Plains GP Holdings (PAGP) AI Stock Analysis

• Market Cap: $14.52B
• Dividend Yield: 7.96%
• Average Volume (3M): 1.80M
• Price to Earnings (P/E): 26.0
• Beta (1Y): 0.49
• Revenue Growth: 3.40%
• EPS Growth: -15.90%
• Country: US
• Employees: 5,000
• Sector: Energy
• Sector Strength: 56
• Industry: Oil & Gas Midstream
• EPS (TTM): 0.42
• Shares Outstanding: 197,743,620
• 10 Day Avg. Volume: 2,019,340
• 30 Day Avg. Volume: 1,801,087
• PEG Ratio: 0.09
• Price to Book (P/B): 0.66
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 4.95
• Enterprise Value/Market Cap: 1.24
• Enterprise Value/Revenue: 0.09
• Enterprise Value/Gross Profit: 1.27
• Enterprise Value/Ebitda: 1.57
• 1Y Price Target: $20.00
• Price Target Upside: 2.51% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 6

• Rating: 69 Neutral
• Price Target: $21.50 ▲(10.20%Upside)

Plains GP Holdings shows strong cash flow generation and strategic growth initiatives, bolstered by recent corporate actions. However, high leverage and market volatility present risks. The attractive dividend yield provides a cushion for investors, while technical indicators suggest potential consolidation.

Plains GP Holdings Business Overview & Revenue Model

Company Description

Plains GP Holdings, L.P., through its subsidiary, Plains All American Pipeline, L.P., owns and operates midstream energy infrastructure in the United States and Canada. The company operates in two segments, Crude Oil and Natural Gas Liquids (NGLs). The company engages in the transportation of crude oil and NGLs on pipelines, gathering systems, and trucks. As of December 31, 2021, this segment owned and leased assets comprising 18,300 miles of crude oil and NGL pipelines and gathering systems; 38 million barrels of above-ground tank capacity; and 1,275 trailers. It engages in the provision of storage, terminalling, and throughput services primarily for crude oil, NGLs, and natural gas; NGL fractionation and isomerization services; and natural gas and condensate processing services. As of December 31, 2021, this segment owned and operated approximately 74 million barrels of crude oil storage capacity; 28 million barrels of NGL storage capacity; four natural gas processing plants; a condensate processing facility; nine fractionation plants; 16 NGL rail terminals; four marine facilities; and 110 miles of pipelines. As of December 31, 2021, this segment owned 15 million barrels of crude oil and 2 NGL linefill; 3 million barrels of crude oil and 1 NGL linefill in pipelines owned by third parties and other inventory; 640 trucks and 1,275 trailers; and 3,900 NGL railcars. The company offers logistics services to producers, refiners, and other customers. PAA GP Holdings LLC operates as a general partner of the company. Plains GP Holdings, L.P. was incorporated in 2013 and is headquartered in Houston, Texas.

How the Company Makes Money

Plains GP Holdings generates revenue primarily through the operations of its subsidiary, Plains All American Pipeline, L.P. The company's revenue model is centered around the fee-based transportation and storage services it provides for crude oil and natural gas liquids. This involves collecting fees for the volume of oil and NGLs transported through its extensive pipeline network and stored in its facilities. Additionally, PAGP engages in the marketing and logistics of crude oil, where it buys and sells oil to optimize its network's capacity and operations. Significant partnerships with oil producers and refiners, as well as long-term contracts, contribute to stable and predictable cash flows. The company's earnings are influenced by the volume of oil and NGLs handled, tariff rates, and market demand for midstream services.

Plains GP Holdings Financial Statement Overview

Summary

Plains GP Holdings shows steady financial performance with improving profitability ratios and efficient cash flow management. However, high leverage remains a risk, necessitating cautious debt management.

Income Statement

PAGP's income statement reveals a moderate performance with a steady increase in revenue from $50,073 million to $50,140 million TTM. The gross profit margin improved significantly from 6.96% to 28.21% TTM, reflecting better cost management. The net profit margin increased from 0.21% to 0.29% TTM, indicating slight profitability. EBITDA margin also showed improvement, rising from 5.36% to 5.79% TTM. However, the EBIT margin decreased from 2.34% to 2.67% TTM. Overall, there is stable growth with potential for enhanced profitability.

Balance Sheet

The balance sheet shows a high debt-to-equity ratio of 6.57 TTM, which indicates high leverage and potential risk. The equity ratio decreased from 4.87% to 4.80% TTM, showing a slight decrease in asset financing by equity. Return on equity (ROE) improved from 7.62% to 10.69% TTM, highlighting increased earnings for shareholders. Despite high leverage, the company has managed to maintain a stable equity base.

Cash Flow

Cash flow analysis reveals robust performance with a free cash flow growth rate of 10.39% TTM. The operating cash flow to net income ratio is strong at 18.65 TTM, indicating efficient cash conversion. The free cash flow to net income ratio stands at 14.04 TTM, reflecting solid cash generation relative to net income.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	50.14B	50.07B	48.71B	57.34B	42.04B	23.29B
Gross Profit	14.14B	3.49B	3.13B	3.20B	2.80B	2.20B
EBITDA	2.90B	2.68B	3.05B	2.78B	1.91B	-1.51B
Net Income	145.00M	103.00M	198.00M	1.16B	600.00M	-2.44B
Balance Sheet
Total Assets	28.25B	27.76B	28.60B	29.21B	28.61B	24.50B
Cash, Cash Equivalents and Short-Term Investments	429.00M	349.00M	453.00M	404.00M	452.00M	25.00M
Total Debt	8.91B	7.93B	8.03B	8.75B	8.74B	9.70B
Total Liabilities	14.19B	13.44B	13.63B	14.57B	15.80B	14.76B
Stockholders Equity	1.36B	1.35B	1.55B	14.64B	14.18B	11.19B
Cash Flow
Free Cash Flow	2.04B	1.84B	2.14B	1.95B	1.66B	772.00M
Operating Cash Flow	2.70B	2.48B	2.72B	2.40B	1.99B	1.51B
Investing Cash Flow	-1.43B	-875.00M	-702.00M	-526.00M	386.00M	-1.09B
Financing Cash Flow	-1.17B	-1.70B	-1.97B	-1.93B	-1.98B	-430.00M

Plains GP Holdings Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 19.51
• 50DMA: Positive
• 100DMA: Negative
• 200DMA: Positive
• MACD: Negative
• 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 19.51 is above the 20-day moving average (MA) of 19.06, above the 50-day MA of 18.57, and above the 200-day MA of 19.15, indicating a bullish trend. The MACD of 0.26 indicates Negative momentum. The RSI at 58.67 is Neutral, neither overbought nor oversold. The STOCH value of 44.79 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	79 Outperform	$14.71B	11.54	39.79%	9.31%	11.48%	-5.67%
DTM	79 Outperform	$10.66B	28.70	8.29%	3.13%	10.83%	-10.47%
AM	78 Outperform	$8.71B	21.15	19.71%	4.95%	5.03%	7.15%
HESM	78 Outperform	$7.97B	14.93	49.74%	7.40%	8.77%	15.22%
PAA	71 Outperform	$12.72B	19.46	9.43%	8.27%	3.40%	-20.48%
PAGP	69 Neutral	$14.52B	26.03	10.09%	7.96%	3.40%	-15.90%
Sector *	68 Neutral	$15.14B	9.91	6.38%	5.21%	4.16%	-67.19%

Plains GP Holdings Corporate Events

Plains GP Holdings Sells Canadian NGL Business

On June 17, 2025, Plains All American Pipeline, L.P., a subsidiary of Plains GP Holdings, announced a definitive agreement to sell its Canadian NGL business to Keyera Corp. for approximately C$5.15 billion. The transaction, expected to close in the first quarter of 2026, will allow Plains to retain its NGL assets in the U.S. and all crude oil assets in Canada. This strategic move positions Plains as a premier crude oil midstream entity, enhancing its financial flexibility and free cash flow profile while reducing commodity exposure and working capital requirements. The proceeds will support capital allocation strategies, including potential acquisitions and unit repurchases.

The most recent analyst rating on (PAGP) stock is a Buy with a $22.00 price target. To see the full list of analyst forecasts on Plains GP Holdings stock, see the PAGP Stock Forecast page.

Plains GP Holdings Holds Successful Annual Shareholder Meeting

On May 21, 2025, Plains GP Holdings held its annual meeting for Class A, B, and C shareholders, where key decisions were made regarding the election of four Class II directors, the ratification of PricewaterhouseCoopers LLP as the independent accounting firm for 2025, and the approval of 2024 executive compensation. The meeting saw significant shareholder participation, with approximately 83.2% of shares represented, and all proposals received strong support, indicating shareholder confidence in the company’s governance and strategic direction.

The most recent analyst rating on (PAGP) stock is a Buy with a $20.00 price target. To see the full list of analyst forecasts on Plains GP Holdings stock, see the PAGP Stock Forecast page.

Plains GP Holdings Reports Strong Q1 2025 Financial Results

On May 9, 2025, Plains GP Holdings reported its first-quarter 2025 financial results, highlighting a net income of $443 million and net cash from operations of $639 million. The company completed two strategic acquisitions, enhancing its market position and operational capabilities, and maintained a strong financial performance with a leverage ratio at the low end of its target range. These developments underscore Plains’ commitment to financial discipline and growth amid market volatility.