Oneok Inc. (OKE – Free Report) closed the most recent trading day at $70.93, moving +1.2% from the previous trading session. This move outpaced the S&P 500’s daily gain of 0.34%. At the same time, the Dow added 0.64%, and the tech-heavy Nasdaq gained 8.98%.
Prior to today’s trading, shares of the natural gas company had gained 5.26% over the past month. This has outpaced the Oils-Energy sector’s gain of 5.07% and the S&P 500’s gain of 1% in that time.
Oneok Inc. will be looking to display strength as it nears its next earnings release. The company is expected to report EPS of $1.04, up 22.35% from the prior-year quarter. Meanwhile, our latest consensus estimate is calling for revenue of $5.74 billion, up 5.82% from the prior-year quarter.
Any recent changes to analyst estimates for Oneok Inc. should also be noted by investors. Recent revisions tend to reflect the latest near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company’s business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. The Zacks Consensus EPS estimate has moved 0.04% higher within the past month. Oneok Inc. currently has a Zacks Rank of #3 (Hold).
Valuation is also important, so investors should note that Oneok Inc. has a Forward P/E ratio of 15.71 right now. Its industry sports an average Forward P/E of 10.29, so we one might conclude that Oneok Inc. is trading at a premium comparatively.
Also, we should mention that OKE has a PEG ratio of 1.87. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock’s expected earnings growth rate. The Oil and Gas – Production Pipeline – MLB was holding an average PEG ratio of 1.94 at yesterday’s closing price.
The Oil and Gas – Production Pipeline – MLB industry is part of the Oils-Energy sector. This industry currently has a Zacks Industry Rank of 154, which puts it in the bottom 39% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.