DT Midstream (DTM)
NYSEEnergyOil & Gas MidstreamSnapshot 2026-09-09
$130.10-0.79%
Close 2026-09-09 · 1-day change
NYSEEnergyOil & Gas MidstreamSnapshot 2026-09-09
Intact: The reason to own it still holds.
DT Midstream grows dividends steadily, raising quarterly payouts from $0.735 to $0.88. Operating income rose from $113 million to $166 million, showing better efficiency. Cash from operations increased from $152 million to $280 million, supporting growth and dividends.
Excessive pricing risks hurting operating income. Executive changes may disrupt management. The stock is expensive with a PE of 32.3, above peers.
The price is about 25% above our fair value near $118. Analysts expect 7% revenue growth, which is factored into the price. Our fair value is well below the Street median, reflecting caution.
Breaks if: cash from operations falls below $280 million in 2026-Q1
Breaks if: dividend per share falls below $0.88 in 2026-Q1
This is not a price target or investment advice.
A long-form read on the 1–3 year hold thesis. It updates when the weekly evidence changes.
DTM represents a durable compounder in the Energy sector. The current thesis state is stable, as management is focused on delivering growth and increasing dividends, despite some recent volatility in earnings performance.
The market currently reflects an expensive valuation compared to peers, driven by a durable premium. There is an expectations gap, suggesting that investors are anticipating strong performance, even as execution quality has been weak.
Management is on track to meet its 2026 Adjusted EBITDA guidance and has shown commitment to increasing dividends. However, there is a moderate risk due to the potential for earnings misses, as the company has recently experienced a run of consecutive misses.
The thesis hinges on the ability of DTM to maintain its guidance and the performance of sector bellwethers like ENB, WMB, and ET. Additionally, inflation trends could impact the overall sector positively, while any cuts to guidance would likely lead to negative sentiment.
The most important moves since the prior daily snapshot.
Mixed, the news cuts both ways. Wolfe Research upgraded the stock rating, citing a positive growth outlook. This supports the 2026 Adjusted EBITDA guidance of $1.155 to $1.225 billion. However, the latest earnings report showed a miss, which poses a threat to the thesis.
as of 2026-09-09
Review the evidence to watch, what would become a concern, and what would make it less concerning.
Not investment advice. Scores describe historical and current data; they are not forecasts of future returns. Consult a licensed advisor before making investment decisions.
DT Midstream aims to consistently increase its quarterly dividend to shareholders.
Breaks if: operating income falls below $166 million in 2026-Q1
Breaks if: PE ratio rises above 32.3
In the next 1 to 3 years, DTM's performance will depend on management's execution and sector dynamics. Not investment advice.