Plains All American Pipeline (NASDAQ:PAA) Posts Earnings Results

Plains All American Pipeline (NASDAQ:PAA) issued its quarterly earnings data on Friday. The company reported $0.40 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $0.47 by ($0.07), FiscalAI reports. Plains All American Pipeline had a net margin of 2.42% and a return on equity of 11.04%. The business had revenue of $10.57 billion for the quarter.

Here are the key takeaways from Plains All American Pipeline’s conference call:

• Company set 2026 adjusted EBITDA guidance of $2.75 billion (±$75M) net to Plains with the oil segment midpoint implying ~13% year-over-year crude segment growth.
• Management is executing a strategic shift to a peer-play crude company via the pending NGL divestiture (Q1 close subject to approval) and the EPIC/Cactus 3 acquisition, which they say will improve cash-flow durability and reduce commodity exposure.
• While the NGL sale will modestly reduce headline EBITDA, management expects distributable cash flow to rise ~1% and now anticipates a potential special distribution of ≤ $0.15 per unit after closing (board approval pending).
• Plains targets $100 million of annual run-rate cost savings by end of 2027 (about $50M in 2026) through G&A/OPEX cuts, business simplification and exits of lower-margin activities.
• Capital allocation: a 10% distribution increase to an annual $1.67/unit, coverage threshold lowered from 160% to 150% to support a $0.15-per-unit annual growth target, 2026 CAPEX guidance of $350M growth / $165M maintenance, and expected adjusted free cash flow of ~$1.8 billion to fund debt paydown and distributions.

Plains All American Pipeline Stock Performance

Shares of NASDAQ PAA opened at $19.40 on Friday. The company has a quick ratio of 1.01, a current ratio of 1.04 and a debt-to-equity ratio of 0.77. The stock has a market capitalization of $13.69 billion, a price-to-earnings ratio of 16.03 and a beta of 0.60. The company has a 50 day moving average price of $18.43. Plains All American Pipeline has a 52-week low of $15.57 and a 52-week high of $20.77.

Analysts Set New Price Targets

Several brokerages have weighed in on PAA. Zacks Research cut Plains All American Pipeline from a “strong-buy” rating to a “hold” rating in a research note on Friday, January 30th. Weiss Ratings reaffirmed a “buy (b-)” rating on shares of Plains All American Pipeline in a research report on Monday, December 29th. Finally, Wall Street Zen cut Plains All American Pipeline from a “buy” rating to a “hold” rating in a research note on Sunday, January 4th. One analyst has rated the stock with a Buy rating and one has given a Hold rating to the stock. Based on data from MarketBeat.com, the company presently has an average rating of “Moderate Buy”.

Plains All American Pipeline Company Profile

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.