Western Midstream Partners, LP (WES)

In the past six months, Western Midstream Partners' stock has been influenced by strong first-quarter 2026 results, an upgrade from Stifel, and the acquisition of Brazos Delaware II. Conversely, the company's fourth-quarter 2025 earnings missed analyst expectations, causing the stock to decline.

While a substantial majority of Western Midstream Partners' cash flows are protected from direct exposure to commodity price volatility through fee-based contracts, the company's throughput volumes can experience sequential fluctuations. Quarterly variations suggest that while the fee-based model provides stability, underlying demand dynamics and operational factors can lead to quarter-to-quarter variability in the volumes of products and services handled.

Western Midstream Partners LP (WES) is a master limited partnership that specializes in gathering, compression, treating, processing, and transportation of natural gas, natural gas liquids (NGLs), and crude oil. The company also handles produced water for its customers and plays a crucial role in the oil and gas industry by connecting wellhead production to market.

Western Midstream Partners' core assets are strategically located in key producing basins across the United States, including the Delaware Basin in West Texas and New Mexico, the DJ Basin in northeastern Colorado, and the Powder River Basin in Northeast Wyoming. The company also holds additional assets and investments in South Texas, Utah, and Southwest Wyoming.

Western Midstream Partners has faced challenges regarding its brand reputation, particularly concerning its ESG performance. Ethos ESG rated Western Midstream Partners as a "poor overall performer" with an 'F' rating, indicating a negative perception of its impact in key areas such as Sustainable Use of Water, Fair Labor Practices, and Sustainable Use of Natural Resources.

Occidental Petroleum Corporation is a primary owner of Western Midstream Partners, holding a significant stake of 38.2% of the company's common units and controlling the general partner. Major institutional owners of WES include Alps Advisors Inc, Invesco Ltd., Blackstone Group Inc, Goldman Sachs Group Inc, Tortoise Capital Advisors, L.l.c., MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd., Neuberger Berman Group LLC, Chickasaw Capital Management Llc, Morgan Stanley, and Kayne Anderson Capital Advisors Lp.