Tidewater Midstream and Infrastructure (TSE:TWM) is one of the most versatile and diversified midstream and infrastructure companies in North America. The company mainly focuses on natural gas, natural gas liquids (NGLs), and crude oil operations and processing plants located in the Deep Basin, Edmonton, and Montney regions of Alberta and British Columbia.
On March 9th, Tidewater Midstream and Infrastructure released its quarterly earnings data. Unfortunately, the company fell short of analyst estimates with C($0.01) earnings per share for the quarter as opposed to the consensus estimate of C$0.04 by C($0.05). However, despite this setback, Tidewater Midstream and Infrastructure had revenue of C$711.10 million during the quarter.
Tidewater Midstream and Infrastructure is a company that operates through its subsidiaries; these firms work together using unparalleled technology to create masterpieces in energy distribution. The company boasts an experienced workforce committed to offering cost-effective solutions while surpassing customer expectations.
Shares of TSE:TWM opened at C$0.94 on Monday, whereby over the past year, the lowest traffic was recorded at C$0.84 compared to high trading points marked at C$1.72 during that same period.
It is notable that Tidewater Midstream and Infrastructure has a debt-to-equity ratio of 94.08%, which seems somewhat high under normal market conditions; this financial analysis may discourage potential investors from purchasing shares into the firm at present levels.
However, it’s worth adding that Tidewater Midstream and Infrastructure has an admirable return on equity figure of around 2.72%. Even though it may not be ideal when compared to more successful corporate entities across industry segments – this performance statistic tells us that the firm can spin every dollar invested into significant profits at optimal business operating periods.
Furthermore, as regards pricing analysis charts based on historical trades, the technical trend remains slightly bearish as per the 50-day moving average price of C$0.97 and a 200-day moving average price of C$1.04., meaning it might be best to approach Tidewater Midstream and Infrastructure stock with caution and carefully scrutinize all vital fundamental analysis metrics before making any optimistic trade orders.
Final thoughts: Regardless of earnings setbacks, Tidewater Midstream and Infrastructure has continued to operate due to its robust leadership, reliable technology platforms, and agile workforce. The company prides itself on using cost-effective solutions while surpassing customer expectations to offer energy distribution across North America. Nonetheless, until favorable financial ratios manifest beyond the firm’s present capital structure features, it is advisable to tread carefully in trading TSE:TWM shares.
Tidewater Midstream and Infrastructure Ltd. Faces Reduced Q1 Earnings Estimates and Negative Sentiment
Tidewater Midstream and Infrastructure Ltd. (TSE:TWM) has recently dealt with the reduction of their Q1 2023 earnings per share estimates by stock analysts at ATB Capital Markets. In a report released on Thursday, April 20th, Atb Cap Markets analyst N. Heywood stated that they now anticipate that the company will post earnings of $0.00 per share for the quarter, down from their previous estimate of $0.01. The consensus estimate for Tidewater Midstream and Infrastructure’s full-year earnings is currently set at $0.14 per share.
This news has not been well-received, as a number of other brokerages have also voiced concern over this development in recent times. Scotiabank reduced their target price on shares of Tidewater Midstream and Infrastructure from C$1.50 to C$1.30 in a report on Friday, March 10th, adding to the negative sentiment surrounding this stock.
Whilst three investment analysts have rated the stock as “hold”, three others believe Tidewater Midstream and Infrastructure is a good buy opportunity at present. Bloomberg reports that Tidewater Midstream has an average price target of C$1.43, marking it out as a potentially rewarding investment for those willing to take some risks.
However, investors may be buoyed by the fact that Tidewater Midstream and Infrastructure recently declared its quarterly dividend payment which will take place on Friday, April 28th. Shareholders of record on Friday, March 31st will be given a $0.01 dividend; this represents a $0.04 annualized dividend and presents an impressive yield of 4.26%. The ex-dividend date for this payment was Thursday, March 30th.
Overall investors need to sit tight while keeping one eye on how upcoming events play out before making any big decisions regarding investing in Tidewater Midstream and Infrastructure. It remains to be seen what the next stage is for this developing situation, and wiser minds may wait until more information becomes available before taking any big risks in this market.