Plains All American Pipeline L.P. Common Units representing Limited Partner Interests (PAA)

FairStock Score: 57/100 — STEADY

Key Financials

AI Analysis

AI-generated, general educational analysis — not personal investment advice.

As a Buffett/Graham-style investor, I look first at what I own: PAA is a midstream operator of crude oil and NGL pipelines, terminals, and storage, infrastructure that can be costly to replicate. That should give it a narrow edge, but it is not a toll road without risks; volumes, contracts, and merchant activity matter. The filed numbers show a mixed picture. In fiscal Q2 2026, the quarter ended 2026-06-30, revenue was $17.7B and net income was $1.8B, a strong quarter. But fiscal Q1 2026, ended 2026-03-31, had revenue of $12.5B and net income of only $152.0M, so results swing. For FY2025, revenue was $44.3B and net income $1.4B; FY2024 had revenue $48.9B and net income $772M. So profit improved while revenue fell. Free cash flow is the attraction: $2.4B trailing, a 13.5% FCF yield per FairStock. The 6.43% dividend yield is well covered by that cash, and beta of 0.49 suggests low market sensitivity. Still, FairStock's ratios give pause. At the 2026-10-13 close of $24.92, P/E is 21.30, P/B 1.95, EV/EBITDA 8.17, and ROCE only 3.55%. The Graham Number is $20.33, leaving a negative 22.58% margin of safety. Altman Z-score 1.39 and D/E 0.60 indicate balance-sheet care is needed. FairStock Score is 57/100; Lynch category is STALWART, with profit 24.7% a year over four years but revenue 1.3%. The cash flow is real, but the price asks for patience and a margin of safety that is not currently obvious.

In plain English: Plains All American Pipeline moves and stores crude oil and natural gas liquids through pipelines, terminals, and storage in the U.S. and Canada. The company produces a lot of cash and pays a high cash income to its owners, but profits bounce around and it uses a fair amount of debt. At the recent price, the units look a little expensive compared with what its earnings and assets alone suggest.

The full AI analysis, bull and bear case and key monitorables are in FairStock Pro.

Data as of 2026-10-13 close · note generated 2026-10-15 · model deepseek-flash

Sources (SEC EDGAR): fiscal Q2 2026 10-Q (period ended 2026-06-30) · fiscal Q1 2026 10-Q (period ended 2026-03-31) · fiscal Q4 2025 10-K (period ended 2025-12-31) · fiscal Q3 2025 10-K (period ended 2025-09-30) · FY2025 10-K (period ended 2025-12-31) · FY2024 10-K (period ended 2024-12-31) · FY2023 10-K (period ended 2023-12-31)

Fundamentals from company filings and market-data providers; prices are end-of-day, not real-time. AI-generated analysis is general and educational — not personal investment advice. Scoring methodology · Score test · Disclaimer