Plains GP (PAGP) Raised to Buy at Zacks Investment Research
Zacks Investment Research upgraded shares of Plains GP (NYSE:PAGP) from a hold rating to a buy rating in a research note released on Thursday. They currently have $26.00 price target on the pipeline company’s stock.
According to Zacks, “Plains GP Holdings, L.P. operates as a holding company. The Company, through its subsidiaries, is involved in the transportation, storage, terminalling, and marketing of crude oil and refined products. It also focuses on the processing, transportation, fractionation, storage, and marketing of natural gas liquids, including ethane and natural gasoline products, as well as propane and butane products. Plains GP Holdings, L.P. is based in Houston, Texas. “
A number of other research analysts have also recently commented on the stock. ValuEngine upgraded shares of Plains GP from a sell rating to a hold rating in a research report on Monday, February 4th. Evercore ISI assumed coverage on Plains GP in a research report on Tuesday, February 5th. They set a $24.00 price objective for the company. Credit Suisse Group started coverage on Plains GP in a report on Thursday, October 11th. They set an outperform rating and a $31.00 price target for the company. Citigroup reduced their price objective on Plains GP from $27.00 to $25.00 and set a buy rating for the company in a report on Thursday, November 29th. Finally, Morgan Stanley boosted their price target on Plains GP from $28.00 to $29.00 and gave the company an overweight rating in a research note on Friday, November 30th. Four investment analysts have rated the stock with a hold rating and fourteen have issued a buy rating to the company. The company has a consensus rating of Buy and an average price target of $28.53.
Plains GP (NYSE:PAGP) last announced its quarterly earnings results on Tuesday, February 5th. The pipeline company reported $1.12 EPS for the quarter, beating the Zacks’ consensus estimate of $0.51 by $0.61. The business had revenue of $8.79 billion during the quarter, compared to analyst estimates of $10.52 billion. Plains GP had a net margin of 0.98% and a return on equity of 2.69%. Plains GP’s quarterly revenue was up 15.5% on a year-over-year basis. During the same quarter in the previous year, the business posted ($5.16) EPS. On average, analysts expect that Plains GP will post 1.61 earnings per share for the current fiscal year.
The firm also recently declared a quarterly dividend, which will be paid on Thursday, February 14th. Shareholders of record on Thursday, January 31st will be issued a dividend of $0.30 per share. This represents a $1.20 dividend on an annualized basis and a yield of 5.19%. The ex-dividend date is Wednesday, January 30th. Plains GP’s dividend payout ratio (DPR) is 56.87%.
In related news, Director Oscar K. Brown acquired 2,500 shares of Plains GP stock in a transaction on Friday, November 23rd. The stock was purchased at an average cost of $20.42 per share, with a total value of $51,050.00. Following the purchase, the director now directly owns 9,600 shares in the company, valued at $196,032. The purchase was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. Also, Director Oscar K. Brown acquired 4,400 shares of Plains GP stock in a transaction on Thursday, December 27th. The shares were bought at an average cost of $19.54 per share, with a total value of $85,976.00. Following the completion of the purchase, the director now owns 11,000 shares in the company, valued at $214,940. The disclosure for this purchase can be found here. Insiders have acquired a total of 7,900 shares of company stock valued at $156,846 over the last ninety days. 16.80% of the stock is owned by company insiders.
Several institutional investors and hedge funds have recently added to or reduced their stakes in the stock. Russell Investments Group Ltd. purchased a new position in shares of Plains GP during the 2nd quarter worth $175,000. Bank of America Corp DE increased its holdings in Plains GP by 0.8% in the 2nd quarter. Bank of America Corp DE now owns 255,991 shares of the pipeline company’s stock valued at $6,121,000 after purchasing an additional 2,115 shares in the last quarter. Schroder Investment Management Group acquired a new stake in Plains GP in the 2nd quarter valued at $10,809,000. United Services Automobile Association acquired a new stake in Plains GP in the 2nd quarter valued at $461,000. Finally, Cerebellum GP LLC acquired a new stake in Plains GP in the 3rd quarter valued at $173,000. Institutional investors and hedge funds own 85.77% of the company’s stock.
About Plains GP
Plains GP Holdings, L.P. owns and operates midstream energy infrastructure in the United States and Canada. It operates through three segments: Transportation, Facilities, and Supply and Logistics. The Transportation segment engages in the transportation of crude oil and natural gas liquids (NGLs) on pipelines, gathering systems, trucks, and barges.
Featured Story: What is Cost of Goods Sold (COGS)?
For more information about research offerings from Zacks Investment Research, visit Zacks.com
Receive News & Ratings for Plains GP Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Plains GP and related companies with MarketBeat.com's FREE daily email newsletter.