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Oneok Inc. (OKE) Dips More Than Broader Markets: What You Should Know

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Oneok Inc. (OKE - Free Report) closed the most recent trading day at $69.04, moving -0.68% from the previous trading session. This change lagged the S&P 500's 0.02% loss on the day. Elsewhere, the Dow gained 0.03%, while the tech-heavy Nasdaq added 5.44%.

Coming into today, shares of the natural gas company had gained 5.17% in the past month. In that same time, the Oils-Energy sector gained 2.6%, while the S&P 500 gained 4.57%.

Oneok Inc. will be looking to display strength as it nears its next earnings release, which is expected to be February 27, 2023. On that day, Oneok Inc. is projected to report earnings of $1.04 per share, which would represent year-over-year growth of 22.35%. Meanwhile, our latest consensus estimate is calling for revenue of $5.61 billion, up 3.46% from the prior-year quarter.

Investors should also note any recent changes to analyst estimates for Oneok Inc.These revisions help to show the ever-changing nature of near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.

Our research shows that these estimate changes are directly correlated with near-term stock prices. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.

The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection has moved 0.39% higher. Oneok Inc. is holding a Zacks Rank of #3 (Hold) right now.

Looking at its valuation, Oneok Inc. is holding a Forward P/E ratio of 15.4. Its industry sports an average Forward P/E of 10.69, so we one might conclude that Oneok Inc. is trading at a premium comparatively.

Meanwhile, OKE's PEG ratio is currently 1.76. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. The Oil and Gas - Production Pipeline - MLB industry currently had an average PEG ratio of 1.93 as of yesterday's close.

The Oil and Gas - Production Pipeline - MLB industry is part of the Oils-Energy sector. This group has a Zacks Industry Rank of 156, putting it in the bottom 39% of all 250+ industries.

The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

You can find more information on all of these metrics, and much more, on Zacks.com.


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