Plains All American Pipeline Lp (NASDAQ:PAA) Given Average Recommendation of "Hold" by Brokerages

Key Points

• Analyst sentiment is mixed but leans cautious: Plains All American Pipeline has a consensus rating of “Hold” from 18 analysts, with an average 12-month price target of about $22.93. Recent updates included higher targets from Barclays and Mizuho, while UBS reiterated a buy rating.
• Recent results were slightly below expectations: The company reported $0.39 EPS for the quarter, missing the $0.41 consensus estimate, though revenue rose 8.7% year over year to $12.47 billion.
• Dividend remains a major draw: Plains announced a quarterly dividend of $0.4175 per share, or $1.67 annually, which implies a 7.2% yield. The payout ratio is high at 127.48%, which may be a point of concern.

Shares of Plains All American Pipeline Lp (NASDAQ:PAA - Get Free Report) have received a consensus rating of "Hold" from the eighteen research firms that are covering the stock, Marketbeat.com reports. Two equities research analysts have rated the stock with a sell rating, eight have assigned a hold rating, six have issued a buy rating and two have given a strong buy rating to the company. The average twelve-month price target among analysts that have covered the stock in the last year is $22.9286.

A number of analysts have recently weighed in on PAA shares. Barclays upped their price target on shares of Plains All American Pipeline from $18.00 to $21.00 and gave the stock an "underweight" rating in a research note on Friday, April 10th. Mizuho boosted their target price on Plains All American Pipeline from $25.00 to $27.00 and gave the stock an "outperform" rating in a report on Monday, June 8th. UBS Group restated a "buy" rating on shares of Plains All American Pipeline in a research report on Tuesday, June 16th. US Capital Advisors lowered Plains All American Pipeline from a "strong-buy" rating to a "moderate buy" rating in a research note on Friday, May 29th. Finally, Truist Financial assumed coverage on Plains All American Pipeline in a research report on Tuesday, March 24th. They set a "buy" rating and a $23.00 price target on the stock.

Plains All American Pipeline Price Performance

Shares of NASDAQ PAA opened at $23.13 on Thursday. Plains All American Pipeline has a fifty-two week low of $15.69 and a fifty-two week high of $24.26. The firm's 50-day simple moving average is $22.50 and its 200 day simple moving average is $21.08. The company has a quick ratio of 0.88, a current ratio of 0.94 and a debt-to-equity ratio of 1.02. The stock has a market cap of $16.32 billion, a P/E ratio of 17.66, a P/E/G ratio of 10.40 and a beta of 0.50.

Plains All American Pipeline (NASDAQ:PAA - Get Free Report) last announced its earnings results on Friday, May 8th. The company reported $0.39 earnings per share (EPS) for the quarter, missing analysts' consensus estimates of $0.41 by ($0.02). The company had revenue of $12.47 billion during the quarter. Plains All American Pipeline had a net margin of 2.53% and a return on equity of 12.17%. The firm's quarterly revenue was up 8.7% compared to the same quarter last year. During the same period in the previous year, the company earned $0.39 EPS. Equities analysts expect that Plains All American Pipeline will post 1.56 EPS for the current year.

Plains All American Pipeline Dividend Announcement

The company also recently announced a quarterly dividend, which will be paid on Friday, August 14th. Investors of record on Friday, July 31st will be paid a dividend of $0.4175 per share. The ex-dividend date of this dividend is Friday, July 31st. This represents a $1.67 annualized dividend and a yield of 7.2%. Plains All American Pipeline's dividend payout ratio (DPR) is currently 127.48%.

Institutional Investors Weigh In On Plains All American Pipeline

Hedge funds and other institutional investors have recently bought and sold shares of the business. Financial Life Planners acquired a new stake in Plains All American Pipeline in the 1st quarter valued at about $27,000. Newbridge Financial Services Group Inc. grew its stake in shares of Plains All American Pipeline by 40.7% in the 4th quarter. Newbridge Financial Services Group Inc. now owns 2,263 shares of the company's stock worth $41,000 after purchasing an additional 655 shares during the last quarter. Aventura Private Wealth LLC bought a new stake in shares of Plains All American Pipeline in the 4th quarter worth approximately $42,000. Fulcrum Asset Management LLP bought a new stake in shares of Plains All American Pipeline in the 3rd quarter worth approximately $50,000. Finally, Farther Finance Advisors LLC lifted its stake in Plains All American Pipeline by 342.7% during the fourth quarter. Farther Finance Advisors LLC now owns 4,068 shares of the company's stock valued at $73,000 after purchasing an additional 3,149 shares during the last quarter. 41.78% of the stock is currently owned by institutional investors.

About Plains All American Pipeline

Plains All American Pipeline NASDAQ: PAA is a publicly traded energy infrastructure company that provides midstream services for crude oil and natural gas liquids (NGLs). The company’s core activities include gathering, transporting, storing and marketing hydrocarbons, using an integrated network of pipelines, storage terminals, rail and truck transloading facilities. Plains also offers logistics and marketing services that connect upstream producers with refiners, traders and export markets.

Plains owns and operates a portfolio of pipeline and terminal assets concentrated in major U.S.

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