Besides Wall Street's top-and-bottom-line estimates for Pembina Pipeline (PBA), review projections for some of its key metrics to gain a deeper understanding of how the company might have fared during the quarter ended December 2025.
Pembina Pipeline Corporation offers a resilient, diversified midstream model with 65%-75% take-or-pay contracts, ensuring predictable cash flows. PBA's growth outlook is driven by new assets, higher utilization, and the Cedar LNG project, though execution risk remains from customer project delays. I set a $46.32 price target, representing 7% upside, justified by stable fee-based EBITDA, dividend growth, and strong financial positioning.
PBA's strong commercial pipeline and hedging protect against volatility, but Cedar LNG delays, project uncertainties and market underperformance pose risks to growth.
| Oil, Gas & Consumable Fuels Industry | Energy Sector | J. Scott Burrows CEO | XBER Exchange | CA7063271034 ISIN |
| CA Country | 2,997 Employees | 15 Dec 2025 Last Dividend | - Last Split | - IPO Date |
Pembina Pipeline Corporation is a significant player in the energy sector, offering transportation and midstream services. Founded in 1954 and headquartered in Calgary, Canada, the company plays a crucial role in the North American energy infrastructure landscape. Pembina operates through three primary segments: Pipelines, Facilities, and Marketing & New Ventures, each catering to different aspects of the energy supply chain. The company boasts extensive pipeline networks, storage capabilities, and marketing operations, making it vital for the transportation and processing of oil, natural gas, and natural gas liquids (NGLs) across the continent.
This segment includes conventional, oil sands and heavy oil, and transmission assets, which are essential for the transportation of 3.1 million barrels of oil equivalent per day. The segment also features ground storage facilities capable of holding 11 million barrels and a rail terminalling capacity of about 105,000 barrels of oil equivalent per day. These assets are strategically deployed across North America to ensure efficient delivery of energy products to markets and basins.
Offering vital infrastructure for the processing and handling of natural gas, condensate, and NGLs, including ethane, propane, butane, and condensate. The Facilities segment boasts 354,000 barrels per day of NGL fractionation capacity, 21 million barrels of cavern storage capacity, and comprehensive pipeline and rail terminalling facilities. These operations are designed to meet the needs of customers requiring processing services or storage solutions.
In this segment, Pembina engages in the buying and selling of hydrocarbon liquids and natural gas coming from the Western Canadian sedimentary basin and other regions. This activity not only leverages the company's network and facilities for optimization and profit but also enables the exploration of new ventures and opportunities in the energy market, aligning with the company’s growth and diversification strategies.