HESM (Hess Midstream LP) ROCE %: 23.16% (As of Mar. 2026)

What is Hess Midstream LP ROCE %?

Hess Midstream LP HESM +1.05% 67 ROCE % is 23.16% as of Mar. 2026. GuruFocus rates HESM with a GF Score™ of 67/100 and a GF Value™ of $24.43 (Significantly Overvalued). The stock has 8 warning signs investors should review.

ROCE % measures how well a company generates profits from its capital. It is calculated as EBIT divided by Capital Employed, where Capital Employed is calculated as Total Assets minus Total Current Liabilities. Hess Midstream LP's annualized ROCE % for the quarter that ended in Mar. 2026 was 23.16%.

Hess Midstream LP (NYSE:HESM) ROCE % Explanation

ROCE % can be especially useful when comparing the performance of capital-intensive companies. Unlike ROE %, which indicates the profitability of Shareholders Equity, ROCE % also considers long-term debt in Capital Employed. This can be helpful when analyzing companies with significant debt, as the result is neutralized by taking debt into consideration.

Generally speaking, a higher ROCE % indicates a stonger profitability for a company. Moreover, it is important to look at the ratio from a long term perspective. Investors tend to favor companies with stable and rising ROCE % trend over those with volatile ones.

Hess Midstream LP ROCE % Related Terms

Hess Midstream LP ROCE % Historical Data

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The historical data trend for Hess Midstream LP's ROCE % can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Hess Midstream LP ROCE % Chart

Hess Midstream LP Annual Data

Trend

Dec16

Dec17

Dec18

Dec19

Dec20

Dec21

Dec22

Dec23

Dec24

Dec25

ROCE %

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22.48

23.62

23.53

24.84

25.18

Hess Midstream LP Quarterly Data
	Jun21	Sep21	Dec21	Mar22	Jun22	Sep22	Dec22	Mar23	Jun23	Sep23	Dec23	Mar24	Jun24	Sep24	Dec24	Mar25	Jun25	Sep25	Dec25	Mar26
ROCE %	Get a 7-Day Free Trial															24.05	25.50	25.08	24.24	23.16

67GF Score

Hess Midstream LP HESM

ROCE % is just one metric. See GF Score™, valuation, warning signs, and more.

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Hess Midstream LP ROCE % Calculation

Hess Midstream LP's annualized ROCE % for the fiscal year that ended in Dec. 2025 is calculated as:

ROCE %	=	EBIT	/	( (Capital Employed	+	Capital Employed)	/ count )
		(A: Dec. 2025 )		(A: Dec. 2024 )		(A: Dec. 2025 )
	=	EBIT	/	( ( (Total Assets - Total Current Liabilities)	+	(Total Assets - Total Current Liabilities) )	/ count )
		(A: Dec. 2025 )		(A: Dec. 2024 )		(A: Dec. 2025 )
	=	1024	/	( ( (4151 - 219.3)	+	(4388.3 - 187.8) )	/ 2 )
	=	1024	/	( (3931.7	+	4200.5)	/ 2 )
	=	1024	/	4066.1
	=	25.18 %

Hess Midstream LP's ROCE % of for the quarter that ended in Mar. 2026 is calculated as:

ROCE %	=	EBIT ⁽¹⁾	/	( (Capital Employed	+	Capital Employed)	/ count )
		(Q: Mar. 2026 )		(Q: Dec. 2025 )		(Q: Mar. 2026 )
	=	EBIT	/	( ( (Total Assets - Total Current Liabilities)	+	(Total Assets - Total Current Liabilities) )	/ count )
		(Q: Mar. 2026 )		(Q: Dec. 2025 )		(Q: Mar. 2026 )
	=	965.2	/	( ( (4388.3 - 187.8)	+	(4317.2 - 181.2) )	/ 2 )
	=	965.2	/	( ( 4200.5	+	4136 )	/ 2 )
	=	965.2	/	4168.25
	=	23.16 %

(1) Note: The EBIT data used here is four times the quarterly (Mar. 2026) EBIT data.

Frequently Asked Questions Learn more about ROCE % →

What does a ROCE % of 23.16% mean?

Hess Midstream LP (HESM) has a ROCE % of 23.16% as of Mar. 2026.

Is Hess Midstream LP's ROCE % too high?

Hess Midstream LP's current ROCE % is 23.16%. The Oil & Gas industry median ROCE % is 6.79. Hess Midstream LP's value of 23.16% is 241.1% above this industry median. Overall, Hess Midstream LP has a GF Score™ of 67/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.

How does Hess Midstream LP's ROCE % compare to PAGP and GLNG?

Hess Midstream LP's ROCE % of 23.16% can be compared against companies in the Oil & Gas industry. The industry median ROCE % is 6.79. Hess Midstream LP's value of 23.16% is 241.1% above this benchmark. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.

What is a good ROCE % for an Oil & Gas company?

The median ROCE % among Oil & Gas companies is 6.79, based on 977 companies in the industry. Companies in the top quartile (top 25%) have a ROCE % significantly above this median, while those in the bottom quartile fall well below. However, ROCE % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Hess Midstream LP's current ROCE % of 23.16% is 241.1% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.

What does a high ROCE % mean?

A high ROCE % can signal that a stock is expensive relative to its fundamentals. For the Oil & Gas industry, the median ROCE % is 6.79 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Hess Midstream LP's current ROCE % is 23.16%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.

Is Hess Midstream LP stock overvalued right now?

Based on GuruFocus' analysis, Hess Midstream LP (HESM) is currently considered Significantly Overvalued. The stock's GF Value™ is $24.43, compared to a current price of $37.67 — trading 54.2% above its estimated fair value. The current ROCE % is 23.16% and 241.1% above the Oil & Gas industry median of 6.79. Hess Midstream LP's overall GF Score™ is 67/100 with 8 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.

How is ROCE % calculated?

ROCE % is calculated from a company's financial statements. For Hess Midstream LP (HESM), the current ROCE % is 23.16% as of Mar. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

Is Hess Midstream LP (HESM) Overvalued in 2026?

Based on GuruFocus' analysis, Hess Midstream LP stock appears to be overvalued. The current stock price of $37.67 is trading 54.2% above its estimated GF Value™ of $24.43. GuruFocus considers Hess Midstream LP to be Significantly Overvalued.

Key valuation signals for HESM:

ROCE %: 23.16%
GF Value™: $24.43 vs. price of $37.67 (54.2% above fair value)
GF Score™: 67/100 with 8 warning signs
Industry Position: 241.1% above the Oil & Gas median

No single metric tells the full story. See the HESM stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.

Hess Midstream LP Business Description

Industry Energy Oil & Gas

Comparable Companies PAGP GLNG INSW STNG KNTK SUNC DHT TNK NGL FRO TSX:ENB WMB EPD TSX:TRP KMI ET MPLX TRGP OKE LNG

Address 1400 Smith Street, Houston, TX, USA, 77002

Website https://www.hessmidstream.com

Hess Midstream LP is a fee-based, growth-oriented limited partnership that owns, operates, develops, and acquires a portfolio of midstream assets. The company provides fee-based services to Chevron Corporation and generates all of its revenue by charging fees for gathering, compressing, and processing natural gas, fractionating NGLs, gathering, terminaling, loading, and transporting crude oil and NGLs, storing and terminaling propane, and gathering and disposing of produced water. It operates through gathering, processing, and storage, and terminaling and export segments, with the gathering segment contributing the maximum share of revenue and comprising natural gas gathering and compression, as well as crude oil gathering and produced water gathering and disposal assets.

67GF Score

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$37.67

Price

$24.43

GF Value

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