| Snowflake Score | |
|---|---|
| Valuation | 3/6 |
| Future Growth | 1/6 |
| Past Performance | 2/6 |
| Financial Health | 2/6 |
| Dividends | 4/6 |
OGS Overview
ONE Gas, Inc. operates as a regulated natural gas distribution utility company in the United States.
Rewards
Risk Analysis
ONE Gas Competitors
Price History & Performance
| Historical stock prices | |
|---|---|
| Current Share Price | US$63.81 |
| 52 Week High | US$63.10 |
| 52 Week Low | US$82.40 |
| Beta | 0.43 |
| 1 Month Change | -11.07% |
| 3 Month Change | -14.91% |
| 1 Year Change | -6.83% |
| 3 Year Change | -21.31% |
| 5 Year Change | 4.66% |
| Change since IPO | 92.78% |
Recent News & Updates
Is ONE Gas (NYSE:OGS) Using Too Much Debt?
Some say volatility, rather than debt, is the best way to think about risk as an investor, but Warren Buffett famously...
Be Wary Of ONE Gas (NYSE:OGS) And Its Returns On Capital
If we want to find a potential multi-bagger, often there are underlying trends that can provide clues. Firstly, we'd...
Shareholder Returns
| OGS | US Gas Utilities | US Market | |
|---|---|---|---|
| 7D | -0.3% | 0.2% | 2.0% |
| 1Y | -6.8% | 10.9% | 32.8% |
Return vs Industry: OGS underperformed the US Gas Utilities industry which returned 10.9% over the past year.
Return vs Market: OGS underperformed the US Market which returned 32.8% over the past year.
Price Volatility
| OGS volatility | |
|---|---|
| OGS Beta | 0.43 |
| Industry Beta | 0.60 |
| Market Beta | 1 |
Stable Share Price: OGS is less volatile than 75% of US stocks over the past 3 months, typically moving +/- 3% a week.
Volatility Over Time: OGS's weekly volatility (3%) has been stable over the past year.
About the Company
| Founded | Employees | CEO | Website |
|---|---|---|---|
| 1906 | 3,700 | Sid McAnnally | https://www.onegas.com |
ONE Gas, Inc. operates as a regulated natural gas distribution utility company in the United States. The company operates through three divisions: Oklahoma Natural Gas, Kansas Gas Service, and Texas Gas Service. It provides natural gas distribution services to 2.2 million customers in three states.
ONE Gas Fundamentals Summary
| OGS fundamental statistics | |
|---|---|
| Market Cap | US$3.41b |
| Earnings (TTM) | US$205.08m |
| Revenue (TTM) | US$1.67b |
16.6x
P/E Ratio2.0x
P/S RatioIs OGS overvalued?
See Fair Value and valuation analysisEarnings & Revenue
| OGS income statement (TTM) | |
|---|---|
| Revenue | US$1.67b |
| Cost of Revenue | US$1.09b |
| Gross Profit | US$576.01m |
| Expenses | US$370.93m |
| Earnings | US$205.08m |
Last Reported Earnings
Jun 30, 2021
Next Earnings Date
Nov 01, 2021
| Earnings per share (EPS) | 3.83 |
| Gross Margin | 34.50% |
| Net Profit Margin | 12.28% |
| Debt/Equity Ratio | 176.2% |
How did OGS perform over the long term?
See historical performance and comparisonDividends
3.6%
Current Dividend Yield58%
Payout RatioValuation
Is ONE Gas undervalued compared to its fair value and its price relative to the market?
4.2%
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: OGS ($63.81) is trading below our estimate of fair value ($66.57)
Significantly Below Fair Value: OGS is trading below fair value, but not by a significant amount.
Price To Earnings Ratio
PE vs Industry: OGS's PE Ratio (16.6x) is in line with the US Gas Utilities industry average.
PE vs Market: OGS is good value based on its PE Ratio (16.6x) compared to the US market (18.1x).
Price to Earnings Growth Ratio
PEG Ratio: OGS is poor value based on its PEG Ratio (2.1x)
Price to Book Ratio
PB vs Industry: OGS is good value based on its PB Ratio (1.5x) compared to the US Gas Utilities industry average (1.7x).
Future Growth
How is ONE Gas forecast to perform in the next 1 to 3 years based on estimates from 7 analysts?
7.9%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: OGS's forecast earnings growth (7.9% per year) is above the savings rate (2%).
Earnings vs Market: OGS's earnings (7.9% per year) are forecast to grow slower than the US market (15% per year).
High Growth Earnings: OGS's earnings are forecast to grow, but not significantly.
Revenue vs Market: OGS's revenue (1.9% per year) is forecast to grow slower than the US market (9.8% per year).
High Growth Revenue: OGS's revenue (1.9% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: OGS's Return on Equity is forecast to be low in 3 years time (9.3%).
Past Performance
How has ONE Gas performed over the past 5 years?
7.4%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: OGS has a high level of non-cash earnings.
Growing Profit Margin: OGS's current net profit margins (12.3%) are lower than last year (12.4%).
Past Earnings Growth Analysis
Earnings Trend: OGS's earnings have grown by 7.4% per year over the past 5 years.
Accelerating Growth: OGS's earnings growth over the past year (10.5%) exceeds its 5-year average (7.4% per year).
Earnings vs Industry: OGS earnings growth over the past year (10.5%) underperformed the Gas Utilities industry 26.4%.
Return on Equity
High ROE: OGS's Return on Equity (8.8%) is considered low.
Financial Health
How is ONE Gas's financial position?
Financial Position Analysis
Short Term Liabilities: OGS's short term assets ($603.7M) exceed its short term liabilities ($369.3M).
Long Term Liabilities: OGS's short term assets ($603.7M) do not cover its long term liabilities ($5.5B).
Debt to Equity History and Analysis
Debt Level: OGS's debt to equity ratio (176.2%) is considered high.
Reducing Debt: OGS's debt to equity ratio has increased from 63.6% to 176.2% over the past 5 years.
Debt Coverage: OGS's operating cash flow is negative, therefore debt is not well covered.
Interest Coverage: OGS's interest payments on its debt are well covered by EBIT (4.9x coverage).
Balance Sheet
Dividend
What is ONE Gas's current dividend yield, its reliability and sustainability?
3.64%
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: OGS's dividend (3.64%) is higher than the bottom 25% of dividend payers in the US market (1.3%).
High Dividend: OGS's dividend (3.64%) is in the top 25% of dividend payers in the US market (3.57%)
Stability and Growth of Payments
Stable Dividend: Whilst dividend payments have been stable, OGS has been paying a dividend for less than 10 years.
Growing Dividend: OGS's dividend payments have increased, but the company has only paid a dividend for 7 years.
Current Payout to Shareholders
Dividend Coverage: With its reasonable payout ratio (58.2%), OGS's dividend payments are covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: OGS's dividends in 3 years are forecast to be covered by earnings (61.4% payout ratio).
Next Steps
Management
How experienced are the management team and are they aligned to shareholders interests?
3.2yrs
Average management tenure
CEO
Sid McAnnally (57 yo)
0.25
Tenure
US$1,803,112
Compensation
Mr. Robert S. McAnnally, also known as Sid, serves as President, Chief Executive Officer and Director at ONE Gas, Inc. since June 28, 2021. Mr. McAnnally served as Senior Vice President and Chief Operating...
CEO Compensation Analysis
Compensation vs Market: Sid's total compensation ($USD1.80M) is below average for companies of similar size in the US market ($USD5.22M).
Compensation vs Earnings: Sid's compensation has increased by more than 20% in the past year.
Leadership Team
Experienced Management: OGS's management team is considered experienced (3.2 years average tenure).
Board Members
Experienced Board: OGS's board of directors are considered experienced (7.7 years average tenure).
Ownership
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: OGS insiders have only sold shares 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
ONE Gas, Inc.'s employee growth, exchange listings and data sources
Key Information
- Name: ONE Gas, Inc.
- Ticker: OGS
- Exchange: NYSE
- Founded: 1906
- Industry: Gas Utilities
- Sector: Utilities
- Market Cap: US$3.414b
- Shares outstanding: 53.50m
- Website: https://www.onegas.com
Number of Employees
Location
- ONE Gas, Inc.
- 15 East Fifth Street
- Tulsa
- Oklahoma
- 74103
- United States
Listings
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2021/09/27 23:06 |
| End of Day Share Price | 2021/09/27 00:00 |
| Earnings | 2021/06/30 |
| Annual Earnings | 2020/12/31 |
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.