Western Midstream Posts Record Q1 Results, Raises Distribution

Western Midstream Partners ( (WES) ) just unveiled an update.

On May 6, 2026, Western Midstream Partners reported first-quarter 2026 net income attributable to limited partners of $342.4 million, record Adjusted EBITDA of $683.1 million, and Distributable Cash Flow of $508.9 million, driven by a full-quarter contribution from the Aris acquisition, higher throughput, and cost reductions. The partnership generated $469.9 million in operating cash flow, $242.3 million in Free Cash Flow, invested $250.5 million in capital expenditures, and declared a quarterly distribution of $0.930 per unit, up 2.2% from the prior quarter and payable on May 15, 2026.

Operationally, Western Midstream posted record crude-oil and NGLs throughput in the Delaware Basin at 272 MBbls/d and record produced-water throughput of 2,795 MBbls/d, while natural-gas volumes also increased sequentially. Management highlighted improved operating leverage from 2025 cost actions and higher skim oil recoveries amid stronger commodity prices, and indicated results made the first quarter the strongest in the partnership’s history.

Subsequent to quarter-end, the company retired $440.5 million of senior notes due 2026 using proceeds from notes issued in late 2025, bolstering its balance-sheet profile. It also agreed to acquire Brazos Delaware II, LLC in the Delaware Basin for about $1.6 billion in a cash-and-unit transaction expected to close by the end of the second quarter of 2026, with the deal projected to add roughly $100 million of Adjusted EBITDA in 2026 and further expand its integrated Delaware Basin footprint.

Western Midstream reaffirmed its 2026 capital expenditure guidance of $850 million to $1.0 billion and said it expects to finish toward the high end of its 2026 Adjusted EBITDA and Distributable Cash Flow ranges, assuming the current pricing backdrop persists. Management emphasized the Delaware Basin as the cornerstone of future growth, with more than 60% of 2026 Adjusted EBITDA anticipated from the region and additional upside expected as organic projects come online in 2027, underscoring the partnership’s strategy of combining accretive M&A, disciplined capital returns, and balance-sheet strength.

The most recent analyst rating on (WES) stock is a Hold with a $41.00 price target. To see the full list of analyst forecasts on Western Midstream Partners stock, see the WES Stock Forecast page.

Spark’s Take on WES Stock

According to Spark, TipRanks’ AI Analyst, WES is a Outperform.

The score is driven primarily by strong underlying financial performance (high margins and solid operating cash generation) and an attractive valuation/income profile (moderate P/E with a high dividend yield). Technicals support an uptrend, but overbought momentum indicators and guidance for lower 2026 free cash flow versus 2025 temper the overall rating.

To see Spark’s full report on WES stock, click here.

More about Western Midstream Partners

Western Midstream Partners, LP is a master limited partnership that develops, acquires, owns, and operates midstream energy infrastructure across Texas, New Mexico, Colorado, Utah, and Wyoming. The partnership provides gathering, compression, treating, processing, and transportation of natural gas, as well as crude oil, condensate, natural-gas liquids, and produced-water handling, largely under fee-based contracts that limit direct commodity-price exposure.

In its role as a natural-gas processor, Western Midstream also buys and sells residue gas, natural-gas liquids, and condensate for itself and customers under certain contracts. This integrated midstream platform, anchored in the Delaware Basin, positions the company as a key service provider to upstream producers seeking reliable, long-term infrastructure solutions in leading U.S. shale plays.

Average Trading Volume: 1,559,046

Technical Sentiment Signal: Buy

Current Market Cap: $16.76B

See more insights into WES stock on TipRanks’ Stock Analysis page.