Oneok Inc. (OKE) Sees a More Significant Dip Than Broader Market: Some Facts to Know
In the latest trading session, Oneok Inc. (OKE) closed at $77.12, marking a -0.68% move from the previous day. The stock's change was less than the S&P 500's daily loss of 0.19%. On the other hand, the Dow registered a gain of 0.1%, and the technology-centric Nasdaq decreased by 0.54%.
The natural gas company's stock has climbed by 11.76% in the past month, exceeding the Oils-Energy sector's gain of 3.8% and the S&P 500's gain of 3.18%.
The investment community will be paying close attention to the earnings performance of Oneok Inc. in its upcoming release. On that day, Oneok Inc. is projected to report earnings of $1.10 per share, which would represent a year-over-year decline of 52.99%. Meanwhile, the latest consensus estimate predicts the revenue to be $5.62 billion, indicating a 24.21% increase compared to the same quarter of the previous year.
Regarding the entire year, the Zacks Consensus Estimates forecast earnings of $4.64 per share and revenue of $22.51 billion, indicating changes of -15.33% and +27.31%, respectively, compared to the previous year.
Additionally, investors should keep an eye on any recent revisions to analyst forecasts for Oneok Inc. Such recent modifications usually signify the changing landscape of near-term business trends. Hence, positive alterations in estimates signify analyst optimism regarding the company's business and profitability.
Our research suggests that these changes in estimates have a direct relationship with upcoming stock price performance. To exploit this, we've formed the Zacks Rank, a quantitative model that includes these estimate changes and presents a viable 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. Over the past month, there's been a 4.6% rise in the Zacks Consensus EPS estimate. Currently, Oneok Inc. is carrying a Zacks Rank of #3 (Hold).
In terms of valuation, Oneok Inc. is currently trading at a Forward P/E ratio of 16.75. This represents a premium compared to its industry's average Forward P/E of 12.32.
Investors should also note that OKE has a PEG ratio of 2.4 right now. The PEG ratio bears resemblance to the frequently used P/E ratio, but this parameter also includes the company's expected earnings growth trajectory. By the end of yesterday's trading, the Oil and Gas - Production Pipeline - MLB industry had an average PEG ratio of 2.4.
The Oil and Gas - Production Pipeline - MLB industry is part of the Oils-Energy sector. This industry, currently bearing a Zacks Industry Rank of 164, finds itself in the bottom 35% echelons of all 250+ industries.
The Zacks Industry Rank is ordered 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.
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
