DT Midstream (NYSE:DTM) Hits New 1-Year High on Better-Than-Expected Earnings

Key Points

• Shares of DT Midstream hit a new 52-week high after reporting quarterly EPS of $1.27, beating the consensus $1.12, and the company set FY 2026 guidance of 4.420–4.820 EPS.
• DT Midstream raised its quarterly dividend to $0.88 (from $0.82), representing a $3.52 annualized payout with a ~2.4% yield and an ~81.7% payout ratio.
• Analysts have lifted price targets following the results but maintain mixed views: the consensus rating is Hold with an average target of $144.91 (ratings: 6 Buy, 5 Hold, 1 Sell).

Shares of DT Midstream, Inc. (NYSE:DTM - Get Free Report) reached a new 52-week high during mid-day trading on Thursday following a better than expected earnings announcement. The stock traded as high as $148.77 and last traded at $148.4170, with a volume of 517859 shares changing hands. The stock had previously closed at $138.79.

The company reported $1.27 earnings per share (EPS) for the quarter, topping the consensus estimate of $1.12 by $0.15. DT Midstream had a net margin of 35.48% and a return on equity of 9.13%. During the same period in the previous year, the firm earned $1.06 EPS. DT Midstream has set its FY 2026 guidance at 4.420-4.820 EPS.

DT Midstream Increases Dividend

The company also recently announced a quarterly dividend, which was paid on Wednesday, April 15th. Stockholders of record on Monday, March 16th were given a dividend of $0.88 per share. The ex-dividend date of this dividend was Monday, March 16th. This is an increase from DT Midstream's previous quarterly dividend of $0.82. This represents a $3.52 dividend on an annualized basis and a dividend yield of 2.4%. DT Midstream's dividend payout ratio is presently 81.67%.

Wall Street Analyst Weigh In

DTM has been the subject of a number of research analyst reports. JPMorgan Chase & Co. lifted their price target on shares of DT Midstream from $126.00 to $142.00 and gave the stock a "neutral" rating in a research note on Thursday, March 5th. Morgan Stanley upgraded shares of DT Midstream from an "underweight" rating to an "equal weight" rating and lifted their price target for the stock from $139.00 to $165.00 in a research note on Wednesday, April 22nd. Barclays boosted their target price on shares of DT Midstream from $119.00 to $141.00 and gave the company an "equal weight" rating in a research note on Thursday, March 5th. The Goldman Sachs Group boosted their target price on shares of DT Midstream from $111.00 to $127.00 and gave the company a "sell" rating in a research note on Monday, April 20th. Finally, UBS Group boosted their price target on shares of DT Midstream from $128.00 to $152.00 and gave the company a "buy" rating in a report on Friday, February 20th. Six analysts have rated the stock with a Buy rating, five have issued a Hold rating and one has issued a Sell rating to the company's stock. According to data from MarketBeat.com, the company has an average rating of "Hold" and a consensus target price of $144.91.

Insider Transactions at DT Midstream

In other DT Midstream news, CFO Jeffrey A. Jewell bought 185 shares of the company's stock in a transaction dated Wednesday, February 25th. The shares were bought at an average price of $136.33 per share, for a total transaction of $25,221.05. Following the acquisition, the chief financial officer directly owned 89,583 shares of the company's stock, valued at approximately $12,212,850.39. This trade represents a 0.21% increase in their ownership of the stock. The acquisition was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. Insiders own 0.54% of the company's stock.

Hedge Funds Weigh In On DT Midstream

Hedge funds have recently added to or reduced their stakes in the company. Nordea Investment Management AB bought a new stake in DT Midstream during the fourth quarter worth approximately $1,371,000. JPMorgan Chase & Co. raised its stake in shares of DT Midstream by 7.8% in the third quarter. JPMorgan Chase & Co. now owns 871,636 shares of the company's stock valued at $98,538,000 after purchasing an additional 63,438 shares in the last quarter. Miller Howard Investments Inc. NY raised its stake in shares of DT Midstream by 24.9% in the third quarter. Miller Howard Investments Inc. NY now owns 210,411 shares of the company's stock valued at $23,789,000 after purchasing an additional 41,929 shares in the last quarter. Principal Financial Group Inc. raised its stake in DT Midstream by 76.7% during the third quarter. Principal Financial Group Inc. now owns 500,329 shares of the company's stock worth $56,568,000 after acquiring an additional 217,185 shares in the last quarter. Finally, Bahl & Gaynor Inc. raised its stake in DT Midstream by 2.5% during the third quarter. Bahl & Gaynor Inc. now owns 568,445 shares of the company's stock worth $64,268,000 after acquiring an additional 14,127 shares in the last quarter. Institutional investors and hedge funds own 81.53% of the company's stock.

DT Midstream Stock Up 6.9%

The company has a debt-to-equity ratio of 0.68, a current ratio of 1.07 and a quick ratio of 1.07. The firm has a 50 day simple moving average of $136.04 and a 200-day simple moving average of $124.70. The stock has a market capitalization of $15.14 billion, a price-to-earnings ratio of 34.43, a price-to-earnings-growth ratio of 2.80 and a beta of 0.75.

DT Midstream Company Profile

DT Midstream Inc NYSE: DTM is a midstream energy company that owns and operates infrastructure for gathering, processing and treating hydrocarbons and produced water. Its core business activities encompass natural gas gathering, cryogenic processing, natural gas liquids (NGL) fractionation, and produced-water handling services. These integrated operations enable the company to capture and transport multiple hydrocarbon streams from wellhead to market and to provide essential water management solutions.

The company’s asset footprint is concentrated in the Delaware Basin in West Texas and southeastern New Mexico, where it serves a diverse range of exploration and production customers.

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