Assessing Hess Midstream’s Valuation After New 2026 Guidance and Board Leadership Changes

Hess Midstream (HESM) has paired a leadership shake up with fresh 2026 guidance, naming Kristi McCarthy as board chair, adding Chevron executive Barbara Harrison, and outlining higher net income and throughput targets.

See our latest analysis for Hess Midstream.

The leadership refresh and 2026 guidance arrive after a mixed stretch, with the share price at $33.86 and a year-to-date share price return of negative 9.92 percent, contrasted against a resilient 5-year total shareholder return of 151.61 percent. This suggests long-term momentum is still intact even as near-term sentiment cools.

If this kind of strategic repositioning has you thinking more broadly about infrastructure and energy plays, it could also be worth scanning fast growing stocks with high insider ownership for other compelling ideas.

With the stock trading below analyst targets, yet boasting robust multi year returns and double digit profit growth, the key question now is whether Hess Midstream is still undervalued or if the market is already pricing in future gains.

Most Popular Narrative Narrative: 8.1% Undervalued

Compared with the last close at $33.86, the most followed narrative pegs Hess Midstream’s fair value nearer the high 30s, implying modest upside if assumptions hold.

Analysts are assuming Hess Midstream's revenue will grow by 9.8% annually over the next 3 years. Analysts assume that profit margins will increase from 18.5% today to 37.0% in 3 years time.

Read the complete narrative.

Curious how a midstream operator earns a premium style valuation without sky high growth? The story focuses on rising margins, accelerating earnings power, and a richer future multiple. Want to see the full playbook behind that projection?

Result: Fair Value of $36.86 (UNDERVALUED)

Have a read of the narrative in full and understand what's behind the forecasts.

However, that upside case hinges on Chevron maintaining Bakken activity and on Bakken volumes not disappointing as the basin gradually matures.

Find out about the key risks to this Hess Midstream narrative.

Build Your Own Hess Midstream Narrative

If you are not fully aligned with this view or want to dig into the numbers yourself, you can build a custom narrative in under three minutes, Do it your way.

A great starting point for your Hess Midstream research is our analysis highlighting 3 key rewards and 2 important warning signs that could impact your investment decision.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

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