.32
-207
-279
-284
-216
133
458
69.02
25.21
Other Financing
69.59
398
70.62
621
420
1276
890
2004
-250
452
-189
870
2063
-872
-1446
Cash Flow from Financing
-0.46
36.07
33.91
-42.91
199
196
-309
-45.91
32.48
259
-279
11.63
7.67
320
-43.74
Net Change in Cash
-137
-135
-121
-138
-150
-638
-682
-805
-638
-480
-1028
-1949
-1189
-423
-269
Capital Expenditure
-63.65
81.61
65.13
83.33
109
-361
-193
-114
145
433
14.4
-596
143
1218
1342
Free Cash Flow
* All financial numbers are in millions except for per share data, ratios and percentage change.
GuruFocus Manual of Stocks™  |  Jan 23, 2022
Western Midstream Partners LP (NYSE:WES)
www.gurufocus.com/stock/NYSE:WES

Financial Satement


Balance Sheet

Dec07
Dec08
Dec09
Dec10
Dec11
Dec12
Dec13
Dec14
Dec15
Dec16
Dec17
Dec18
Dec19
Dec20
TTM Fiscal Period
--
36.07
69.98
27.07
227
423
113
67.21
99.69
359
79.59
92.14
99.96
445
99.86
  Cash And Cash Equivalents
--
36.07
69.98
27.07
227
423
113
67.21
99.69
359
79.59
92.14
99.96
445
99.86
Cash, Cash Equivalents, Marketable Securities
--
7.89
11.4
10.89
22.7
48.55
83.94
105
143
193
160
221
260
453
584
  Accounts Receivable
--
1.81
0.71
0.11
--
1.66
3.61
4.01
51.89
33.9
1.69
14.48
11.87
18.48
38.73
  Other Current Receivables
--
9.7
12.12
11
22.7
50.21
87.55
109
195
227
162
236
272
471
622
Total Receivables
--
--
--
--
--
1.68
2.58
5.32
2.4
7.13
10.79
10.87
24.35
0.88
4
  Inventories, Other
--
--
--
--
--
1.68
2.58
5.32
2.4
7.13
10.79
10.87
24.35
0.88
4
Total Inventories
--
1.38
4.16
5.11
7.19
3.66
4.61
5.1
4.03
2.89
2.96
6.16
5.77
26.07
30.47
Other Current Assets
--
47.16
86.26
43.18
256
478
208
187
301
596
255
345
402
943
757
Total Current Assets
--
18.18
21.34
40.41
110
106
593
634
619
594
566
1092
1286
1225
1181
Investments And Advances
--
76.28
8.71
18.93
105
422
406
483
330
227
580
604
487
177
123
  Construction In Progress
--
786
1652
1708
2533
3010
3833
5143
6227
6635
7285
10655
11869
12465
12610
  Other Gross PPE
--
862
1660
1727
2638
3432
4239
5627
6557
6862
7865
11259
12356
12642
12733
Gross Property, Plant and Equipment
--
-175
-299
-368
-586
-714
-856
-1055
-1698
-1812
-2134
-2848
-3291
-3932
-4209
  Accumulated Depreciation
--
686
1361
1359
2052
2718
3383
4571
4859
5050
5731
8410
9065
8710
8524
Property, Plant and Equipment
--
20.84
57.35
60.24
135
161
159
1274
1251
1221
1191
1287
1255
781
757
Intangible Assets
--
20.84
57.35
60.24
82.14
105
105
389
419
418
416
446
446
4.78
4.78
  Goodwill
--
261
263
262
284
288
287
288
273
275
273
323
338
171
200
Other Long Term Assets
--
986
1703
1722
2581
3273
4423
6768
7002
7141
7761
11112
11944
10887
10663
Total Long-Term Assets
--
1033
1789
1766
2838
3751
4631
6955
7303
7736
8016
11457
12346
11830
11419
Total Assets
--
26.56
16.95
15.18
26.59
25.15
39.59
54.23
98.66
247
350
443
293
211
341
  Accounts Payable
--
1.48
6.73
6.15
8.68
12.5
13.86
15.02
18.58
24.13
29.13
37.37
35.86
44.83
53.66
  Total Tax Payable
--
1.44
--
--
35.64
--
--
--
--
--
--
--
--
--
-0
  Other Current Payables
--
12.95
11.48
20.87
38.76
146
136
169
114
40.44
42.36
85.73
103
212
143
  Current Accrued Expense
--
42.44
35.16
42.19
110
184
189
238
231
312
421
566
432
467
538
Accounts Payable & Accrued Expense
--
--
--
--
--
--
--
1.15
--
--
--
28
--
431
722
  Short-Term Debt
--
--
--
--
--
--
--
--
--
--
--
--
7.87
8.26
4.34
  Short-Term Capital Lease Obligation
--
--
--
--
--
--
--
1.15
--
--
--
28
7.87
439
726
Short-Term Debt & Capital Lease Obligation
--
--
--
--
--
--
--
--
--
--
--
16.24
19.66
31.48
22.85
  Current Deferred Revenue
--
--
--
--
--
--
--
--
--
--
--
16.24
19.66
31.48
22.85
DeferredTaxAndRevenue
--
--
--
--
2.55
2.51
2.53
1.7
4.81
3.74
3.14
26.8
26
23.17
20.47
Other Current Liabilities
--
42.44
35.16
42.19
112
186
191
241
236
315
424
637
486
961
1307
Total Current Liabilities
--
--
--
299
669
1168
1418
2423
2691
3119
3493
5215
7952
7392
6398
  Long-Term Debt
--
--
--
--
--
--
--
--
--
--
--
--
--
23.64
2.2
  Long-Term Capital Lease Obligation
--
--
--
299
669
1168
1418
2423
2691
3119
3493
5215
7952
7416
6400
Long-Term Debt & Capital Lease Obligation
N/A
--
--
0.27
1.27
1.05
1.17
1.75
1.8
2.98
3.29
2.24
2.49
2.85
2.41
Debt-to-Equity
--
1.15
217
0.73
513
47.15
38
45.64
328
47.84
7.41
280
18.9
22.2
24.47
NonCurrent Deferred Liabilities
--
185
231
219
76.17
68.75
79.15
112
129
143
147
432
545
536
591
Other Long-Term Liabilities
--
186
448
518
1258
1284
1535
2580
3148
3310
3647
5927
8515
7974
7016
Total Long-Term Liabilities
--
229
483
560
1371
1470
1727
2821
3383
3625
4071
6565
9001
8935
8323
Total Liabilities
--
739
1215
1115
529
1112
1217
1383
1491
1048
1061
2340
3196
2761
2955
Other Stockholders Equity
--
739
1215
1115
529
1112
1217
1383
1491
1048
1061
2340
3196
2761
2955
Total Stockholders Equity
--
66.02
90.92
90.46
938
1168
1687
2751
2429
3063
2884
2553
150
134
142
Minority Interest
--
805
1305
1205
1467
2280
2904
4134
3920
4111
3945
4893
3345
2895
3096
Total Equity
--
0.72
0.68
0.63
0.19
0.3
0.26
0.2
0.2
0.14
0.13
0.2
0.26
0.23
0.26
Equity-to-Asset
* All financial numbers are in millions except for per share data, ratios and percentage change.
GuruFocus Manual of Stocks™  |  Jan 23, 2022
Western Midstream Partners LP (NYSE:WES)
www.gurufocus.com/stock/NYSE:WES

Valuation Ratios



Valuation Ratios

Dec07
Dec08
Dec09
Dec10
Dec11
Dec12
Dec13
Dec14
Dec15
Dec16
Dec17
Dec18
Dec19
Dec20
TTM Fiscal Period
N/A
N/A
N/A
N/A
N/A
2995
55.65
59.05
93.05
27.68
21.6
16.41
12.38
11.71
10.42
PE Ratio
N/A
N/A
N/A
N/A
N/A
2995
55.65
59.05
93.05
27.68
21.6
16.41
12.38
11.71
10.42
PE Ratio without NRI
--
--
--
--
--
--
--
--
--
73.14
23.42
20.09
23.44
20.35
11.97
Price-to-Owner-Earnings
--
--
--
--
--
5.89
7.1
9.54
5.33
8.85
7.67
2.59
2.74
2.07
3.2
PB Ratio
--
--
--
--
--
6.89
8.17
121
33.08
--
--
5.77
4.5
2.89
4.3
Price-to-Tangible-Book
--
--
--
--
--
--
--
--
54.82
21.41
563
--
57.07
4.94
7.14
Price-to-Free-Cash-Flow
--
--
--
--
--
23.62
17.68
19.09
10.15
10.15
7.8
4.49
6.15
3.67
5.94
Price-to-Operating-Cash-Flow
--
--
--
--
--
7.33
7.97
8.6
4.53
5.14
3.35
2.64
2.98
2.17
3.41
PS Ratio
--
--
--
--
--
--
--
--
--
--
1.45
0.8
0.8
9.6
1.83
PEG Ratio
--
--
--
--
--
9.47
10.72
11.93
7.4
8.37
5.94
5.99
6.1
4.78
5.87
EV-to-Revenue
--
--
--
--
--
25.84
23.87
23.57
29.64
15.29
12.76
10.99
10.5
9.61
8.86
EV-to-EBITDA
--
--
--
--
--
40.88
34.45
32.42
78.68
21.13
17.77
15.94
15.06
14.91
12.24
EV-to-EBIT
--
--
--
--
--
2.45
2.9
3.08
1.27
4.73
5.63
6.27
6.64
6.71
8.17
Earnings Yield (Joel Greenblatt) %
--
--
--
--
--
--
--
--
--
-2.78
14.99
19.51
15.63
4.89
-1.53
Forward Rate of Return (Yacktman) %
--
--
--
--
--
--
--
--
--
--
--
--
--
9.73
16.15
Shiller PE Ratio
--
--
--
--
--
--
1.59
1.73
3.86
4.04
5.44
8.28
12.45
11.25
5.48
Dividend Yield %

Valuation and Quality

Dec07
Dec08
Dec09
Dec10
Dec11
Dec12
Dec13
Dec14
Dec15
Dec16
Dec17
Dec18
Dec19
Dec20
TTM Fiscal Period
--
--
--
--
--
6556
8649
13185
7945
9272
8136
6071
8742
5719
9450
Market Cap
--
--
--
--
--
8470
11641
18293
12964
15095
14432
13775
16751
13263
16477
Enterprise Value
--
--
--
--
--
29.95
39.51
60.23
36.29
42.35
37.16
27.73
19.69
13.82
23.14
Month End Stock Price
--
-4.86
-13.87
-12.22
-40.8
-10.12
-15.08
-25.15
-26.09
-28.91
-31.41
-41.22
-20.39
-20.84
-20.47
Net Cash per Share
--
-4.65
-13.42
-11.91
-40.21
-9.87
-14.65
-24.6
-25.17
-27.83
-30.6
-40.07
-19.7
-19.64
-18.86
Net Current Asset Value
--
-4.75
-13.63
-12.06
-40.46
-9.95
-14.78
-24.78
-25.6
-28.23
-30.83
-40.44
-19.92
-20.02
-19.4
Net-Net Working Capital
--
--
--
--
--
--
--
--
--
3.2
3.35
2.62
5.57
10.21
13.97
Intrinsic Value: Projected FCF
--
--
--
--
--
--
--
--
--
--
25.59
34.8
24.16
--
-- Peter Lynch Fair Value
--
15.39
37.69
24.13
17.9
0.99
8.79
3.38
3.1
--
--
13.52
12.5
11.27
16.39
Graham Number
--
--
--
--
--
--
--
--
-21.19
-10.75
-10.34
-27.04
-17.86
-12.84
-8.84
Earnings Power Value (EPV)
--
--
--
--
0.25
3.19
3.48
3.28
1.73
2.12
1.81
0.97
1.09
0.86
1.26
Altman Z-Score
N/A
N/A
N/A
N/A
N/A
N/A
7
6
6
6
5
4
5
7
7
Piotroski F-Score
--
--
--
--
--
-1.69
-1.94
-2.41
-2.36
-2.66
-2.79
-2.63
-2.81
-2.32
-2.57
Beneish M-Score
--
--
1.2
0.83
1.08
1.07
1.12
1.4
0.94
0.94
0.95
1.25
0.98
0.84
0.87
Scaled Net Operating Assets
--
47.22
6.09
41.24
11.1
28.92
29.44
33.61
-1.6
6.96
7.88
12.31
22.3
-5.62
-4.07
Sloan Ratio %
--
1.11
2.45
1.02
2.29
2.57
1.09
0.78
1.28
1.89
0.6
0.54
0.83
0.98
0.58
Current Ratio
--
1.11
2.45
1.02
2.29
2.56
1.07
0.75
1.27
1.87
0.58
0.52
0.78
0.98
0.58
Quick Ratio
--
0.85
1.99
0.64
2.02
2.27
0.59
0.28
0.42
1.14
0.19
0.14
0.21
0.46
0.08
Cash Ratio
7.38
431
12.73
11.59
9.79
4.72
6.38
6.96
5.01
5.86
5.23
5.12
3.44
3.51
3.18
Interest Coverage
--
--
--
--
--
29.95
43.29
65.51
65.2
45.87
47.43
42.51
34.93
21.7
24.49
Highest Stock Price
--
--
--
--
--
--
31.02
37.7
30.16
19.86
34.62
27.2
17.58
3.07
14.09
Lowest Stock Price
--
21.54
31.65
-40.31
--
-329
--
-0.01
--
--
--
--
-103
6.79
1.82
Shares Buyback Ratio %
--
--
--
--
--
-9.52
-8.38
-10.93
-0.72
--
--
--
--
0.57
0.17
Buyback Yield %
--
244
29.49
-22.54
31.08
-76.01
21.37
41.26
14.26
2.97
34.65
-5.35
-37.12
-3.62
6.17
YoY Rev. per Sh. Growth
--
44.71
154
-36.88
47.25
-99.46
7000
43.66
-61.76
292
12.42
-1.74
-5.92
-25.79
85
YoY EPS Growth
--
236
46.27
-18.46
32.24
-79.75
48.83
59.11
-43.64
126
14.52
10.84
-32.98
-17.38
43.73
YoY EBITDA Growth
--
--
--
--
--
--
--
--
--
-2.27
14.88
20.59
15.49
1.22
5.7
5-Year EBITDA Growth Rate
67.82
53.22
36.38
51.04
51.04
219
219
219
219
219
219
219
416
436
412
Shares Outstanding (Basic Average)
67.82
53.22
36.37
51.04
51.04
219
219
219
219
219
219
219
444
414
408
Shares Outstanding (EOP)
--
--
--
--
--
--
--
--
1.36
1.98
1.95
1.17
0.95
4.22
4.65
Beta
03/11/10
02/24/11
03/11/10
02/24/11
12/10/12
03/28/13
02/28/14
02/26/15
02/25/16
02/23/17
02/16/18
02/20/19
02/27/20
02/26/21
  Filing Date
03/11/10
02/24/11
12/10/12
03/28/13
02/28/14
02/26/15
02/25/16
02/23/17
02/16/18
02/20/19
02/27/20
02/26/21
02/26/21
02/26/21
  Restated Filing Date
02/16/18
02/15/19
02/28/20
02/26/21
  Earnings Release Date
--
--
--
--
--
2
5
4
3
3
4
7
23
23
23
Number of Shareholders
--
--
--
--
--
--
--
--
--
--
--
--
--
1045
1045
Number of Employees
* All financial numbers are in millions except for per share data, ratios and percentage change.
GuruFocus Manual of Stocks™  |  Jan 23, 2022
Western Midstream Partners LP (NYSE:WES)
www.gurufocus.com/stock/NYSE:WES

Explanation

1. Predictability Rank

GuruFocus Predictability Rank is a proprietary ranking of the consistency of a business. We rank the predictability of companies based on the consistency of their revenue per share and EBITDA (earnings before interest, tax, depreciation and amortization) per share over the past 10 fiscal years. Our study found that there is a strong correlation between the stock performance and the predictability of a business. Over the long term, companies with higher predictability also have better stock performance.

The rank is from 1-star to 5-star, with 5-star as the best.

2. Financial Strength

GuruFocus Financial Strength Rank measures how strong a company's financial situation is. It is based on these factors:

  1. The debt burden that the company has as measured by its Interest Coverage (current year). The higher, the better.
  2. Debt to revenue ratio. The lower, the better.
  3. Altman Z-Score.

The rank is from 1 to 10, with 10 as the highest.

A Financial Strength rank of 8 or above indicates good financial strength; between 4-7 indicates fair financial strength; 3 or below means poor financial strength.

3. Profitability Rank

GuruFocus Profitability Rank indicates how profitable a company is and how likely it is that the company's business will stay that way. It is based on these factors:

  1. Operating Margin %.
  2. Piotroski F-Score.
  3. Trend of the Operating Margin percentage (five-year average). A company with an uptrend in profit margin will have a higher rank.
  4. Consistency of the profitability.
  5. Predictability Rank.

The rank is from 1 to 10, with 10 as the highest.

A Profitability Rank of 8 or above indicates good profitability; between 4-7 indicates fair profitability; 3 or below means poor profitability.

4. Peter Lynch Chart

In Peter Lynch's excellent book, "One Up on Wall Street," he used many charts to illustrate the valuation of stocks. “A quick way to tell if a stock is overpriced is to compare the price line to the earnings line. If you bought familiar growth companies – such as Shoney’s, The Limited, or Marriott – when the stock price fell well below the earnings line, and sold them when the stock price rose dramatically above it, the chances are you’d do pretty well.”

The original Peter Lynch Chart does have limitations due to the right side price scale is pre-set at 15 times the earnings scale on the left side. When the stock price and earnings line coincide, the price-to-earnings ratio is always 15 times. Instead of using the fixed PE Ratio of 15, our approach is using 15-year historical median PE without NRI Ratio for each stock.

The Peter Lynch Chart with earnings line at median PE without NRI ratio works well for the companies with steady growth and earnings trends, or the stalwarts, as coined by Lynch. These companies tend to be found in sectors such as consumer staples, healthcare, and utilities, where the consumption of the product or service is relatively independent of economic conditions. It does not work well with the sectors that are cyclical: industrials, chemicals, durable goods, and so forth.

5. GF Value

Based on the relationship between the current stock price and the GF Value, GuruFocus provides the following 6 evaluations:

  1. Possible Value Trap, Think Twice
  2. Significantly Overvalued
  3. Modestly Overvalued
  4. Fairly Valued
  5. Modestly Undervalued
  6. Significantly Undervalued
There is only a sufficient margin of safety when the stock is undervalued.

Disclaimer

GuruFocus.com is not operated by a broker, a dealer, or a registered investment adviser. Under no circumstances does any information posted on GuruFocus.com represent a recommendation to buy or sell a security. The information on this site, and in its related newsletters, is not intended to be, nor does it constitute, investment advice or recommendations. The gurus may buy and sell securities before and after any particular article and report and information herein is published, with respect to the securities discussed in any article and report posted herein. In no event shall GuruFocus.com be liable to any member, guest or third party for any damages of any kind arising out of the use of any content or other material published or available on GuruFocus.com, or relating to the use of, or inability to use, GuruFocus.com or any content, including, without limitation, any investment losses, lost profits, lost opportunity, special, incidental, indirect, consequential or punitive damages. Past performance is a poor indicator of future performance. The information on this site, and in its related newsletters, is not intended to be, nor does it constitute, investment advice or recommendations. The information on this site is in no way guaranteed for completeness, accuracy or in any other way. The gurus listed in this website are not affiliated with GuruFocus.com, LLC. Stock quotes provided by InterActive Data. Fundamental company data provided by Morningstar, updated daily.