AM - Antero Midstream: Despite Their High 9% Yield I'm Still Not A Fan

• Despite Antero Midstream offering a high 9% dividend yield, I am still not a fan as we head into 2022.
• Their cash flow performance was rather lackluster during 2021 with their operating cash flow decreasing versus 2020.
• They also provided broadly flat guidance for 2022 versus 2021 and with higher capital expenditure, their free cash flow is unlikely to fully cover their dividend payments.
• They also saw their leverage lift further into the high territory during 2021 with 2022 likely to see a small increase.
• Whilst 2023 and beyond may improve, this lackluster backdrop means that I am not a fan and thus I believe that maintaining my hold rating is appropriate.

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