QualityDipStocks / Energy · Oil & Gas Production
Hess Midstream LP Representing Limited Partner Interests HESM
Outside our quality screen, so we don’t track its dips. It’s 21% below its 52-week high.
Outside our quality screen. No fair value estimate for now: the model’s result is too extreme to stand behind.
Worth knowing
- FCF yield 20%, top 1% of the 1145 we measure
- Operating margin 62%, top 2% of the 1288 we measure
From the data on this page, as of the last close. How we pick these
- Fair value est.
- n/a
- Market Value
- forming
- Off 52-wk high
- −21%
- Risk vs market
- Lowbeta −0.12
4 bullish · 3 bearish See why
Repriced or dip?
Dip: business intact
The price is 21% below its 52-week high (Sep 8), but the business held up: shares outstanding unchanged, operating margin 0.0 pts, free cash flow 0.0%.
Some numbers held up (shares outstanding unchanged, operating margin 0.0 pts, free cash flow 0.0%), others slipped. The price is 21% below its 52-week high.
The price is 21% below its 52-week high, and the business changed too.
Within 10% of its 52-week high, so there is no dip to judge yet.
The evidence 8 numbers, high vs now
- Revenue, last 12 months$1.6B → $1.6B (0.0%)about the same
- Earnings per share, 12 months$2.92 → $2.92 (0.0%)about the same
- Free cash flow, 12 months$838M → $838M (0.0%)held up
- Operating margin62.1% → 62.1% (0.0 pts)held up
- Shares outstanding0.0% (unchanged)held up
- Stock vs its sector (Energy)stock −21%, sector median −1% since Sep 8about the same
- Price fall vs business numbersprice −21%, revenue/EPS/FCF median 0% (shown, not scored)
- Valuation multipleP/FCF 6.3× at the high → 5.0× now (shown, not scored)
No new report since the high (Sep 8, 2026): the business numbers are the same as then, so this read is capped at 65. Each measure is scored from −1 (business changed) to +1 (business intact) and weighted: revenue, earnings per share, free cash flow, operating margin, revenue growth rate, share count, net cash and the move vs its sector. 60 or more reads as a dip, 40 or less as a repricing. Analyst estimates are not in our data, so they are not used. How to read it
Data-based read, not advice.
Priced in
How much growth the market assumed at the 52-week high, the low and today (a reverse DCF).
At the high ($40.97, Sep 8) the price assumed about −13%/yr free-cash-flow growth; at the low ($30.04, Oct 22) about −19%; today about −17%. The last 3 years delivered 5%/yr (free cash flow).
Dashed line: what the last 3 years delivered, 5%/yr (free cash flow)
| High | Low | Now | |
|---|---|---|---|
| Price | $40.97Sep 8 | $30.04Oct 22 | $32.44 |
| Implied growth | −13% | −19% | −17% |
| P/E | 14.0× | 10.3× | 11.1× |
| P/FCF | 6.3× | 4.6× | 5.0× |
What this means: the higher the implied growth, the more the price already counts on. If today's number sits well below what the business has delivered, the market expects less than its track record.
How it’s computed
Reverse DCF: the same 10-year free-cash-flow model as our fair value estimate (9.5% discount rate, growth for years 1–5 fading to 3% by year 10, 3% after), solved for the growth that makes it equal the market value at each price. For the high and the low we use only the filings that were public on that day, so nothing from a later report leaks back. Market value = that close × diluted shares. P/E = market value / 12-month net income; Price / FCF = market value / 12-month free cash flow; EV / Sales = (market value + debt − cash) / 12-month revenue. Hidden when the share count moved over 20% (split, merger), free cash flow is negative, or the company reports in another currency.
Valuation
What we estimate it's worth, and how it ranks on value vs every stock we cover.
Fair value estimate
Estimate unreliable for HESM: the model gives 330% above the price, more than we can stand behind (usually peak-cycle cash flow, heavy debt, or cash flows that include customer or loan balances). We’d rather show nothing than a made-up number.
What the price implies To be worth today’s price, HESM’s free cash flow would need to shrink about 17% a year for five years; our estimate uses 8%.
Risk vs market
How risk vs market is measured
One year of daily returns (Oct 31 to Nov 2, 252 sessions). Beta = how much HESM moved for each 1% move in the S&P 500 (SPY); 1.0 moves with the market. Volatility is the yearly standard deviation of daily returns. Past behavior, not a forecast.
Has moved mostly independently of the market, but its own price swings are 2.0× the S&P 500’s (it moves on its own news).
- Beta vs S&P 500
- -0.12
- Volatility
- 26% vs 13% SPY
- Correlation SPY
- −0.06
- Correlation QQQ
- −0.11
How it ranks
Where HESM stands vs every one of the 1,996 stocks we cover that has the number. Longer bar = better.
Top quarter on 2 of 4 measures
- Free cash flow yield20% · free cash flow vs market capTop 1%of 1,391
- Dividends + buybacks yield3.8% · cash paid out or used to retire shares, vs market capTop 37%of 1,836
- Revenue growth, last 12 months+2.8% · vs the 12 months beforeLowest 21%of 1,814
- Operating margin62% · of sales kept as operating profitTop 1%of 1,288
From SEC filings and our fair value estimate model. A ranking, not advice.
Valuation details
FCF value $96.55
Fundamentals
The business itself: sales, profits, cash and debt, from SEC filings.
Bull vs bear
Rule-based from the data on this page, strongest first. Not advice.
Top bullish points 4 of 5
ValuationFree-cash-flow yield of 20.1% (price / FCF 5.0×): $838M of free cash in the last 12 months.
ProfitabilityOperating margin of 62% over the last 12 months.
ValuationP/E of 11.1× vs a 15.9× median for the 73 Energy companies we cover.
Cash returnsFree cash flow grew 26% over the last 12 months vs the 12 months before.
Top bearish points 3 of 5
GrowthSales grew 2.8% over the last 12 months, below the 11% median for the 86 Energy companies we cover.
QualityDoesn’t pass our quality screen: sales down vs the year-ago quarter.
RiskCyclical business: one strong year of cash flow can make it look cheaper than it is.
All fundamentals
P/E 11.1 · FCF yield 20.1% · Sales +3%
Valuation
- P/E
- 11.1×Energy median 15.9×
- Price / FCF
- 5.0×
- FCF yield
- 20.1%
- EV / EBITDA
- n/aD&A or debt not tagged in SEC data
- Price / sales
- 2.58×
- Price / book
- n/anot reported in its SEC filings
- Market cap
- $4.2Bprice × diluted shares
- Enterprise value
- n/anot reported in its SEC filings
Growth
- Revenue, 12 months
- $1.6B
- Sales growth, 12 months
- +2.8%vs the 12 months before
- Sales growth, 3 yrs
- +8.3%/yrfrom FY2022
- Diluted EPS, 12 months
- n/anot reported in its SEC filings
- EPS growth, last FY
- n/afewer than two years of diluted EPS
- Net income, 12 months
- $375M
- Net income growth
- +29%12 months vs before
Profitability
- Gross margin
- n/agross profit isn't reported (common for service and financial companies)
- Operating margin
- 62.1%
- Net margin
- 23.2%
- FCF margin
- 51.9%
- Return on equity
- n/anot reported in its SEC filings
- Return on invested capital
- n/aoperating income, debt, equity or cash not tagged
Balance sheet
- Cash & short-term inv.
- n/anot reported in its SEC filings
- Total debt
- n/anot reported in its SEC filings
- Net cash
- n/acash or debt not tagged in SEC data
- Debt / equity
- n/adebt or equity not tagged in SEC data
- Interest coverage
- n/ainterest expense not tagged in SEC data
Cash flow & returns
- Free cash flow, 12 months
- $838M
- FCF growth, 12 months
- +26%
- Dividend yield
- 0%
- Payout ratio
- n/anot reported in its SEC filings
- Buybacks, 12 months
- $160M3.8% of market cap
- Share count, 1 year
- n/ano quarterly diluted share count
- Stock-based comp
- $1M
Trailing 12 months to Jun 30, 2026. From Hess Midstream LP Representing Limited Partner Interests’s SEC filings. Sparklines show up to six fiscal years. n/a means we don’t hold that number, with the reason. How each is computed.
The business
FCF $0.5B · Sales −4%
- Free cash flow, 12 months$0.5B
- Free-cash-flow yield20.1%
- Free-cash-flow margin31%
- Gross margin78%
- Operating margin64%
- Return on invested capital19%
- Return on equity151%
- Sales growth (latest quarter vs year-ago quarter)−4%
- Net debt / EBITDA3.0×
Chart & levels
Where the price is vs its key levels and trends.
Key levels
Every level vs today’s $32.44
- 52-wk lowlowest close, 1 year$30.04−7.4%
- PriceMon Nov 2 close$32.44you are here
- 52-wk highhighest close, 1 year$40.97+26.3%
Momentum & 52-week range
RSI 44 · 5 days +4.0%
Signals
Reversal signal setups, the public ledger and the next earnings date.
Setup & signals
No setup armed
No setup armed, so there’s no trigger or stop to track yet. Reversal signal rules only run on companies that pass our quality screen.
HESM is outside our quality screen
One text when a published rule fires on one of the 332 quality companies we track: the ticker, the price, the stop and a link to the numbers. Nothing else.
Voices & buzz
Who is talking about it, and how it compares with peers.
Who’s talking about it
Notable investors, executives, analysts and public figures on Hess Midstream LP Representing Limited Partner Interests in the last 48 hours. Headlines as published, each linked. Their words, not ours.
No notable mentions in the last 48 hours. Checked Nov 3, 1:01 PM ET.
Compare with peers
Closest in size in Oil & Gas Production
Information only, not investment advice. Fair value estimates and talking points are rule-based model output from public data and can be wrong; stop levels are reference points, not orders. How every number is computed.