Oneok Inc. (OKE) Falls More Steeply Than Broader Market: What Investors Need to Know
The most recent trading session ended with Oneok Inc. (OKE) standing at $78.67, reflecting a -0.82% shift from the previouse trading day's closing. The stock trailed the S&P 500, which registered a daily loss of 0.28%. Meanwhile, the Dow experienced a drop of 0.08%, and the technology-dominated Nasdaq saw a decrease of 0.42%.
Heading into today, shares of the natural gas company had gained 8.79% over the past month, outpacing the Oils-Energy sector's gain of 6.42% and the S&P 500's gain of 2.67% in that time.
Investors will be eagerly watching for the performance of Oneok Inc. in its upcoming earnings disclosure. The company is predicted to post an EPS of $1.06, indicating a 54.7% decline compared to the equivalent quarter last year. In the meantime, our current consensus estimate forecasts the revenue to be $5.62 billion, indicating a 24.21% growth compared to the corresponding quarter of the prior year.
For the full year, the Zacks Consensus Estimates project earnings of $4.60 per share and a revenue of $22.51 billion, demonstrating changes of -16.06% and +27.31%, respectively, from the preceding year.
Investors might also notice recent changes to analyst estimates for Oneok Inc. Such recent modifications usually signify the changing landscape 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.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. To utilize this, we have created the Zacks Rank, a proprietary model that integrates these estimate changes and provides a functional rating system.
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. The Zacks Consensus EPS estimate has moved 7.28% higher within the past month. As of now, Oneok Inc. holds a Zacks Rank of #3 (Hold).
With respect to valuation, Oneok Inc. is currently being traded at a Forward P/E ratio of 17.26. This signifies a premium in comparison to the average Forward P/E of 12.79 for its industry.
We can also see that OKE currently has a PEG ratio of 2.48. Comparable to the widely accepted P/E ratio, the PEG ratio also accounts for the company's projected earnings growth. The Oil and Gas - Production Pipeline - MLB industry currently had an average PEG ratio of 2.48 as of yesterday's close.
The Oil and Gas - Production Pipeline - MLB industry is part of the Oils-Energy sector. With its current Zacks Industry Rank of 162, this industry ranks in the bottom 36% of all industries, numbering over 250.
The strength of our individual industry groups is measured by the Zacks Industry Rank, which is calculated based on the average Zacks Rank of the individual stocks within these groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Don't forget to use Zacks.com to keep track of all these stock-moving metrics, and others, in the upcoming trading sessions.
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ONEOK, Inc. (OKE) : Free Stock Analysis Report
