Market Cap
US$8.3b
Last Updated
2020/03/31 00:42 UTC
Data Sources
Company Financials +
Executive Summary
ONEOK, Inc., together with its subsidiaries, engages in gathering, processing, storage, and transportation of natural gas in the United States.
Rewards
Risk Analysis
Dividend of 17.86% is not well covered by earnings or forecast to be in the next 3 years
Snowflake Analysis
High growth potential, good value and pays a dividend.
Similar Companies
Share Price & News
How has ONEOK's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: OKE's share price has been volatile over the past 3 months.
Market Performance
7 Day Return
-9.1%
OKE
5.9%
US Oil and Gas
7.2%
US Market
1 Year Return
-71.5%
OKE
-56.4%
US Oil and Gas
-10.4%
US Market
Return vs Industry: OKE underperformed the US Oil and Gas industry which returned -57.2% over the past year.
Return vs Market: OKE underperformed the US Market which returned -12.7% over the past year.
Shareholder returns
| OKE | Industry | Market | |
|---|---|---|---|
| 7 Day | -9.1% | 5.9% | 7.2% |
| 30 Day | -70.0% | -35.6% | -12.6% |
| 90 Day | -73.5% | -51.6% | -19.4% |
| 1 Year | -70.0%-71.5% | -54.6%-56.4% | -8.5%-10.4% |
| 3 Year | -58.2%-64.2% | -51.8%-56.5% | 15.8%8.3% |
| 5 Year | -45.2%-58.6% | -55.3%-62.2% | 35.8%21.0% |
Price Volatility Vs. Market
How volatile is ONEOK's share price compared to the market and industry in the last 5 years?
Simply Wall St News
2 weeks ago | Simply Wall St
Insider Buying: The ONEOK, Inc. (NYSE:OKE) Non-Executive Chairman of the Board Just Bought US$497k Worth Of Shares3 weeks ago | Simply Wall St
Here's What ONEOK, Inc.'s (NYSE:OKE) P/E Is Telling Us1 month ago | Simply Wall St
ONEOK, Inc. Just Released Its Annual Results And Analysts Are Updating Their EstimatesValuation
Is ONEOK undervalued compared to its fair value and its price relative to the market?
>50%
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: OKE ($20.94) is trading below our estimate of fair value ($41.71)
Significantly Below Fair Value: OKE is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: OKE is poor value based on its PE Ratio (6.8x) compared to the Oil and Gas industry average (6.7x).
PE vs Market: OKE is good value based on its PE Ratio (6.8x) compared to the US market (13x).
Price to Earnings Growth Ratio
PEG Ratio: OKE is good value based on its PEG Ratio (0.3x)
Price to Book Ratio
PB vs Industry: OKE is overvalued based on its PB Ratio (1.4x) compared to the US Oil and Gas industry average (0.5x).
Next Steps
Future Growth
How is ONEOK forecast to perform in the next 1 to 3 years based on estimates from 15 analysts?
21.2%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: OKE's forecast earnings growth (21.2% per year) is above the savings rate (1.7%).
Earnings vs Market: OKE's earnings (21.2% per year) are forecast to grow faster than the US market (12.3% per year).
High Growth Earnings: earnings are expected to grow significantly over the next 3 years.
Revenue vs Market: OKE's revenue (10% per year) is forecast to grow faster than the US market (7.3% per year).
High Growth Revenue: OKE's revenue (10% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: OKE's Return on Equity is forecast to be high in 3 years time (24.1%)
Next Steps
Past Performance
How has ONEOK performed over the past 5 years?
37.9%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: OKE has high quality earnings.
Growing Profit Margin: OKE's current net profit margins (12.6%) are higher than last year (9.1%).
Past Earnings Growth Analysis
Earnings Trend: OKE's earnings have grown significantly by 37.9% per year over the past 5 years.
Accelerating Growth: OKE's earnings growth over the past year (11%) is below its 5-year average (37.9% per year).
Earnings vs Industry: OKE earnings growth over the past year (11%) exceeded the Oil and Gas industry -11.4%.
Return on Equity
High ROE: Whilst OKE's Return on Equity (20.54%) is high, this metric is skewed due to their high level of debt.
Next Steps
Financial Health
How is ONEOK's financial position?
Financial Position Analysis
Short Term Liabilities: OKE's short term assets ($1.5B) do not cover its short term liabilities ($2.0B).
Long Term Liabilities: OKE's short term assets ($1.5B) do not cover its long term liabilities ($13.6B).
Debt to Equity History and Analysis
Debt Level: OKE's debt to equity ratio (207.3%) is considered high.
Reducing Debt: OKE's debt to equity ratio has increased from 206.4% to 207.3% over the past 5 years.
Debt Coverage: OKE's debt is not well covered by operating cash flow (15.1%).
Interest Coverage: OKE's interest payments on its debt are well covered by EBIT (3.9x coverage).
Balance Sheet
Inventory Level: OKE has a high level of physical assets or inventory.
Debt Coverage by Assets: OKE's debt is not covered by short term assets (assets are 0.1x debt).
Next Steps
Dividend
What is ONEOK's current dividend yield, its reliability and sustainability?
18.66%
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: OKE's dividend (17.86%) is higher than the bottom 25% of dividend payers in the US market (1.98%).
High Dividend: OKE's dividend (17.86%) is in the top 25% of dividend payers in the US market (5.49%)
Stability and Growth of Payments
Stable Dividend: OKE's dividends per share have been stable in the past 10 years.
Growing Dividend: OKE's dividend payments have increased over the past 10 years.
Current Payout to Shareholders
Dividend Coverage: With its high payout ratio (116.7%), OKE's dividend payments are not well covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: OKE's dividends in 3 years are not forecast to be well covered by earnings (99% payout ratio).
Next Steps
Management
How experienced are the management team and are they aligned to shareholders interests?
2.8yrs
Average management tenure
CEO
Terry Spencer (60yo)
6.17s
Tenure
US$7,099,869
Compensation
Mr. Terry K. Spencer has been the Chief Executive Officer and President of Oneok Inc. since January 31, 2014 and January 2012 respectively. Mr. Spencer served as the Chief Executive Officer and President o ...
CEO Compensation Analysis
Compensation vs Market: Terry's total compensation ($USD7.10M) is about average for companies of similar size in the US market ($USD7.36M).
Compensation vs Earnings: Terry's compensation has increased by more than 20% in the past year.
Leadership Team
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| President | 6.17yrs | US$7.10m | 0.15% $12.8m | |
| CFO, Treasurer and Executive VP of Strategic Planning & Corporate Affairs | 2.83yrs | US$2.84m | 0.026% $2.2m | |
| Executive VP & COO | 2.83yrs | US$2.72m | 0.021% $1.7m | |
| Executive VP & Chief Administrative Officer | 5yrs | US$2.14m | 0.065% $5.4m | |
| Senior Vice President of Natural Gas Liquids | 7.17yrs | US$2.00m | 0.043% $3.6m | |
| VP & Chief Accounting Officer | 1yr | no data | 0.0040% $334.6k | |
| Vice president of Investor Relations & Corporate Affairs | no data | no data | no data | |
| Senior VP | 2.67yrs | no data | 0.014% $1.2m | |
| Senior Vice President of Natural Gas | 2.17yrs | no data | 0.024% $1.9m | |
| VP, Associate General Counsel & Corporate Secretary | 11.83yrs | no data | no data |
2.8yrs
Average Tenure
55yo
Average Age
Experienced Management: OKE's management team is considered experienced (2.8 years average tenure).
Board Members
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| President | 6.17yrs | US$7.10m | 0.15% $12.8m | |
| Independent Director | 18.17yrs | US$225.65k | 0.00082% $67.9k | |
| Independent Director | 15.83yrs | US$210.50k | 0.0041% $341.3k | |
| Independent Director | 12.67yrs | US$230.71k | 0.012% $1.0m | |
| Independent Director | 8.17yrs | US$223.00k | 0.0056% $460.5k | |
| Independent Director | 29.17yrs | US$210.50k | 0.010% $839.1k | |
| Lead Independent Director | 7.17yrs | US$215.50k | 0.00048% $39.8k | |
| Non-Executive Chairman of the Board | 8.83yrs | US$382.06k | 0.23% $19.3m | |
| Independent Director | 4.25yrs | US$230.50k | 0.0040% $327.2k | |
| Independent Director | 4.25yrs | US$210.50k | 0.0033% $276.6k |
8.5yrs
Average Tenure
65yo
Average Age
Experienced Board: OKE's board of directors are considered experienced (8.5 years average tenure).
Ownership
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: OKE insiders have bought more shares than they have sold in the past 3 months.
Recent Insider Transactions
Ownership Breakdown
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Top Shareholders
Company Information
ONEOK, Inc.'s company bio, employee growth, exchange listings and data sources
Key Information
- Name: ONEOK, Inc.
- Ticker: OKE
- Exchange: NYSE
- Founded: 1906
- Industry: Oil and Gas Storage and Transportation
- Sector: Energy
- Market Cap: US$8.283b
- Shares outstanding: 413.32m
- Website: https://www.oneok.com
Number of Employees
Location
- ONEOK, Inc.
- 100 West Fifth Street
- Tulsa
- Oklahoma
- 74103
- United States
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| OKE | NYSE (New York Stock Exchange) | Yes | Common Stock | US | USD | Mar 1964 |
| ONK | DB (Deutsche Boerse AG) | Yes | Common Stock | DE | EUR | Mar 1964 |
| 0KCI | LSE (London Stock Exchange) | Yes | Common Stock | GB | USD | Mar 1964 |
| O1KE34 | BOVESPA (Bolsa de Valores de Sao Paulo) | BDR EACH 2 REPR 1 SHS UNSPON | BR | BRL | Jan 2020 |
Biography
ONEOK, Inc., together with its subsidiaries, engages in gathering, processing, storage, and transportation of natural gas in the United States. It operates through Natural Gas Gathering and Processing, Natural Gas Liquids, and Natural Gas Pipelines segments. The company owns natural gas gathering pipelines and processing plants in the Mid-Continent and Rocky Mountain regions. It also gathers, treats, fractionates, and transports natural gas liquids (NGL), as well as stores, markets, and distributes NGL products. The company owns NGL gathering and distribution pipelines in Oklahoma, Kansas, Texas, New Mexico, Montana, North Dakota, Wyoming, and Colorado; terminal and storage facilities in Missouri, Nebraska, Iowa, and Illinois; and NGL distribution and refined petroleum products pipelines in Kansas, Missouri, Nebraska, Iowa, Illinois, and Indiana, as well as owns and operates truck- and rail-loading, and -unloading facilities that interconnect with its NGL fractionation and pipeline assets. In addition, it operates regulated interstate and intrastate natural gas transmission pipelines and natural gas storage facilities. Further, the company owns and operates a parking garage in downtown Tulsa, Oklahoma; and leases excess office space to others. It serves integrated and independent exploration and production companies; NGL and natural gas gathering and processing companies; crude oil and natural gas production companies; propane distributors; ethanol producers; and petrochemical, refining, and NGL marketing companies, as well as natural gas distribution companies, electric-generation facilities, industrial companies, municipalities, producers, processors, and marketing companies. The company was founded in 1906 and is headquartered in Tulsa, Oklahoma.
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2020/03/31 00:42 |
| End of Day Share Price | 2020/03/30 00:00 |
| Earnings | 2019/12/31 |
| Annual Earnings | 2019/12/31 |
Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.