Wells Fargo downgraded Hess Midstream LP (HESM) to Equal Weight from Overweight with a price target of $39, down from $48. Chevron’s (CVX) decision to move to three rigs in the Bakken from group significantly reduces Hess Midstream’s EBITDA growth and capital return, the analyst tells investors in a research note. Wells believes a buyout of the company remains possible, but says the standalone Hess Midstream “now looks less compelling.”
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Read More on HESM:
- Hess Midstream LP downgraded to Equal Weight from Overweight at Wells Fargo
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- Hess Midstream LP downgraded to Neutral from Buy at Citi
- Hold Rating on Hess Midstream Partners Amid Chevron’s Potential Bakken Activity Reduction and OPEC+ Oil Production Increase
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