Oil & Gas Midstream Industry: Stock Analysis & Valuation

Industry: Oil & Gas Midstream | Sector: Energy

Companies that produce or refine oil and gas, oilfield-services and equipment companies, and pipeline operators. This sector also includes companies that mine thermal coal and uranium. Companies in this sector include BP, ExxonMobil, Royal Dutch Shell, and China Shenhua Energy.

The Oil & Gas Midstream industry represents a focused group of companies with highly similar business models, competitive dynamics, and market forces. This granular view makes it easier to spot which companies have sustainable competitive advantages and which are likely overvalued or undervalued.

Your Industry Knowledge = Investment Edge

If you work in Oil & Gas Midstream, follow industry news, or understand the competitive landscape, you have a significant advantage over Wall Street analysts. Use this knowledge to evaluate which companies have durable moats, realistic growth prospects, and strong margins of safety.

Oil & Gas Midstream Stocks: Value Metrics

Review the stocks in this list to compare valuations, cash flow metrics, and value investing indicators. Look for companies trading below intrinsic value with sustainable competitive advantages.

Discounted stocks in the index
Company Current Price Current Price Discount
10 years
Holly Energy Partners, L.P.
(HEP)
$17.39 none
Green Plains Partners LP
(GPP)
$12.40 none
GasLog Partners LP
(GLOP)
$7.18 none
Crestwood Equity Partners LP
(CEQP)
$28.02 none
NuStar Energy L.P.
(NS)
$15.02 20%
Western Midstream Partners, LP
(WES)
$16.00 none
Magellan Midstream Partners, L.P.
(MMP)
$50.55 none
TC PipeLines, LP
(TCP)
$30.21 none
DCP Midstream, LP
(DCP)
$38.12 none
Enable Midstream Partners, LP
(ENBL)
$7.05 none
Navios Maritime Acquisition Corporation
(NNA)
$3.48 none
Teekay LNG Partners L.P.
(TGP)
$17.00 none
PBF Logistics LP
(PBFX)
$19.90 none
EnLink Midstream, LLC
(ENLC)
$11.68 none

Industry-Level Investment Strategy

Industry analysis allows you to compare companies operating in nearly identical markets. This granularity reveals which businesses have true competitive advantages versus those merely benefiting from industry tailwinds.

Industry Leaders

Established companies with:

  • Strong brand recognition
  • Pricing power
  • Economies of scale
  • Distribution advantages
  • Customer loyalty

Often safer, but may trade at premium valuations

Niche Players

Specialists focusing on:

  • Specific market segments
  • Unique technologies
  • Geographic advantages
  • Specialized expertise
  • Customer relationships

Can offer excellent value if moat is strong

Emerging Competitors

Growth companies with:

  • Innovative business models
  • Technology advantages
  • Market share gains
  • Scalable platforms
  • Strong growth rates

Higher risk but potential for outsized returns

Key Questions for Oil & Gas Midstream Stocks

Competitive Analysis:

  • What creates customer switching costs?
  • How sustainable is the competitive moat?
  • Can new entrants easily disrupt the market?
  • What drives profitability differences?

Valuation Context:

  • How do P/E ratios compare within the industry?
  • Which companies generate superior returns?
  • Are dividends sustainable?
  • What's the realistic growth trajectory?