Update shared on 16 Nov 2025
Fair value Increased 2.24%Analysts raised their price target for DT Midstream by $12.58 to $128, citing positive developments such as the successful open season for the Guardian expansion as key drivers for improved valuation.
Analyst Commentary
Bullish Takeaways
- Bullish analysts have increased their price targets, reflecting growing confidence in DT Midstream's growth prospects.
- The successful open season for the Guardian expansion is seen as a key catalyst for future revenue and earnings acceleration.
- Improved project execution and asset performance are contributing factors to higher valuation expectations.
- The company's continued commitment to strategic expansions positions it favorably within its market segment, supporting stronger long-term growth projections.
Bearish Takeaways
- Some analysts remain cautious about execution risks associated with expansion projects, which could impact timelines and returns.
- There are concerns regarding industry competition, which may pressure margins and slow valuation growth.
- Potential regulatory hurdles or shifts in market demand could pose challenges to planned expansions and overall company performance.
What's in the News
- DT Midstream closed a successful binding open season to award expansion capacity on Guardian Pipeline, awarding capacity to five shippers totaling 328,103 Dth per day (Key Developments).
- The new expansion, combined with capacity awarded in July 2025, raises Guardian Pipeline's expansion capacity to 536,903 Dth per day. This represents a roughly 40% increase over current capacity (Key Developments).
- The targeted in-service date for the newly awarded Guardian expansion capacity is November 1, 2028 (Key Developments).
Valuation Changes
- Fair Value Estimate has increased modestly from $115.42 to $118.00 per share.
- Discount Rate has edged down from 7.13% to 6.96%, reflecting lower perceived risk in valuation models.
- Revenue Growth Forecast has declined slightly from 10.56% to 10.05%.
- Net Profit Margin Projection has decreased from 39.38% to 36.12%.
- Future Price-to-Earnings (P/E) Ratio has risen from 26.33x to 29.60x, indicating a higher expected valuation multiple for future earnings.
Disclaimer
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