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Plains All American Pipeline LPPAA -0.28%73 Altman Z-Score is 2.18 as of Jul. 30, 2026, which is 3% above its 10-year median of 2.12. GuruFocus rates PAA with a GF Score™ of 73/100 and a GF Value™ of $17.28 (Significantly Overvalued). The stock has 14 warning signs investors should review. Among 897 Oil & Gas companies, Plains All American Pipeline LP ranks better than 55.96% on this metric.
The Altman Z-Score is a model designed to predict the likelihood of a company going bankrupt within the next two years. Created by American finance professor Edward Altman in 1968, the model is specifically designed for publicly traded manufacturing companies with assets greater than $1 million.
Warning Sign:
Altman Z-score of 2.18 is in the grey area. This implies that the company is under some kind of financial stress. If it is below 1.8, the company may face bankruptcy risk.
Plains All American Pipeline LP has a Altman Z-Score of 2.18, indicating it is in Grey Zones. This implies that Plains All American Pipeline LP is in some kind of financial stress. If it is below 1.81, the company may face bankrupcy risk.
The zones of discrimination were as such:
When Altman Z-Score <= 1.8, it is in Distress Zones.
When Altman Z-Score >= 3, it is in Safe Zones.
When Altman Z-Score is between 1.8 and 3, it is in Grey Zones.
The historical rank and industry rank for Plains All American Pipeline LP's Altman Z-Score or its related term are showing as below:
PAA'
s Altman Z-Score Range Over the Past 10 Years
Min: 0.87 Med: 2.12 Max: 2.65
Current: 2.18
During the past 13 years, Plains All American Pipeline LP's highest Altman Z-Score was 2.65. The lowest was 0.87. And the median was 2.12.
Plains All American Pipeline LP (NAS:PAA) Altman Z-Score Explanation
X1: The Working Capital/Total Assets (WC/TA) ratio is a measure of the net liquid assets of the firm relative to the total capitalization. Working capital is defined as the difference between current assets and current liabilities. Ordinarily, a firm experiencing consistent operating losses will have shrinking current assets in relation to total assets. Altman found this one proved to be the most valuable liquidity ratio comparing with the current ratio and the quick ratio. This is however the least significant of the five factors.
X2: Retained Earnings/Total Assets: the RE/TA ratio measures the leverage of a firm. Retained earnings is the account which reports the total amount of reinvested earnings and/or losses of a firm over its entire life. Those firms with high RE, relative to TA, have financed their assets through retention of profits and have not utilized as much debt.
X3, Earnings Before Interest and Taxes/Total Assets (EBIT/TA): This ratio is a measure of the true productivity of the firm's assets, independent of any tax or leverage factors. Since a firm's ultimate existence is based on the earning power of its assets, this ratio appears to be particularly appropriate for studies dealing with corporate failure. This ratio continually outperforms other profitability measures, including cash flow.
X4, Market Value of Equity/Book Value of Total Liabilities (MVE/TL): The measure shows how much the firm's assets can decline in value (measured by market value of equity plus debt) before the liabilities exceed the assets and the firm becomes insolvent.
X5, Revenue/Total Assets (S/TA): The capital-turnover ratio is a standard financial ratio illustrating the sales generating ability of the firm's assets.
* 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.
Plains All American Pipeline LP Altman Z-Score Chart
For the Oil & Gas Midstream subindustry, Plains All American Pipeline LP's Altman Z-Score, along with its competitors' market caps and Altman Z-Score data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
Plains All American Pipeline LP Altman Z-Score vs Oil & Gas Industry
For the Oil & Gas industry and Energy sector, Plains All American Pipeline LP's Altman Z-Score distribution charts can be found below:
* The bar in red indicates where Plains All American Pipeline LP's Altman Z-Score falls into.
Plains All American Pipeline LP Altman Z-Score Calculation
Altman Z-Score model is an accurate forecaster of failure up to two years prior to distress. It can be considered the assessment of the distress of industrial corporations.
* 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. GuruFocus does not calculate Altman Z-Score when X4 or X5 value is 0.
Plains All American Pipeline LP (PAA) has a Altman Z-Score of 2.18 as of Jul. 30, 2026. The Altman Z-score measures a company's bankruptcy risk. View historical data on Plains All American Pipeline LP and its competitors. This is near median its historical median of 2.12. Over the past decade, Plains All American Pipeline LP's Altman Z-Score has ranged from 0.87 to 2.65. According to the industry distribution chart, Plains All American Pipeline LP ranks #395 out of 897 companies in the Oil & Gas industry, placing it in the top 44%.
Is Plains All American Pipeline LP's Altman Z-Score too high?
Plains All American Pipeline LP's current Altman Z-Score of 2.18 is near median its 10-year median of 2.12. Over the past 10 years, this metric has ranged from a low of 0.87 to a high of 2.65. The Oil & Gas industry median Altman Z-Score is 1.94. Plains All American Pipeline LP's value of 2.18 is 12.4% above this industry median. Based on the distribution chart, Plains All American Pipeline LP ranks #395 out of 897 companies in the Oil & Gas industry, which is above the industry midpoint. Overall, Plains All American Pipeline LP has a GF Score™ of 73/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Plains All American Pipeline LP's Altman Z-Score compare to WES and DTM?
According to the Oil & Gas industry distribution chart, Plains All American Pipeline LP ranks #395 out of 897 companies for Altman Z-Score. This puts Plains All American Pipeline LP in the upper half of its industry. The industry median Altman Z-Score is 1.94. Plains All American Pipeline LP's value of 2.18 is 12.4% above this benchmark. Historically, Plains All American Pipeline LP's own Altman Z-Score has ranged from 0.87 to 2.65 over the past decade. While the company's 10-year median is 2.12 vs. the industry median of 1.94, Plains All American Pipeline LP has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Altman Z-Score for an Oil & Gas company?
The median Altman Z-Score among Oil & Gas companies is 1.94, based on 897 companies in the industry. Companies in the top quartile (top 25%) have a Altman Z-Score significantly above this median, while those in the bottom quartile fall well below. However, Altman Z-Score should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Plains All American Pipeline LP's current Altman Z-Score of 2.18 is 12.4% 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 Altman Z-Score mean?
A high Altman Z-Score can signal that a stock is expensive relative to its fundamentals. The Altman Z-score measures a company's bankruptcy risk. View historical data on Plains All American Pipeline LP and its competitors. For the Oil & Gas industry, the median Altman Z-Score is 1.94 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Plains All American Pipeline LP's current Altman Z-Score is 2.18, which is near median its own 10-year median of 2.12. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Plains All American Pipeline LP stock overvalued right now?
Based on GuruFocus' analysis, Plains All American Pipeline LP (PAA) is currently considered Significantly Overvalued. The stock's GF Value™ is $17.28, compared to a current price of $24.82 — trading 43.6% above its estimated fair value. The current Altman Z-Score is 2.18, which is near median its 10-year median of 2.12 and 12.4% above the Oil & Gas industry median of 1.94. Plains All American Pipeline LP's overall GF Score™ is 73/100 with 14 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Altman Z-Score calculated?
Altman Z-Score is calculated from a company's financial statements. For Plains All American Pipeline LP (PAA), the current Altman Z-Score is 2.18 as of Jul. 30, 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 Plains All American Pipeline LP (PAA) Overvalued in 2026?
Based on GuruFocus' analysis, Plains All American Pipeline LP stock appears to be overvalued.
The current stock price of $24.82 is trading 43.6% above its estimated GF Value™ of $17.28.
GuruFocus considers Plains All American Pipeline LP to be Significantly Overvalued.
Key valuation signals for PAA:
Altman Z-Score: 2.18 (near median its 10-year median of 2.12)
GF Value™: $17.28 vs. price of $24.82 (43.6% above fair value)
Industry Position: 12.4% above the Oil & Gas median (#395 of 897)
No single metric tells the full story. See the PAA stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Plains All American Pipeline LP Business Description
Plains All American Pipeline LP, through its subsidiaries, engages in the pipeline transportation, terminaling, storage, and gathering of crude oil and natural gas liquids (NGL) in the United States and Canada. The company operates through two segments, Crude Oil and NGL. The Crude Oil segment offers gathering and transporting crude oil through pipelines, gathering systems, trucks, barges, or railcars. The NGL segment is involved in natural gas processing and NGL fractionation, storage, transportation, and terminalling. It generates the majority of its revenue from the Crude Oil segment.
73GF Score
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