Plains GP Holdings (PAGP) AI Stock Analysis

• Market Cap: $14.25B
• Dividend Yield: 8.13%
• Average Volume (3M): 1.29M
• Price to Earnings (P/E): 21.3
• Beta (1Y): 0.53
• Revenue Growth: -7.53%
• EPS Growth: 11.27%
• Country: US
• Employees: 5,000
• Sector: Energy
• Sector Strength: 52
• Industry: Oil & Gas Midstream
• EPS (TTM): 0.41
• Shares Outstanding: 197,888,120
• 10 Day Avg. Volume: 1,506,513
• 30 Day Avg. Volume: 1,290,146
• PEG Ratio: -0.72
• Price to Book (P/B): 2.68
• Price to Sales (P/S): 0.07
• P/FCF Ratio: 1.96
• Enterprise Value/Market Cap: 1.79
• Enterprise Value/Revenue: 0.55
• Enterprise Value/Gross Profit: 8.68
• Enterprise Value/Ebitda: 9.22
• 1Y Price Target: $19.56
• Price Target Upside: 4.21% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 8
• EPS Forecast (FY): 1.6
• Revenue Forecast (FY): $47.50B

• Rating: 72 Outperform
• Price Target: $20.50 ▲(9.22% Upside)

Plains GP Holdings' overall stock score is driven by strong financial stability and positive technical indicators. The strategic acquisition of EPIC Crude Holdings further strengthens its market position. However, the relatively high P/E ratio suggests caution regarding valuation. The attractive dividend yield provides a compensating factor for income-focused investors.

Positive Factors

Strategic Acquisition

The acquisition of EPIC Crude Holdings enhances Plains GP Holdings' operational capacity and market influence, positioning it as a key operator in the crude oil pipeline sector, which could drive future growth and synergy capture.

Cash Flow Generation

Strong cash flow generation indicates efficient operations and provides financial flexibility, supporting investment in growth opportunities and debt management, which is crucial for long-term sustainability.

Stable Revenue Streams

Take-or-pay contracts ensure stable revenue streams by securing fees regardless of volume fluctuations, providing financial stability and predictability, which is beneficial for long-term planning and investment.

Negative Factors

Rising Debt Levels

The increase in debt through new offerings could strain financial resources and limit flexibility, potentially impacting the company's ability to invest in growth or weather economic downturns.

Declining Revenue Growth

A decline in revenue growth suggests challenges in market expansion or competitive pressures, which could affect future profitability and market positioning if not addressed.

Low Profit Margins

Low profit margins indicate challenges in converting revenue into profit, which may limit reinvestment capacity and shareholder returns, potentially impacting long-term financial health.

Plains GP Holdings Business Overview & Revenue Model

Company Description

Plains GP Holdings (PAGP) is a publicly traded company based in the United States that operates in the midstream sector of the energy industry. The company primarily focuses on the transportation, storage, and logistics of crude oil, natural gas liquids, and refined products. Through its extensive network of pipelines, terminals, and storage facilities, PAGP plays a crucial role in connecting producers of energy resources with consumers, ensuring efficient delivery and management of energy commodities across North America.

How the Company Makes Money

Plains GP Holdings generates revenue primarily through its midstream services, which include the transportation of crude oil and natural gas liquids via pipelines and gathering systems. The company earns fees based on the volume of product transported and stored, which are typically structured as take-or-pay contracts, ensuring a stable revenue stream. Key revenue streams include transportation fees, storage fees, and terminal services. Additionally, PAGP benefits from long-term contracts with major oil and gas producers, providing a degree of revenue stability. The company also engages in joint ventures and partnerships with other companies in the energy sector, which can enhance its operational capabilities and expand its market reach, further contributing to its earnings.

Plains GP Holdings Financial Statement Overview

Summary

Plains GP Holdings demonstrates resilience in its financial performance, with strengths in cash flow generation and a stable balance sheet. While the income statement shows some areas for improvement, particularly in profit margins, the company's ability to manage debt and generate cash flow positions it well for future growth.

Income Statement

Plains GP Holdings shows a mixed performance in its income statement. The TTM data indicates a slight decline in revenue growth, but the company maintains a positive EBIT and EBITDA margin, suggesting operational efficiency. However, the net profit margin remains low, indicating challenges in translating revenue into profit. The historical data shows fluctuating revenue growth rates, with a notable decline in 2020, but a recovery trend is visible in subsequent years.

Balance Sheet

The balance sheet reflects a strong equity position with a low debt-to-equity ratio in the TTM period, indicating financial stability. The company has improved its leverage significantly compared to previous years, reducing potential financial risks. Return on equity is moderate, showing the company's ability to generate returns on shareholders' investments, although it has decreased from previous highs.

Cash Flow

The cash flow statement reveals a robust free cash flow growth in the TTM period, highlighting the company's ability to generate cash. The operating cash flow to net income ratio is strong, indicating efficient cash generation relative to reported earnings. The free cash flow to net income ratio is also healthy, suggesting good cash conversion from profits.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	46.63B	50.07B	48.71B	57.34B	42.08B	23.29B
Gross Profit	2.94B	3.49B	3.13B	3.20B	2.80B	2.20B
EBITDA	2.77B	2.68B	3.05B	2.78B	1.91B	-1.51B
Net Income	186.00M	103.00M	198.00M	168.00M	60.00M	-568.00M
Balance Sheet
Total Assets	29.25B	27.76B	28.60B	29.21B	29.98B	25.95B
Cash, Cash Equivalents and Short-Term Investments	1.18B	349.00M	453.00M	404.00M	456.00M	63.00M
Total Debt	9.64B	7.93B	8.03B	8.82B	9.64B	10.61B
Total Liabilities	15.11B	13.44B	13.63B	14.57B	15.80B	14.76B
Stockholders Equity	1.34B	1.35B	1.55B	1.52B	1.53B	1.46B
Cash Flow
Free Cash Flow	2.19B	1.84B	2.14B	1.95B	1.66B	772.00M
Operating Cash Flow	2.87B	2.48B	2.72B	2.40B	1.99B	1.51B
Investing Cash Flow	-1.76B	-875.00M	-702.00M	-526.00M	386.00M	-1.09B
Financing Cash Flow	-573.00M	-1.70B	-1.97B	-1.93B	-1.98B	-430.00M

Plains GP Holdings Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 18.77
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For PAGP, the sentiment is Positive. The current price of 18.77 is above the 20-day moving average (MA) of 18.66, above the 50-day MA of 17.82, and above the 200-day MA of 18.21, indicating a bullish trend. The MACD of 0.25 indicates Positive momentum. The RSI at 57.01 is Neutral, neither overbought nor oversold. The STOCH value of 45.45 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for PAGP.

Plains GP Holdings Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
WES	80 Outperform	$15.94B	11.56	40.29%	9.23%	5.81%	-13.58%
PAA	79 Outperform	$12.38B	14.23	9.78%	8.66%	-7.53%	9.74%
AM	78 Outperform	$8.34B	17.95	22.52%	5.10%	8.70%	21.42%
DTM	78 Outperform	$12.00B	29.92	9.04%	2.74%	20.39%	-3.85%
HESM	77 Outperform	$7.03B	12.03	59.81%	8.52%	10.78%	19.10%
PAGP	72 Outperform	$14.25B	21.34	10.33%	8.13%	-7.53%	11.27%
Sector *	65 Neutral	$15.17B	7.61	4.09%	5.20%	3.87%	-62.32%

Plains GP Holdings Corporate Events

Plains GP Holdings Terminates EPIC Credit Agreement

On October 31, 2025, Plains All American Pipeline, L.P. acquired 100% of EPIC Crude Holdings, LP and its general partner, which own and operate the EPIC Crude Oil Pipeline. Subsequently, on December 1, 2025, PAA terminated the EPIC Credit Agreement and repaid all outstanding amounts. Additionally, PAA entered into a new $1.1 billion senior unsecured term loan agreement on November 26, 2025, with PNC Bank and other lenders, which includes covenants and conditions typical for such facilities. This move aligns with the company’s strategic financial management and operational restructuring, potentially impacting its financial obligations and market positioning.

Plains GP Holdings Completes $750 Million Debt Offering

On November 14, 2025, Plains All American Pipeline, L.P. and PAA Finance Corp. completed a public offering of $750 million in debt securities, comprising $300 million in 4.700% Senior Notes due 2031 and $450 million in 5.600% Senior Notes due 2036. These notes are additional issuances to previous notes issued in September 2025, bringing the total outstanding amounts to $1 billion for each series. The notes are senior unsecured obligations, with specific covenants and events of default outlined in the indenture. The offering was conducted under a shelf registration statement filed with the SEC, with Citigroup Global Markets Inc. and others acting as underwriters.

Plains GP Holdings Completes Acquisition of EPIC Crude Holdings

On October 31, 2025, Plains GP Holdings completed the acquisition of a 100% equity interest in EPIC Crude Holdings and EPIC GP, the operators of the EPIC Crude Oil Pipeline, for a total of approximately $2.9 billion. This strategic move positions Plains GP Holdings as the sole operator of the EPIC Pipeline, enhancing its capacity to transport crude oil from key basins to the Gulf Coast, and potentially expanding its market influence with future pipeline capacity enhancements.

Plains GP Holdings Reports Q3 2025 Financial Results

On November 5, 2025, Plains GP Holdings announced its third-quarter 2025 financial results, reporting a net income of $441 million and an adjusted EBITDA of $669 million. The company also completed the acquisition of a 100% equity interest in EPIC Crude Holdings, which is expected to enhance synergy capture and cost savings, and plans to rename the system Cactus III. Additionally, Plains is in the process of divesting its Canadian NGL business, which is anticipated to close by the first quarter of 2026, as part of its strategy to streamline operations and focus on crude oil midstream services.