GET DAILY SIGNALSWestern Midstream Partners (WES) Units Decline -12.6% Over 30 Days: What the Numbers Show
Key Takeaways
- Western Midstream Partners (WES) units fell roughly 12.6% over the trailing 30 days, from $45.62 on October 9, 2026, to $39.85 on November 6, 2026.
- The decline accelerated after third-quarter results, with the units dropping about 6.3% in a single session as adjusted earnings per unit came in below consensus estimates.
- Third-quarter adjusted EBITDA rose 12% year over year to $708 million, but declined sequentially on West Texas contract-mix dynamics and lower DJ Basin throughput.
- Management raised full-year 2026 guidance at the midpoint for adjusted EBITDA, distributable cash flow, and free cash flow, while signaling slightly lower per-unit margins in 2027.
- The partnership held its $0.93 quarterly distribution, implying an approximate 8%–9% annualized yield, even as free cash flow after distributions turned negative in the quarter.
- For additional context, review WES's Price Targets, Earnings, and Forecast pages for analyst estimates and projections.
- Explore Trending AI Robots to review curated AI trading strategies across thousands of tickers.
Company Overview and Market Position
Western Midstream Partners, LP is a master limited partnership that develops, acquires, owns, and operates midstream energy infrastructure across Texas, New Mexico, Colorado, Utah, and Wyoming. The partnership gathers, compresses, treats, processes, and transports natural gas; gathers, stabilizes, and transports condensate, natural gas liquids (NGLs), and crude oil; and gathers, treats, recycles, and disposes of produced water. Its core assets serve the Delaware Basin in West Texas and New Mexico, the DJ Basin in northeastern Colorado, and the Powder River Basin in Wyoming. A substantial majority of WES cash flows are protected from direct commodity-price volatility through fee-based contracts, and a significant customer relationship is maintained with Occidental (OXY). Investors follow the stock for its high distribution yield, stable fee-based cash flows, and exposure to Permian Basin natural gas and produced-water growth.
Stock Price Performance Over the Last 30 Days and Quarter
Over the trailing 30 days, WES declined approximately 12.6%, moving from a closing price of $45.62 on October 9, 2026, to $39.85 on November 6, 2026. The decline was concentrated in the first week of November, when the units fell about 3.0% and 6.3% on consecutive sessions following the release of third-quarter results. The move brought the units near the lower end of their recent trading range. I also checked this using Tickeron’s AI Screener to see how the stock compares to others in the industry.
The quarterly trend reflects a similar pattern. Measured over the prior three months, the units fell roughly 12.8%, from about $45.69 in early August to the early-November close. This indicates that the recent pullback extended a broader multi-month downtrend, despite strong operational performance and an upward revision to full-year financial guidance.
What Drove the Recent Price Action
The primary catalyst was Western Midstream's third-quarter 2026 earnings release on November 4, followed by its conference call on November 5. While adjusted EBITDA of $708 million increased 12% year over year and reached a record on several throughput metrics, results were weighed down by a sequential decline driven by contract-mix and pricing dynamics in West Texas, lower DJ Basin throughput, reduced excess NGL and skim oil volumes, and seasonally higher operating and maintenance expense.
Investors reacted to adjusted earnings per unit coming in below consensus, as well as management's disclosure that full-year 2026 capital expenditures would run slightly above the high end of the previously guided $850 million to $1 billion range. Free cash flow after distributions was negative in the quarter, reflecting elevated growth investment. Guidance for 2027 also pointed to slightly lower per-unit adjusted gross margins for natural gas and crude oil and NGL assets due to shifting contract mix. A broader energy-sector selloff, with oil prices easing toward two-month lows and an AI-led equity rout pressuring the sector, compounded the decline in the units.
Drivers Behind Quarterly Performance
Over the trailing quarter, WES combined robust operational execution with factors that pressured unit performance. The partnership closed the Brazos Delaware acquisition in June, adding natural gas gathering and processing capacity in the Delaware Basin, and took a 7.5% stake in the Solitude pipeline system, securing long-term Permian-to-Gulf Coast natural gas takeaway capacity. Delaware natural gas throughput rose 20% sequentially to a record 2.56 billion cubic feet per day, and produced-water throughput reached a record of roughly 3 million barrels per day.
Despite these growth milestones, the units trended lower as investors weighed several considerations: ongoing volume declines and regulatory challenges in the DJ Basin, elevated capital expenditures that constrained free cash flow, and a 2027 outlook that assumes modest per-unit margin compression. The late-quarter pullback in crude prices and broader energy-sector weakness further dampened sentiment, overshadowing the partnership's raised 2026 guidance and its consistent quarterly distribution. From what I see, this mix of operational strength and investor caution is worth monitoring closely.
Key Factors to Watch Going Forward
Investors monitoring WES should watch several factors in the months ahead. The start-up of the Pathfinder produced-water pipeline is targeted for late 2026, and the North Loving II natural gas processing train is scheduled to begin operations near the end of the first quarter of 2027. Management has also ordered long-lead equipment for an additional processing plant, with a final investment decision expected in early 2027. These projects, along with the integration of the Brazos assets and the Solitude pipeline stake, will shape throughput growth and capital allocation.
Key risks include continued DJ Basin volume declines, Colorado regulatory developments, and the potential for further margin compression tied to contract mix. Macroeconomic factors such as crude oil and NGL prices, broader energy-sector sentiment, and interest-rate conditions will also influence the units. Distribution policy, including any board decision on distribution growth, and the partnership's ability to rebuild positive free cash flow after distributions, remain central to the investment case.
Using Tickeron AI Tools in My Analysis
In my own research process, I frequently reference Tickeron’s AI Trading Bots to compare automated strategies across energy names like WES. The Trending AI Robots page provides a curated view of top-performing bots, helping me assess how systematic approaches align with current market conditions without needing to build models from scratch. It offers a practical way to explore data-driven ideas alongside traditional fundamental review.
Disclaimer
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Contributor
Sergey Savastiouk, Ph.D. has a degree in Applied Mathematics from Moscow University and has extensive experience as an entrepreneur, investor, manager, and mathematician. His professional expertise is in applied mathematics, mathematical modeling, system and pattern analysis, and software and hardware system integration. He has served as the CEO of several hi-tech start-up companies and nonprofit organizations, which has given him proven capabilities in business strategy for high-tech start-up companies, market assessment, company formation, team building, product development, marketing, and sales. He has published numerous articles in journals and magazines on related fields. As a retail investor, he spent 15 years developing his proprietary trading and quantitative algorithms (now Tickeron’s A.I.), which brought him significant returns in trading the stock market. His current work and goal in founding Tickeron is to bring professional, sophisticated stock market analysis capabilities to retail investors via an easy-to-use interface.
Momentum Indicator for WES turns negative, indicating new downward trend
WES saw its Momentum Indicator move below the 0 level on November 04, 2026. This is an indication that the stock could be shifting in to a new downward move. Traders may want to consider selling the stock or exploring put options. Tickeron's A.I.dvisor looked at 102 similar instances where the indicator turned negative. In 44 of the 102 cases, the stock moved further down in the following days. The odds of a decline are at 43%.
Technical Analysis (Indicators)
Bearish Trend Analysis
The Moving Average Convergence Divergence Histogram (MACD) for WES turned negative on November 05, 2026. This could be a sign that the stock is set to turn lower in the coming weeks. Traders may want to sell the stock or buy put options. Tickeron's A.I.dvisor looked at 55 similar instances when the indicator turned negative. In 22 of the 55 cases the stock turned lower in the days that followed. This puts the odds of success at 40%.
Following a 3-day decline, the stock is projected to fall further. Considering past instances where WES declined for three days, the price rose further in 50 of 62 cases within the following month. The odds of a continued downward trend are 41%.
The Aroon Indicator for WES entered a downward trend on October 28, 2026. This could indicate a strong downward move is ahead for the stock. Traders may want to consider selling the stock or buying put options.
Bullish Trend Analysis
The RSI Indicator demonstrates that the ticker has stayed in the oversold zone for 1 day, which means it's wise to expect a price bounce in the near future.
The Stochastic Oscillator demonstrated that the ticker has stayed in the oversold zone for 1 day, which means it's wise to expect a price bounce in the near future.
Following a +3.02% 3-day Advance, the price is estimated to grow further. Considering data from situations where WES advanced for three days, in 223 of 345 cases, the price rose further within the following month. The odds of a continued upward trend are 65%.
WES may jump back above the lower band and head toward the middle band. Traders may consider buying the stock or exploring call options.
Fundamental Analysis (Ratings)
The Tickeron Profit vs. Risk Rating rating for this company is 7 (best 1 - 100 worst), indicating low risk on high returns. The average Profit vs. Risk Rating rating for the industry is 45, placing this stock better than average.
The Tickeron SMR rating for this company is 31 (best 1 - 100 worst), indicating very strong sales and a profitable business model. SMR (Sales, Margin, Return on Equity) rating is based on comparative analysis of weighted Sales, Income Margin and Return on Equity values compared against S&P 500 index constituents. The weighted SMR value is a proprietary formula developed by Tickeron and represents an overall profitability measure for a stock.
The Tickeron PE Growth Rating for this company is 33 (best 1 - 100 worst), pointing to outstanding earnings growth. The PE Growth rating is based on a comparative analysis of stock PE ratio increase over the last 12 months compared against S&P 500 index constituents.
The Tickeron Valuation Rating of 60 (best 1 - 100 worst) indicates that the company is fair valued in the industry. This rating compares market capitalization estimated by our proprietary formula with the current market capitalization. This rating is based on the following metrics, as compared to industry averages: P/B Ratio (3.867) is normal, around the industry mean (147.140). P/E Ratio (12.571) is within average values for comparable stocks, (6.511). Projected Growth (PEG Ratio) (0.070) is also within normal values, averaging (13.660). Dividend Yield (0.093) settles around the average of (15719315456.000) among similar stocks. P/S Ratio (4.294) is also within normal values, averaging (4.657).
The Tickeron Price Growth Rating for this company is 60 (best 1 - 100 worst), indicating fairly steady price growth. WES’s price grows at a lower rate over the last 12 months as compared to S&P 500 index constituents.
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General Information
a company that acquires and develops midstream energy assets
Industry OilGasPipelines
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