Analysts are weighing in on how Plains GP Holdings LP (NYSE:PAGP) , might perform in the near term. Wall Street analysts have a much less favorable assessment of the stock, with a mean rating of 2.6. The stock is rated as buy by 3 analysts, with 4 outperform and 17 hold rating. The rating score is on a scale of 1 to 5 where 1 stands for strong buy and 5 stands for strong sell.
For the current quarter, the 13.00 analysts offering adjusted EPS forecast have a consensus estimate of $0.19 a share, which would compare with $0.14 in the same quarter last year. They have a high estimate of $0.72 and a low estimate of $0.02. Revenue for the period is expected to total nearly $4.76B from $6.66B the year-ago period.
For the full year, 11.00 Wall Street analysts forecast this company would deliver earnings of 0.74 per share, with a high estimate of $1.30 and a low estimate of $0.47. It had reported earnings per share of $0.53 in the corresponding quarter of the previous year. Revenue for the period is expected to total nearly $20.18B versus 23.15B in the preceding year.
The analysts project the company to maintain annual growth of around 60.72% percent over the next five years as compared to an average growth rate of 8.52% percent expected for its competitors in the same industry.
Among the 22 analysts Data provided by Thomson/First Call tracks, the 12-month average price target for PAGP is $10.41 but some analysts are projecting the price to go as high as $17.00. If the optimistic analysts are correct, that represents a 54 percent upside potential from the recent closing price of $11.03. Some sell-side analysts, particularly the bearish ones, have called for $5.00 price targets on shares of Plains GP Holdings LP (NYSE:PAGP) .
In the last reported results, the company reported earnings of $0.14 per share, while analysts were calling for share earnings of $0.14. It was an earnings surprise of 0.00%percent. In the matter of earnings surprises, the term Cockroach Effect is often implied. Cockroach Effect is a market theory that suggests that when a company reveals bad news to the public, there may be many more related negative events that have yet to be revealed. In the case of earnings surprises, if a company is suggesting a negative earnings surprise it means there are more to come.
Plains GP Holdings, L.P. together with its subsidiaries, owns and operates midstream energy infrastructure in the United States and Canada. It operates through three segments: Transportation, Facilities, and Supply and Logistics. The Transportation segment engages in the transportation of crude oil and NGL on pipelines, gathering systems, trucks, and barges. As of December 31, 2015, this segment owned and leased assets comprising 18,100 miles of active crude oil and NGL pipelines and gathering systems; 30 million barrels of active, above-ground tank capacity; 830 trailers; 142 transport and storage barges; and 64 transport tugs. The Facilities segment is involved in the provision of storage, terminalling, and throughput services for crude oil, refined products, NGL, and natural gas; NGL fractionation and isomerization services; and natural gas and condensate processing services. As of December 31, 2015, this segment owned and operated approximately 80 million barrels of crude oil and refined products storage capacity; 25 million barrels of NGL storage capacity; 97 billion cubic feet of natural gas storage working capacity; 31 billion cubic feet of base gas; 10 natural gas processing plants; a condensate processing facility; 7 fractionation plants; 23 crude oil and NGL rail terminals; 6 marine facilities; and 1,100 miles of active pipelines. The Supply and Logistics segment engages in merchant-related activities, including purchase of crude oil, cargos, and NGL; storage of inventory, and NGL and natural gas; and resale or exchange, and transport of crude oil and NGL. As of December 31, 2015, it owned 13 million barrels of crude oil and NGL line fill; 990 trucks and 1,100 trailers; and 10,100 crude oil and NGL railcars. The company offers logistics services for crude oil, natural gas liquids, natural gas, and refined products. PAA GP Holdings LLC operates as a general partner of the company. Plains GP Holdings, L.P. was founded in 2013 and is based in Houston, Texas.