Hess Midstream Partners (NYSE:HESM) Shares Gap Down - Here's What Happened

Key Points

• Hess Midstream Partners' share price gapped down significantly, opening at $35.85 after closing at $39.48.
• Analysts have mixed ratings on the stock, with targets ranging from $41 to $48 and a consensus rating of "Hold."
• The company recently increased its quarterly dividend to $0.737, representing an 8.2% yield, despite a high dividend payout ratio of 108.89%.

Hess Midstream Partners LP (NYSE:HESM - Get Free Report)'s share price gapped down prior to trading on Friday . The stock had previously closed at $39.48, but opened at $35.85. Hess Midstream Partners shares last traded at $35.82, with a volume of 1,344,166 shares.

Wall Street Analysts Forecast Growth

HESM has been the topic of a number of recent research reports. JPMorgan Chase & Co. raised their target price on Hess Midstream Partners from $44.00 to $46.00 and gave the stock a "neutral" rating in a report on Friday, August 22nd. Wall Street Zen raised Hess Midstream Partners from a "hold" rating to a "buy" rating in a report on Saturday, August 2nd. Morgan Stanley initiated coverage on Hess Midstream Partners in a report on Friday, July 25th. They issued an "equal weight" rating and a $48.00 target price on the stock. UBS Group reaffirmed a "neutral" rating and issued a $43.00 target price (down from $45.00) on shares of Hess Midstream Partners in a report on Wednesday, September 10th. Finally, Citigroup reaffirmed a "neutral" rating and issued a $41.00 target price (down from $42.00) on shares of Hess Midstream Partners in a report on Thursday, September 11th. One equities research analyst has rated the stock with a Buy rating, four have assigned a Hold rating and one has given a Sell rating to the stock. According to data from MarketBeat, the company presently has a consensus rating of "Hold" and a consensus price target of $43.67.

Hess Midstream Partners Trading Down 9.2%

The company has a market cap of $7.53 billion, a PE ratio of 13.30 and a beta of 0.68. The company has a debt-to-equity ratio of 7.26, a current ratio of 0.71 and a quick ratio of 0.71. The company has a 50-day moving average of $40.66 and a 200 day moving average of $39.47.

Hess Midstream Partners (NYSE:HESM - Get Free Report) last released its quarterly earnings results on Wednesday, July 30th. The company reported $0.74 EPS for the quarter, topping the consensus estimate of $0.56 by $0.18. The company had revenue of $414.20 million during the quarter, compared to analyst estimates of $405.08 million. Hess Midstream Partners had a return on equity of 60.37% and a net margin of 18.52%.The firm's revenue was up 13.3% on a year-over-year basis. During the same quarter last year, the business posted $0.59 earnings per share. Analysts predict that Hess Midstream Partners LP will post 2.5 earnings per share for the current year.

Hess Midstream Partners Increases Dividend

The business also recently declared a quarterly dividend, which was paid on Thursday, August 14th. Investors of record on Thursday, August 7th were given a $0.737 dividend. This is an increase from Hess Midstream Partners's previous quarterly dividend of $0.71. This represents a $2.95 annualized dividend and a yield of 8.2%. The ex-dividend date was Thursday, August 7th. Hess Midstream Partners's dividend payout ratio (DPR) is 108.89%.

Insider Buying and Selling

In related news, COO John A. Gatling sold 62,457 shares of Hess Midstream Partners stock in a transaction dated Tuesday, August 12th. The stock was sold at an average price of $41.59, for a total value of $2,597,586.63. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link.

Institutional Inflows and Outflows

Several large investors have recently modified their holdings of HESM. Thurston Springer Miller Herd & Titak Inc. purchased a new position in shares of Hess Midstream Partners during the second quarter valued at approximately $25,000. Caitong International Asset Management Co. Ltd purchased a new position in shares of Hess Midstream Partners during the first quarter valued at approximately $31,000. Farther Finance Advisors LLC boosted its position in shares of Hess Midstream Partners by 840.2% during the first quarter. Farther Finance Advisors LLC now owns 1,053 shares of the company's stock valued at $45,000 after buying an additional 941 shares during the period. Ameritas Advisory Services LLC purchased a new position in shares of Hess Midstream Partners during the second quarter valued at approximately $50,000. Finally, FSC Wealth Advisors LLC purchased a new position in shares of Hess Midstream Partners during the first quarter valued at approximately $58,000. Hedge funds and other institutional investors own 98.97% of the company's stock.

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.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest and most accurate reporting. This story was reviewed by MarketBeat's editorial team prior to publication. Please send any questions or comments about this story to contact@marketbeat.com.