Plains All American Pipeline, L.P. (PAA) Valuation

Valuation

Model-based estimates, not advice. The DCF is the discounted-cash-flow value per share; compare it with the price, not as a target.

DCF fair value

+113.6%

$54.91

vs $25.70 price

Levered DCF

$64.44

After debt service

Piotroski score

6 / 9

Average

Altman Z-score

2.78

Grey zone

Rating

A+

Overall 4 / 5

Ratios by fiscal year

Margins and yields are shares of revenue, equity or price; multiples are ×.

Metric	FY2025	FY2024	FY2023	FY2022	FY2021	FY2020	FY2019	FY2018
P/E	10.82×	23.4×	10.82×	9.88×	16.98×	-2.15×	6.79×	7.23×
P/B	1.29×	1.22×	1.02×	0.82×	0.67×	0.63×	1.02×	1.33×
P/S	0.29×	0.24×	0.22×	0.14×	0.16×	0.26×	0.4×	0.47×
EV / EBITDA	6.61×	7.16×	5.94×	5.98×	8.27×	-10.98×	7.18×	9.35×
Gross margin	6.0%	3.4%	5.7%	3.3%	4.1%	4.9%	6.9%	7.3%
Operating margin	3.2%	2.4%	3.1%	2.3%	2.0%	-10.2%	5.9%	6.7%
Net margin	3.2%	1.5%	2.5%	1.8%	1.4%	-11.1%	6.4%	6.5%
Current ratio	0.96×	0.97×	0.98×	0.91×	0.98×	0.86×	0.92×	1.02×
Debt / equity	1.15×	0.81×	0.77×	0.88×	0.97×	1.11×	0.78×	0.77×
Interest coverage	2.59×	2.74×	3.91×	3.19×	2×	-5.45×	4.68×	5.28×
Dividend yield	10.2%	9.5%	9.3%	9.5%	10.7%	14.2%	9.0%	6.4%
Payout ratio	90.2%	148.3%	80.4%	75.4%	120.6%	-32.9%	55.4%	46.6%

Key metrics by fiscal year

Metric	FY2025	FY2024	FY2023	FY2022	FY2021	FY2020	FY2019	FY2018
Return on equity	14.6%	7.9%	11.8%	10.3%	5.9%	-27.0%	16.6%	18.5%
Return on invested capital	5.6%	4.7%	6.1%	4.8%	3.3%	-11.1%	8.0%	9.4%
Return on assets	4.8%	2.9%	4.5%	3.7%	2.1%	-10.6%	7.6%	8.7%
Free cash flow yield	18.1%	15.6%	20.5%	23.7%	24.8%	12.9%	9.9%	6.1%
Earnings yield	11.3%	6.4%	11.6%	12.6%	8.9%	-43.2%	16.2%	13.8%
Enterprise value	$19.2B	$19.6B	$18.2B	$16.7B	$15.9B	$16.6B	$23.5B	$25.2B
Net debt / EBITDA	2.26×	2.77×	2.48×	3.02×	4.78×	-7.01×	3.1×	3.4×
Cash conversion cycle (days)	-6	2	2	3	4	11	3	2