Valued at $51.2 billion by market cap, Tulsa, Oklahoma-based ONEOK, Inc. (OKE) operates as a leading midstream energy company focused on processing, transportation, and storage of crude, natural gas, and natural gas liquids. The company plays a crucial role in connecting oil & gas producers with end markets across North America.
The midstream giant is set to release its second-quarter results after the markets close on Monday, Aug. 4. Ahead of the event, analysts expect OKE to report an adjusted EPS of $1.36, marking a 2.3% increase from $1.33 reported in the year-ago quarter. While the company has surpassed Street’s bottom-line estimates twice over the past four quarters, it has missed the projections on two other occasions.
For the full fiscal 2025, OKE is expected to deliver an adjusted EPS of $5.57, up 7.7% from $5.17 reported in fiscal 2024. In fiscal 2026, its earnings are expected to further surge 9.7% year-over-year to $6.11 per share.
OKE stock has dropped 3.6% over the past 52 weeks, lagging behind the S&P 500 Index’s ($SPX) 11.6% gains and the Energy Select Sector SPDR Fund’s (XLE) 2.6% dip during the same time frame.
ONEOK’s stock prices dropped 6.5% in the trading session after the release of its mixed Q1 results on Apr. 29. Driven by high volumes in the Rocky Mountain region and contributions from recent acquisitions, the company’s overall topline soared 68.2% year-over-year to $8 billion, exceeding the Street’s expectations by a large margin. However, the topline growth failed to translate into bottom-line gains due to increased operating costs. Its net income for the quarter observed a 47 bps dip compared to the year-ago quarter to $636 million, and its EPS of $1.04 missed the consensus estimates by 15.5%, making investors jittery.
Nevertheless, the stock maintains a consensus “Moderate Buy” rating overall. Of the 17 analysts covering the OKE stock, opinions include 11 “Strong Buys,” one “Moderate Buy,” and five “Holds.” Its mean price target of $103.18 represents a 26.5% premium to current price levels.
On the date of publication, Aditya Sarawgi did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy here.
