Hess Midstream Partners (NYSE:HESM) Sets New 52-Week High After Earnings Beat

Key Points

• Hess Midstream Partners hit a new 52-week high of $44.14 after reporting better-than-expected quarterly earnings, with EPS of $0.74 beating estimates by $0.18.
• The company also announced a quarterly dividend increase to $0.737 per share, corresponding to an annualized yield of 6.73%.
• Analysts have a consensus rating of "Moderate Buy" for Hess Midstream Partners, with a price target averaging $45.60.

Hess Midstream Partners LP (NYSE:HESM - Get Free Report) shares reached a new 52-week high on Thursday following a better than expected earnings announcement. The stock traded as high as $44.14 and last traded at $43.80, with a volume of 1294634 shares trading hands. The stock had previously closed at $42.68.

The company reported $0.74 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $0.56 by $0.18. Hess Midstream Partners had a net margin of 18.52% and a return on equity of 61.46%. The company had revenue of $414.20 million during the quarter, compared to the consensus estimate of $405.08 million. During the same period in the previous year, the firm posted $0.59 earnings per share. The firm's quarterly revenue was up 13.3% on a year-over-year basis.

Hess Midstream Partners Increases Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Thursday, August 14th. Shareholders of record on Thursday, August 7th will be issued a $0.737 dividend. The ex-dividend date of this dividend is Thursday, August 7th. This is a positive change from Hess Midstream Partners's previous quarterly dividend of $0.71. This represents a $2.95 dividend on an annualized basis and a yield of 6.8%. Hess Midstream Partners's dividend payout ratio is presently 108.89%.

Analyst Upgrades and Downgrades

A number of research analysts have weighed in on the stock. Morgan Stanley assumed coverage on shares of Hess Midstream Partners in a report on Friday, July 25th. They issued an "equal weight" rating and a $48.00 price objective for the company. Wall Street Zen raised shares of Hess Midstream Partners from a "hold" rating to a "buy" rating in a report on Saturday. Finally, Wells Fargo & Company lifted their price objective on shares of Hess Midstream Partners from $47.00 to $48.00 and gave the company an "overweight" rating in a report on Friday. Two investment analysts have rated the stock with a hold rating and four have issued a buy rating to the stock. According to MarketBeat.com, the company presently has an average rating of "Moderate Buy" and an average target price of $45.80.

Insider Transactions at Hess Midstream Partners

In other news, Director Geurt G. Schoonman sold 3,249 shares of the business's stock in a transaction dated Monday, June 9th. The shares were sold at an average price of $39.10, for a total transaction of $127,035.90. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through this link. Also, major shareholder Blackrock Portfolio Management sold 15,022,517 shares of the business's stock in a transaction dated Friday, May 30th. The stock was sold at an average price of $36.86, for a total transaction of $553,729,976.62. The disclosure for this sale can be found here.

Institutional Trading of Hess Midstream Partners

Institutional investors and hedge funds have recently modified their holdings of the stock. Thurston Springer Miller Herd & Titak Inc. purchased a new stake in shares of Hess Midstream Partners during the second quarter worth about $25,000. Caitong International Asset Management Co. Ltd purchased a new stake in Hess Midstream Partners during the 1st quarter valued at about $31,000. Farther Finance Advisors LLC grew its stake in Hess Midstream Partners by 840.2% during the 1st quarter. Farther Finance Advisors LLC now owns 1,053 shares of the company's stock valued at $45,000 after acquiring an additional 941 shares in the last quarter. Ameritas Advisory Services LLC purchased a new stake in Hess Midstream Partners during the 2nd quarter valued at about $50,000. Finally, FSC Wealth Advisors LLC purchased a new stake in Hess Midstream Partners during the 1st quarter valued at about $58,000. Hedge funds and other institutional investors own 98.97% of the company's stock.

Hess Midstream Partners Stock Performance

The company has a market cap of $9.33 billion, a PE ratio of 16.02 and a beta of 0.67. The company has a debt-to-equity ratio of 6.92, a quick ratio of 0.81 and a current ratio of 0.81. The firm's 50 day moving average is $38.89 and its 200-day moving average is $39.41.

About Hess Midstream Partners

Hess Midstream LP owns, develops, operates, and acquires midstream assets and provide fee-based services to Hess and third-party customers in the United States. It operates through three segments: Gathering; Processing and Storage; and Terminaling and Export. The Gathering segment owns natural gas gathering and compression systems; crude oil gathering systems; and produced water gathering and disposal facilities.