Hess Midstream LP Analysis (December 2025) | Price Target, Growth & Valuation

Hess Midstream LP

NYSE:HESM

$ 34,48

$0,00 (0,00%)

34,48 $

$0,00 (0,00%)

End-of-day quote: 12/25/2025

Hess Midstream LP Stock Value

Analysts currently rate NYSE:HESM as Outperform.

Outperform

Hess Midstream LP Company Info

EPS Growth 5Y

15,72%

Market Cap

$4,46 B

Long-Term Debt

$3,45 B

Short Interest

3,65%

Annual earnings

01/28/2026

Dividend

$3,02

Dividend Yield

8,76%

Founded

2014

Industry

Energy

Country

United States

ISIN Number

US4281031058

Website

http://www.hessmidstream.com

Analyst Price Target

$37,00

7.31%

Last Update: 12/26/2025

Analysts: 7

Highest Price Target $39,00

Average Price Target $37,00

Lowest Price Target $34,00

In the last five quarters, Hess Midstream LP’s Price Target has fallen from $35,56 to $34,40 - a -3,26% decrease. Five analysts predict that Hess Midstream LP’s share price will increase in the coming year, reaching $37,00. This would represent an increase of 7,31%.

Top growth stocks in the energy sector (5Y.)

What does Hess Midstream LP do?

Hess Midstream LP operates as a fee-based, growth-oriented, limited partnership that owns, operates, develops and acquires a diverse set of midstream assets and provides fee-based services to Hess Corporation (‘Hess’) and third-party customers. The company is managed and controlled by Hess Midstream GP LLC (‘GP LLC’), the general partner of the company’s general partner. The company’s assets are primarily located in the Bakken and Three Forks shale plays in the Williston Basin area of North Da...

The company is managed and controlled by Hess Midstream GP LLC (‘GP LLC’), the general partner of the company’s general partner.

The company’s assets are primarily located in the Bakken and Three Forks shale plays in the Williston Basin area of North Dakota, which are collectively referred to as the Bakken, and which is one of the most prolific crude oil producing basins in North America. Hess dedicated substantially all of its existing and future owned or controlled production in the Bakken under its long-term, fee-based agreements and intends to use the company as the primary midstream vehicle to support the growth of its Bakken production assets and grow its midstream business. The company generates substantially all of its revenues by charging fees for gathering, compressing and processing natural gas and fractionating NGLs; gathering, terminaling, loading, and transporting crude oil and NGLs; storing and terminaling propane; as well as gathering and disposing of produced water.

As of December 31, 2024:

The Sponsors and their respective affiliates held, in the aggregate, 898,000 Class A shares in the company, all of the Class B units representing noncontrolling limited partner interests in the Partnership, a 100% interest in the general partner of the company, and, through their ownership of the general partner, continued to have the right to elect the entire board of directors;

The company held a 47.7% controlling interest in the Partnership, and the Sponsors held a 52.3% noncontrolling economic interest in the Partnership;

Public limited partners held a 47.3% voting interest and a 99.1% economic interest in the company, which represents an indirect 47.3% economic interest in the Partnership;

The Sponsors and their respective affiliates held a 52.7% voting interest and a 0.9% economic interest in the company, which, taken with their direct limited partnership interest in the Partnership, represents an indirect 52.7% economic interest in the Partnership.

LM4 Joint Venture

On January 25, 2018, the company entered into a 50/50 joint venture with Targa Resources Corp. (‘Targa’) to construct a new 200 MMcf/d gas processing plant called Little Missouri 4 (‘LM4’). LM4 was placed in service in 2019. Targa is the operator of the plant.

Operating Segments

The company conducts its business through three operating segments: gathering, processing, and storage; terminaling; as well as export.

Gathering

The company’s gathering segment includes Hess North Dakota Pipeline Operations LP, or Gathering Opco, and Hess Water Services Holdings LLC, which own the following assets:

Natural Gas Gathering and Compression: A natural gas gathering and compression system located primarily in McKenzie, Williams, and Mountrail Counties, North Dakota, connecting Hess and third-party owned or operated wells to the Tioga Gas Plant, Little Missouri 4 (‘LM4’) gas processing plant, and third-party pipeline facilities. The system also includes the Hawkeye Gas Facility.

Crude Oil Gathering: A crude oil gathering system located primarily in McKenzie, Williams, and Mountrail Counties, North Dakota, connecting Hess and third-party owned or operated wells to the Ramberg Terminal Facility, the Tioga Rail Terminal, and the Johnson’s Corner Header System. The system also includes the Hawkeye Oil Facility.

Produced Water Gathering and Disposal: A produced water gathering system and disposal facilities located primarily in Williams and Mountrail counties, North Dakota.

Processing and Storage

The company’s processing and storage segment includes Hess TGP Operations LP, or HTGP Opco, and Hess Mentor Storage Holdings LLC, or Mentor Holdings, which own the following assets, respectively:

Tioga Gas Plant: A natural gas processing and fractionation plant located in Tioga, North Dakota.

Equity Investment in LM4 Joint Venture: A 50% equity method investment in the LM4 joint venture that owns a natural gas processing plant located in McKenzie County, North Dakota, which was placed in service in the third quarter of 2019. Targa Resources Corp. is the operator of the plant.

Mentor Storage Terminal: A propane storage cavern and rail and truck loading and unloading facility located in Mentor, Minnesota.

Terminaling and Export

The company’s terminaling and export segment includes Hess North Dakota Export Logistics Operations LP, or Logistics Opco, which owns each of the following assets:

Ramberg Terminal Facility: A crude oil pipeline and truck receipt terminal located in Williams County, North Dakota, that is capable of delivering crude oil into an interconnecting pipeline for transportation to the Tioga Rail Terminal, Dakota Access Pipeline (‘DAPL’), and other third-party pipelines and storage facilities.

Tioga Rail Terminal: A crude oil and NGL rail loading terminal in Tioga, North Dakota, that is connected to the Tioga Gas Plant, the Ramberg Terminal Facility, and its crude oil gathering system.

Crude Oil Rail Cars: A total of 550 crude oil rail cars, constructed to DOT-117 safety standards, which the company operates as unit trains consisting of approximately 100 to 110 crude oil rail cars.

Johnson’s Corner Header System: An approximately six-mile crude oil pipeline header system located in McKenzie County, North Dakota, that receives crude oil by pipeline from Hess and third parties and delivers crude oil to DAPL and other third-party interstate pipeline systems.

Other DAPL Connections: Various connections into DAPL that receive crude oil by pipeline from the crude oil gathering system for delivery into DAPL.

Commercial Agreements with Hess

The company has long-term fee-based commercial agreements with certain subsidiaries of Hess to provide gas gathering, crude oil gathering, gas processing and fractionation, storage services, terminaling and export services, and water handling services.

For the services performed under these commercial agreements, the company receives a fee per barrel of crude oil, barrel of water, Mcf of natural gas, or Mcf equivalent of NGLs, as applicable, delivered during each month, and Hess is obligated to provide the company with minimum volumes of crude oil, water, natural gas, and NGLs.

Regulation

The company is subject to the Clean Air Act and its regulations, as well as comparable state and local statutes and regulations, in connection with air emissions from the company’s operations.

The company also generates solid wastes, including hazardous wastes, that are subject to the requirements of the federal Resource Conservation and Recovery Act (‘RCRA’), and comparable state statutes.

Regulations under the Clean Water Act (‘CWA’), the Oil Pollution Act of 1990 (‘OPA-90’), and state laws impose regulatory burdens on the company’s operations. The CWA requires the company to maintain Spill Prevention Control and Countermeasure (‘SPCC’) plans at many of its facilities. The company maintains discharge permits for facilities required under the National Pollutant Discharge Elimination System program of the CWA and has implemented processes to oversee its compliance efforts.

In addition, the transportation and storage of crude oil or other hazardous substances over and adjacent to water involves risk and subjects the company to the provisions of OPA-90 and related state requirements. Among other requirements, OPA-90 and the National Contingency Plan require the owner or operator of a tank vessel or a facility to maintain an emergency plan to respond to releases of oil or other hazardous substances.

The company operates facilities at which releases of oil or other hazardous substances could occur. The company has implemented emergency oil response plans for its components and facilities covered by OPA-90, and has established SPCC plans for facilities subject to CWA SPCC requirements.

Construction or maintenance of the company’s pipelines, terminals, and storage facilities may impact wetlands, which are also regulated under the CWA by the EPA and the U.S. Army Corps of Engineers.

The company is subject to the requirements of the Occupational Safety and Health Administration, or OSHA, and comparable state statutes that regulate the protection of the health and safety of workers, as applied to seconded employees from Hess.

The company works to ensure all of its rail cars in crude oil service meet the U.S. Department of Transportation DOT-117 standard applicable to ‘high hazard flammable trains’.

The company’s terminal operations, including associated pipelines, are subject to strict safety laws and regulations, including regulations under OSHA and comparable state and local regulations.

In July 2024, FERC granted the company’s request for temporary waiver of ICA filing and reporting requirements for the transportation in interstate commerce of crude oil produced by an affiliate from production wells in McKenzie County, North Dakota, to the affiliate’s leased storage tank at a storage hub in Williams County, North Dakota.

The company’s natural gas facilities upstream of the Tioga Gas Plant (and upstream of the LM4 processing plant) meet the traditional tests FERC has used to establish whether a pipeline qualifies as ‘gathering’ that is exempt from its jurisdiction under the NGA.

Seasonality

The crude oil, natural gas, and NGLs that the company handles, processes, and stores are directly affected by the level of supply and demand for crude oil, natural gas, and NGLs in the markets served directly or indirectly by its assets. For example, the company generally fills the storage cavern at its Mentor Storage Terminal with propane during the warmer months when demand for propane is low, and gradually withdraws propane from the cavern during the colder months when demand is higher.

History

The company, a Delaware limited partnership, was founded in 2014. The company was incorporated in 2019. The company was formerly known as Hess Midstream Partners LP and changed its name to Hess Midstream LP in December 2019.

Hess Midstream LP Questions and Answers

Which sectors generate sales and which are the top 3 markets?

Branch revenues of Hess Midstream LP: Midstream services: 100% (2025) TOP 3 markets and their percentage shares: USA: approx. 95% Canada: approx. 3% Other international markets: approx. 2% Hess Midstream LP specializes heavily in providing midstream services, which include the transportation, st...

At which locations are the company’s products manufactured?

Production sites of Hess Midstream LP: Hess Midstream LP operates mainly in the USA, particularly in the Bakken region in North Dakota. This region is known for its extensive oil and gas reserves, and Hess Midstream operates a variety of midstream infrastructures there, including pipelines, processi...

What strategy does Hess Midstream LP pursue for future growth?

Dividend Growth: 5% annually (estimated 2025) Capital Investments: 300 million USD (2025) Hess Midstream LP pursues a growth strategy focused on continuously increasing dividends and strategic capital investments. The company plans to increase its dividends by approximately 5% annually, indicating...

Which raw materials are imported and from which countries?

I'm sorry, but I do not have specific information on the commodity imports of Hess Midstream LP (NYSE:HESM) for the year 2025. Hess Midstream LP is a company that primarily focuses on midstream activities, including the gathering, processing, and transportation of crude oil and natural gas. Main act...

How strong is the company’s competitive advantage?

Competitive Advantage: Moderate to strong Hess Midstream LP benefits from several factors that strengthen its competitive advantage. Firstly, the company has long-term contracts with its main customer, Hess Corporation, ensuring stable revenues. These contracts are often volume-based and provide pro...

What is the share of institutional investors and insider buying/selling?

Institutional Investor Share: approximately 70% (estimated for 2025) Insider Buys/Sells: No significant transactions in the last year (estimated for 2025) The institutional investor share at Hess Midstream LP traditionally stands at around 70%, indicating the trust of large investment funds and inst...

What percentage market share does Hess Midstream LP have?

Market share of Hess Midstream LP: Estimate: approximately 3-5% (2025) Major competitors and their market shares: Enterprise Products Partners L.P.: around 15% Kinder Morgan, Inc.: around 12% Energy Transfer LP: around 10% Williams Companies, Inc.: around 8% MPLX LP: around 7% Plains All American P...

Is Hess Midstream LP stock currently a good investment?

Revenue Growth: Estimated 8% (2024) EBITDA Growth: Estimated 10% (2024) Cash Flow Stability: High Hess Midstream LP has experienced solid revenue and EBITDA growth in recent years. This can be attributed to the strategic expansion of their infrastructure and the increasing demand for midstream servi...

Does Hess Midstream LP pay a dividend – and how reliable is the payout?

Dividend Yield: 7.5% (estimated for 2025) Dividend History: Continuous payouts for several years Hess Midstream LP is known for its reliable dividend payments. The company has a history of stable and regular distributions, making it attractive for dividend investors. The estimated dividend yield o...

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Hess Midstream LP Stock Value

Hess Midstream LP Company Info

Analyst Price Target

Top growth stocks in the energy sector (5Y.)

What does Hess Midstream LP do?

Hess Midstream LP Questions and Answers

Offer & Services

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