Western Midstream Partners LP 1Q in Review; Model Update

研报英文原文证据摘录

Western Midstream Partners LP 1Q in Review; Model Update

J P M O R G A N North America Equity Research

15 May 2026

Western Midstream Partners LP Neutral

WES, WES US

1Q in Review; Model Update Price (14 May 26):$45.87

▲Price Target (Dec-26):$46.00

Prior (Dec-26):$43.00

WES delivered a 1Q26 beat, with results benefitting from a full quarter of Aris

contributions, commodity tailwinds in March (on excess NGL recoveries and skim Head of North America Power,

Utilities, Midstream, LNG, andoil volumes), and volume outperformance in the DJ and PRB. Ex-Brazos. WES is

Nuclear

now tracking towards the high end of the 2026 $2.50–2.70bn adj EBITDA guide,

underpinned by the current commodity strip and improving operating leverage Jeremy Tonet, CFA AC

from ongoing cost reduction efforts, with O&M down 7% YoY ex-Aris. Looking (1-212) 622-4915

jeremy.b.tonet@jpmorgan.com

forward, Waha-driven curtailments persist through 2Q26 pending new egress

Vrathan Reddy

relief in 2H, while one of WES’ largest PRB producers accelerated activity into

(1-212) 622-4692

2H26 to build volumes ahead of 2027, reinforcing management’s growing vrathan.reddy@jpmchase.com

confidence in next year’s earnings power. Eli Jossen, CFA

• Adjacent Brazos acquisition deepens Delaware footprint. Alongside the (1-212)eli.jossen@jpmchase.com622-4113

print, WES announced the $1.6bn acquisition of Brazos, adding ~470,000

Francina Kolluri

dedicated acres and 460 MMcf/d of processing capacity, expanding total (1-212) 270-5796

Delaware Basin processing capacity 20% to ~2.75 Bcf/d and dedicated acreage francina.kolluri@jpmchase.com

49% to over 1.4mm acres. Management characterized integration as J.P. Morgan Securities LLC

straightforward relative to Aris, with the deal bringing ~60–70 field-based