Plains All American Pipeline (NASDAQ:PAA) Posts Quarterly Earnings Results, Misses Expectations By $0.44 EPS

Plains All American Pipeline (NASDAQ:PAA) announced its earnings results on Friday. The company reported ($0.04) earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $0.40 by ($0.44), Zacks reports. Plains All American Pipeline had a net margin of 5.29% and a return on equity of 12.13%. The firm had revenue of $15.17 billion during the quarter. During the same period in the previous year, the business posted $0.39 earnings per share. The firm’s revenue for the quarter was up 31.1% on a year-over-year basis.

Here are the key takeaways from Plains All American Pipeline’s conference call:

• Plains reported third-quarter adjusted EBITDA of $711 million and narrowed its 2026 guidance range to a $2.88 billion midpoint; management expects results at or slightly above that midpoint.
• The company completed the sale of its Canadian NGL business, captured $50 million in Cactus III acquisition synergies, and remains on track for another $50 million in organizational efficiencies by year-end 2026.
• Growth initiatives include a new 270,000-acre Midland gathering dedication and the Silver Spur acquisition in the Powder River Basin, which adds a system transporting about 125,000 barrels per day. Management expects Silver Spur to build toward stronger contributions from 2028, with Permian pipeline expansions paced to market demand.
• A $1.5 billion junior subordinated notes offering funded the redemption of all preferred units; Plains expects the capital-structure changes to add about $60 million, or $0.09 per unit, to annual distributable cash flow while keeping leverage within its target range.
• Fourth-quarter EBITDA is implied at about $700 million, roughly $10 million below the third quarter as some market-related benefits moderate. Management cautioned that those opportunities may not recur at the same level in 2027.

Plains All American Pipeline Price Performance

NASDAQ:PAA traded down $0.61 during trading hours on Friday, reaching $23.92. The company had a trading volume of 4,567,904 shares, compared to its average volume of 2,438,608. The firm has a market capitalization of $16.88 billion, a PE ratio of 16.15, a PEG ratio of 9.09 and a beta of 0.58. The company has a quick ratio of 1.10, a current ratio of 1.12 and a debt-to-equity ratio of 0.69. Plains All American Pipeline has a one year low of $16.35 and a one year high of $26.98. The stock has a 50-day moving average of $25.23 and a two-hundred day moving average of $22.94.

Plains All American Pipeline Dividend Announcement

The firm also recently announced a quarterly dividend, which will be paid on Friday, November 13th. Stockholders of record on Friday, October 30th will be given a dividend of $0.4175 per share. This represents a $1.67 annualized dividend and a dividend yield of 7.0%. The ex-dividend date is Friday, October 30th. Plains All American Pipeline’s payout ratio is 46.26%.

Analysts Set New Price Targets

PAA has been the subject of several analyst reports. Royal Bank Of Canada upped their target price on Plains All American Pipeline from $23.00 to $26.00 and gave the company a “sector perform” rating in a research note on Monday, August 17th. Mizuho lifted their price objective on Plains All American Pipeline from $27.00 to $30.00 and gave the stock an “outperform” rating in a report on Monday, September 21st. Scotiabank restated an “outperform” rating and set a $28.00 price objective on shares of Plains All American Pipeline in a research note on Thursday, October 15th. Raymond James Financial restated a “strong-buy” rating and set a $28.00 price target on shares of Plains All American Pipeline in a research report on Monday, October 19th. Finally, Morgan Stanley increased their price objective on Plains All American Pipeline from $25.00 to $26.00 and gave the stock an “equal weight” rating in a report on Tuesday, August 18th. Two analysts have rated the stock with a Strong Buy rating, eight have issued a Buy rating, six have issued a Hold rating and two have given a Sell rating to the company’s stock. According to MarketBeat.com, Plains All American Pipeline presently has a consensus rating of “Moderate Buy” and an average price target of $26.07.

About Plains All American Pipeline

Plains All American Pipeline, L.P. is a midstream energy infrastructure company that provides logistics services for crude oil and natural gas liquids (NGLs). Rather than primarily exploring for or producing hydrocarbons, the company operates assets that help gather, transport, store and deliver energy commodities from production areas to refineries, processing facilities and other markets.

The company’s operations include pipeline transportation systems, gathering networks, storage facilities, rail and truck transportation, and terminal and export infrastructure.