Stock of the Day

Pembina Pipeline (PBA)

$37.65

-$0.12 (-0.3%)

Market Cap: $21.90B

About Pembina Pipeline

Pembina Pipeline Corporation provides energy transportation and midstream services. It operates through three segments: Pipelines, Facilities, and Marketing & New Ventures. The Pipelines segment operates conventional, oil sands and heavy oil, and transmission assets with a transportation capacity of 2.9

millions of barrels of oil equivalent per day, the ground storage capacity of 10 millions of barrels, and rail terminalling capacity of approximately 105 thousands of barrels of oil equivalent per day serving markets and basins across North America. The Facilities segment offers infrastructure that provides customers with natural gas, condensate, and natural gas liquids (NGLs), including ethane, propane, butane, and condensate; and includes 354 thousands of barrels per day of NGL fractionation capacity, 21 millions of barrels of cavern storage capacity, and associated pipeline, and rail terminalling facilities and a liquefied propane export facility. The Marketing & New Ventures segment buys and sells hydrocarbon liquids and natural gas originating in the Western Canadian sedimentary basin and other basins. Pembina Pipeline Corporation was incorporated in 1954 and is headquartered in Calgary, Canada.

Pembina Pipeline Bull Case

Here are some ways that investors could benefit from investing in Pembina Pipeline Co.:

• The stock has recently been upgraded to a "buy" rating by Citigroup, indicating positive sentiment from analysts.
• Pembina Pipeline Co. has a strong market capitalization of approximately $21.66 billion, suggesting stability and growth potential.
• The current stock price is around $37.30, which may present a buying opportunity for investors looking for value.
• Institutional investors own over 55% of the company's stock, reflecting confidence from large financial entities.
• The company has shown resilience with a relatively low debt-to-equity ratio, indicating a manageable level of debt compared to its equity.

Pembina Pipeline Bear Case

Investors should be bearish about investing in Pembina Pipeline Co. for these reasons:

• Recent selling by institutional investors, such as Schonfeld Strategic Advisors LLC, which reduced its holdings by 95.9%, may signal a lack of confidence.
• The stock has experienced fluctuations, with a 12-month low of $34.13, indicating potential volatility.
• Despite a strong market cap, the company's PE ratio of around 15.40 suggests that it may not be undervalued compared to its earnings.
• The current ratio of 0.65 indicates that the company may have challenges meeting short-term liabilities, which could be a concern for liquidity.
• Market conditions and regulatory changes in the pipeline industry could impact future performance and investor returns.

Recent News

• Pembina Pipeline Corporation Announces Closing of $200 Million Subordinated Note Offering (businesswire.com)
• Pembina Pipeline Corporation Announces $200 Million Subordinated Note Offering (businesswire.com)
• Pembina Pipeline Corp. stock falls Friday, still outperforms market (marketwatch.com)
• Pembina Pipeline Corporation Announces Redemption of Series 19 Preferred Shares (businesswire.com)