PAGP vs WES

For growth investors, Western Midstream Partners, LP (WES) is the stronger pick with 6.

6% revenue growth year-over-year, versus 2. 8% for Plains GP Holdings, L. P. (PAGP). Western Midstream Partners, LP (WES) offers the better valuation at 14. 4x trailing P/E (13. 6x forward), making it the more compelling value choice. Analysts rate Plains GP Holdings, L. P. (PAGP) a "Buy" — based on 29 analyst ratings — the highest consensus in this comparison. The "better buy" depends entirely on your goals: growth investors should weight revenue trajectory, value investors should weight P/E and PEG, and income investors should weight dividend yield and streak.

On trailing P/E, Western Midstream Partners, LP (WES) is the cheapest at 14.

4x versus Plains GP Holdings, L. P. at 45. 4x. On forward P/E, Plains GP Holdings, L. P. is actually cheaper at 12. 5x — notably different from the trailing picture, reflecting expected earnings growth.

Over the past 5 years, Plains GP Holdings, L.

P. (PAGP) delivered a total return of +204. 0%, compared to +170. 5% for Western Midstream Partners, LP (WES). Over 10 years, the gap is even starker: WES returned +72. 1% versus PAGP's +51. 9%. Past returns do not guarantee future results, and the stock with the higher historical return may already have its best growth priced in.

By beta (market sensitivity over 5 years), Plains GP Holdings, L.

P. (PAGP) is the lower-risk stock at 0. 10β versus Western Midstream Partners, LP's 0. 28β — meaning WES is approximately 166% more volatile than PAGP relative to the S&P 500. On balance sheet safety, Plains GP Holdings, L. P. (PAGP) carries a lower debt/equity ratio of 55% versus 2% for Western Midstream Partners, LP — giving it more financial flexibility in a downturn.

By revenue growth (latest reported year), Western Midstream Partners, LP (WES) is pulling ahead at 6.

6% versus 2. 8% for Plains GP Holdings, L. P. (PAGP). On earnings-per-share growth, the picture is similar: Western Midstream Partners, LP grew EPS -25. 4% year-over-year, compared to -49. 0% for Plains GP Holdings, L. P.. Over a 3-year CAGR, PAGP leads at 6. 0% annualised revenue growth. Higher growth typically commands a higher valuation multiple — check whether the premium P/E or P/S is justified by the growth rate using the PEG ratio.

Western Midstream Partners, LP (WES) is the more profitable company, earning 30.

4% net margin versus 0. 2% for Plains GP Holdings, L. P. — meaning it keeps 30. 4% of every revenue dollar as bottom-line profit. Operating margin tells a similar story: WES leads at 41. 3% versus 2. 3% for PAGP. At the gross margin level — before operating expenses — WES leads at 68. 5%, reflecting greater pricing power or product mix advantage. Stronger margins indicate durable pricing power, lower cost of revenue, or higher mix of software/services. They are one of the clearest signs of business quality.

On forward earnings alone, Plains GP Holdings, L.

P. (PAGP) trades at 12. 5x forward P/E versus 13. 6x for Western Midstream Partners, LP — 1. 1x cheaper on a one-year earnings basis. Analyst consensus price targets imply the most upside for PAGP: -3. 7% to $22. 75.

All stocks in this comparison pay dividends.

Western Midstream Partners, LP (WES) offers the highest yield at 8. 2%, versus 5. 4% for Plains GP Holdings, L. P. (PAGP).

For long-horizon retirement investors, Plains GP Holdings, L.

P. (PAGP) is the stronger choice — it scores higher on the combination of lower volatility, dividend reliability, and long-term compounding (low volatility (β 0. 10), 5. 4% yield). Both have compounded well over 10 years (PAGP: +51. 9%, WES: +72. 1%), confirming both are viable long-term holds — but the lower-volatility option typically results in less emotional selling during corrections. Retirement portfolios generally favour predictability over maximum returns. Consult a financial advisor before making allocation decisions.

Both stocks operate in the Energy sector, making this a peer-level intra-sector comparison — the same macro tailwinds and headwinds will affect both.

In terms of investment character: PAGP is a small-cap income-oriented stock; WES is a mid-cap deep-value stock. These fundamental differences mean investors should not choose between them on a single metric — the "better stock" depends entirely on which of these characteristics aligns with your investment strategy.