Want to see TSE:PPL full AI Analyst Report?
Top Page
Pembina Pipeline
(NYSE:PPL)
Select Model
Select Model
Rating:72Outperform
Price Target:
C$76.00
â–²(4.91% Upside)
Action:Reiterated
Date:08/19/26
The score is driven primarily by solid financial quality—strong margins and meaningful free cash flow—supported by a generally positive earnings-call outlook with reaffirmed guidance and de-risked growth projects. These strengths are tempered by moderate leverage and some earnings/segment volatility, while technical indicators show only modest momentum and valuation (P/E ~23.8) looks less compelling despite a strong ~4.17% dividend yield.
Positive Factors
Integrated fee-based midstream network
Pembina's integrated pipeline, processing, storage and terminal network earns fees across the hydrocarbon chain. Long-term, take-or-pay and fee-for-service contracts can stabilize cash flow versus upstream producers, while connected assets deepen customer utility and switching costs.
Negative Factors
Higher leverage limits flexibility
Meaningful leverage increases fixed financial obligations and reduces flexibility if project costs rise, volumes weaken or capital markets become less receptive. Although equity and asset backing are substantial, higher debt makes future expansion and downturn management more constrained.
Read all positive and negative factors
Positive Factors
Negative Factors
Integrated fee-based midstream network
Pembina's integrated pipeline, processing, storage and terminal network earns fees across the hydrocarbon chain. Long-term, take-or-pay and fee-for-service contracts can stabilize cash flow versus upstream producers, while connected assets deepen customer utility and switching costs.
Read all positive factors
Pembina Pipeline (PPL) vs. iShares MSCI Canada ETF (EWC)
Market Cap
C$39.28B
Dividend Yield4.17%
Average Volume (3M)2.44M
Price to Earnings (P/E)23.8
Beta (1Y)0.25
Revenue Growth-0.28%
EPS Growth-4.26%
CountryCA
Employees2,974
SectorEnergy
Sector Strength52
IndustryOil & Gas Midstream
Share Statistics
EPS (TTM)2.84
Shares Outstanding581,555,000
10 Day Avg. Volume1,924,457
30 Day Avg. Volume2,437,446
Financial Highlights & Ratios
PEG Ratio-1.78
Price to Book (P/B)1.81
Price to Sales (P/S)3.95
P/FCF Ratio12.21
Enterprise Value/Market CapN/A
Enterprise Value/RevenueN/A
Enterprise Value/Gross ProfitN/A
Enterprise Value/EbitdaN/A
Forecast
1Y Price Target
C$73.10Price Target Upside0.91% Upside
Rating ConsensusModerate Buy
Number of Analyst Covering10
EPS Forecast (FY)3.1
Revenue Forecast (FY)C$8.56B
Pembina Pipeline Business Overview & Revenue Model
Company Description
Pembina Pipeline Corporation delivers vital transportation and midstream solutions to the energy sector. The company's operations are organized into three principal divisions: Pipelines, Facilities, and Marketing & New Ventures. Its Pipelines divi...
How the Company Makes Money
Pembina primarily makes money by charging fees for contracted, volume-based services across its midstream value chain. Key revenue streams include: (1) Pipelines & Transportation: tariff/fee revenue for moving crude oil, condensate, and NGLs on it...
Pembina Pipeline Earnings Call Summary
Earnings Call Date:Jul 30, 2026
(Q2-2026)
| % Change Since: |
Next Earnings Date:Oct 29, 2026
Earnings Call Sentiment Positive
Overall the call conveyed solid financial and operational performance with multiple strategic project milestones (RFS IV, Wapiti, Heartland, Greenlight, Cedar LNG progress), affirmed guidance and derisking of a substantial portion of 2030 growth. Offsetting items include pipeline toll settlement impacts (Alliance), derivative mark-to-market and Cedar LNG unrealized losses, seasonal headwinds and elevated near-term maintenance spend that will depress Q3 results. On balance, execution wins, project sanctions/FIDs and strong year-over-year profitability gains outweigh the near-term headwinds.Positive Updates
Strong Adjusted EBITDA
Reported Q2 adjusted EBITDA of $1.064 billion, a $51 million (5%) increase versus Q2 2025; reaffirmed 2026 adjusted EBITDA guidance of $4.35 billion to $4.55 billion and management is trending toward the midpoint.
Negative Updates
Alliance Pipeline Impact
Lower contribution from Alliance pipeline due to the previously announced new toll structure and revenue sharing settlement with shippers, reducing pipeline segment benefit versus prior period.
Read all updates
Q2-2026 Updates
Positive
Negative
Strong Adjusted EBITDA
Reported Q2 adjusted EBITDA of $1.064 billion, a $51 million (5%) increase versus Q2 2025; reaffirmed 2026 adjusted EBITDA guidance of $4.35 billion to $4.55 billion and management is trending toward the midpoint.
Read all positive updates
Company Guidance
Pembina reaffirmed 2026 adjusted EBITDA guidance of $4.35 billion to $4.55 billion (noting the company is trending to the midpoint) after reporting Q2 adjusted EBITDA of $1.064 billion (up $51 million or 5% YoY) and Q2 earnings of $512 million (+23% YoY) and adjusted earnings of $415 million (+10% YoY); total Pipelines & Facilities volumes were 3.7 million boe/d (up 3% YoY). Management warned Q3 adjusted EBITDA will be lower than Q2 (historically Q3 has contributed 23%–27% of full‑year adjusted EBITDA and this year is expected at the low end) with a strong seasonal contribution in Q4, citing higher H2 integrity/maintenance spend, lower Cochin throughput in H2 (Cochin generated ~60% of its 2025 EBITDA in H1), seasonality on Alliance (lower Q3, higher Q4), and a bigger PGI contribution in Q4 from new assets; the company has hedged ~90% of NGL frac spread exposure in Q3 and ~40% in Q4, notes U.S./Canadian frac spreads account for ~2/3 of marketing (2025–26), and frames guidance sensitivity to commodity prices, interruptible volumes, USD/CAD and share‑price‑driven incentive costs.Pembina Pipeline Financial Statement Overview
Summary
Income Statement
78
Positive
Balance Sheet
71
Positive
Cash Flow
74
Positive
| Breakdown | TTM | Dec 2025 | Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 |
|---|---|---|---|---|---|---|
Income Statement | ||||||
| Total Revenue | 7.88B | 7.68B | 7.38B | 6.33B | 11.61B | 8.63B |
| Gross Profit | 2.95B | 2.81B | 2.99B | 2.52B | 2.73B | 2.49B |
| EBITDA | 3.74B | 3.81B | 3.37B | 2.71B | 2.85B | 2.61B |
| Net Income | 1.78B | 1.69B | 1.86B | 1.78B | 2.97B | 1.24B |
Balance Sheet | ||||||
| Total Assets | 36.24B | 35.55B | 35.97B | 32.62B | 31.48B | 31.46B |
| Cash, Cash Equivalents and Short-Term Investments | 153.00M | 106.00M | 141.00M | 137.00M | 94.00M | 43.00M |
| Total Debt | 13.81B | 13.85B | 13.32B | 11.14B | 11.28B | 11.96B |
| Total Liabilities | 19.18B | 18.78B | 18.46B | 16.80B | 15.69B | 17.09B |
| Stockholders Equity | 17.06B | 16.77B | 17.51B | 15.81B | 15.73B | 14.30B |
Cash Flow | ||||||
| Free Cash Flow | 2.06B | 2.49B | 2.23B | 2.01B | 2.30B | 1.97B |
| Operating Cash Flow | 2.88B | 3.27B | 3.19B | 2.62B | 2.91B | 2.63B |
| Investing Cash Flow | -1.30B | -1.06B | -3.89B | -774.00M | -133.00M | -1.01B |
| Financing Cash Flow | -1.64B | -2.24B | 678.00M | -1.80B | -2.72B | -1.67B |
Pembina Pipeline Technical Analysis
Positive
72.44
Price Trends
68.11
Positive
65.30
Positive
59.87
Positive
Market Momentum
-0.22
Positive
51.06
Neutral
84.02
Negative
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:PPL, the sentiment is Positive. The current price of 72.44 is above the 20-day moving average (MA) of 69.06, above the 50-day MA of 68.11, and above the 200-day MA of 59.87, indicating a neutral trend. The MACD of -0.22 indicates Positive momentum. The RSI at 51.06 is Neutral, neither overbought nor oversold. The STOCH value of 84.02 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for TSE:PPL.
Pembina Pipeline Peers Comparison
UnderperformOutperform
Sector (65)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
72 Outperform | C$39.28B | 23.78 | 10.54% | 3.95% | -0.28% | -4.26% | |
66 Neutral | C$16.59B | 27.04 | 7.00% | 2.27% | 8.91% | -24.51% | |
65 Neutral | $15.17B | 7.61 | 4.09% | 5.20% | 3.87% | -62.32% | |
64 Neutral | C$153.37B | 23.41 | 10.01% | 4.77% | 28.91% | -8.55% | |
64 Neutral | C$87.85B | 26.38 | 13.07% | 3.47% | 5.52% | -18.22% | |
62 Neutral | C$5.51B | 31.86 | 18.23% | 5.66% | 18.62% | 3.09% | |
57 Neutral | C$17.26B | 41.43 | 6.59% | 3.56% | 0.24% | -38.65% |
* Energy Sector Average
TSE:PPL
Pembina Pipeline
68.64
19.87
40.74%
TSE:ENB
Enbridge
71.41
9.41
15.17%
TSE:TRP
TC Energy
89.02
20.99
30.85%
TSE:GEI
Gibson Energy
32.24
8.13
33.73%
TSE:ALA
AltaGas
53.66
13.23
32.73%
TSE:KEY
Keyera Corp.
59.56
17.63
42.05%
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.