It has been about a month since the last earnings report for Williams Companies, Inc. (The) (WMB Quick QuoteWMB - Free Report) . Shares have lost about 2.8% in that time frame, underperforming the S&P 500.

But investors have to be wondering, will the recent negative trend continue leading up to its next earnings release, or is The Williams Companies due for a breakout? Well, first let's take a quick look at its latest earnings report in order to get a better handle on the recent catalysts for Williams Companies, Inc. (The) before we dive into how investors and analysts have reacted as of late.

Williams Q2 Earnings and Revenues Miss Estimates, Expenses Rise Y/Y

The Williams Companies reported second-quarter 2025 adjusted earnings per share of 46 cents, which missed the Zacks Consensus Estimate of 49 cents. This was primarily due to the underperformance of the Gas & NGL Marketing Services segment on a year-over-year basis, as well as a rise in total costs and expenses during the quarter. However, the bottom line increased from the year-ago period’s level of 43 cents. This can be attributed to the strong results delivered by the company’s Transmission & Gulf of America, Northeast G&P, West and Other segments.

The Tulsa, OK-based oil and gas storage and transportation company’s revenues of $2.8 billion missed the Zacks Consensus Estimate by $277 million due to the weak performance of its Gas & NGL Marketing Services segment. However, the figure increased from the year-ago quarter’s reported number of $2.3 billion, supported by higher service revenues, including those tied to commodity contracts, stronger product sales and gains from commodity derivative instruments.

Adjusted EBITDA totaled $1.9 billion in the quarter under review, which was up 16% year over year. Cash flow from operations amounted to $1.5 billion, up 13% from the corresponding quarter of 2024.

On April 1, 2025, the company completed two major upgrades to its Transco pipeline system, including the Texas to Louisiana Energy Pathway and the Southeast Energy Connector. Building on this progress, work on the Southeast Supply Enhancement project was accelerated to better meet growing demand. To further strengthen its pipeline network, WMB secured a key agreement for the Northeast Supply Enhancement project.

During the summer, both the Transco and Gulfstream pipelines set new records for natural gas flow. The company also expanded its presence in the Haynesville region by acquiring Saber Midstream. Meanwhile, construction began on the Socrates Power Innovation project, a $1.6 billion effort aimed at supporting rising energy needs driven by artificial intelligence.

Offshore, Williams successfully brought the Ballymore and Shenandoah deepwater expansions online. Onshore, the Louisiana Energy Gateway started operating alongside the completion of the Haynesville West expansion. The company released its 2024 Sustainability Report, showcasing the leading environmental and operational achievements.

Segmental Analysis

Transmission & Gulf of America: The segment reported an adjusted EBITDA of $903 million, up 11.2% from the year-ago quarter’s level. Moreover, the figure exceeded the Zacks Consensus Estimate of $899 million. The uplift reflected positive momentum from Transco pipeline expansions and additional volumes originating from the Gulf.

West: This segment focuses on the gathering and processing of assets in the Western United States. Adjusted EBITDA for this segment totaled $341 million, up 6.9% from the prior-year quarter’s level of $319 million. The strong performance was driven by higher volumes in the Haynesville and additional contributions from the 2025 Rimrock and Saber acquisitions. Moreover, the figure was up from the Zacks Consensus Estimate of $339 million.

Northeast G&P: Driven primarily by higher gathering and processing volumes at Ohio Valley Midstream, Cardinal and Bradford, the segment registered an adjusted EBITDA of $501 million. This represents a 4.6% increase from $479 million in the year-earlier quarter, though it missed the Zacks Consensus Estimate by 1%.

Gas & NGL Marketing Services: The unit reported an adjusted EBITDA loss of $15 million compared with a loss of $14 million in the prior-year quarter. The figure was wider than the consensus estimate, which predicted a loss of $8 million.

Other: This segment posted an adjusted EBITDA of $78 million, representing a 9.9% increase from $71 million in the year-earlier quarter. The figure was also 6.8% higher than the Zacks Consensus Estimate.

Costs, Capex & Balance Sheet

In the reported quarter, total costs and expenses of $1.8 billion increased almost 12% from the year-ago quarter’s figure.

Total capital expenditure (Capex) was $2 billion. As of June 30, 2025, the company had cash and cash equivalents of $903 million and a long-term debt of $25.6 billion, with a debt-to-capitalization of 63.4%.

2025 Guidance

The company expects the midpoint of its 2025 adjusted EBITDA guidance to rise by $50 million to $7.75 billion, within a projected range of $7.6 billion to $7.9 billion. WMB anticipates 2025 growth capital expenditures to remain between $2.6 billion and $2.9 billion, while maintenance capital is expected to range from $650 million to $750 million, excluding $150 million allocated for emissions reduction and modernization efforts. Additionally, the company anticipates a 2025 leverage ratio midpoint of 3.65x and has raised its annual dividend by 5.3%, increasing the metric from $1.90 in 2024 to $2 in 2025.

How Have Estimates Been Moving Since Then?

It turns out, estimates review have trended upward during the past month.

VGM Scores

Currently, The Williams Companies has a subpar Growth Score of D, a grade with the same score on the momentum front. Following the exact same course, the stock was allocated a score of D on the value side, putting it in the bottom 40% for this investment strategy.

Overall, the stock has an aggregate VGM Score of F. If you aren't focused on one strategy, this score is the one you should be interested in.

Outlook

Estimates have been broadly trending upward for the stock, and the magnitude of these revisions looks promising. Interestingly, The Williams Companies has a Zacks Rank #3 (Hold). We expect an in-line return from the stock in the next few months.

Performance of an Industry Player

The Williams Companies is part of the Zacks Oil and Gas - Production and Pipelines industry. Over the past month, Enbridge (ENB Quick QuoteENB - Free Report) , a stock from the same industry, has gained 3.3%. The company reported its results for the quarter ended June 2025 more than a month ago.

Enbridge reported revenues of $10.75 billion in the last reported quarter, representing a year-over-year change of +29.8%. EPS of $0.47 for the same period compares with $0.42 a year ago.

For the current quarter, Enbridge is expected to post earnings of $0.42 per share, indicating a change of +5% from the year-ago quarter. The Zacks Consensus Estimate has changed +0.8% over the last 30 days.

The overall direction and magnitude of estimate revisions translate into a Zacks Rank #2 (Buy) for Enbridge. Also, the stock has a VGM Score of D.