ONEOK Inc. (OKE) Stock

ONEOK Inc. trades at a P/E ratio of 14.42, which is below the market average of approximately 20. This lower valuation could indicate the market has modest growth expectations, or it might represent an undervalued opportunity if the fundamentals are strong. Looking ahead, the forward P/E of 12.18 is lower than the current P/E, indicating analysts expect earnings to grow over the next year. The PEG ratio of 1.56 indicates reasonable value when growth is considered.

With a beta of 1.03, ONEOK Inc. is roughly as volatile as the market, moving in line with broad market trends. This moderate beta suggests the stock offers market-level returns without excessive volatility. The price-to-book ratio of 2.13 shows investors value the company above its book value, which often reflects intangible assets or growth prospects.

ONEOK Inc. achieves a profit margin of 11.10%, meaning it retains $11.10 from every $100 in revenue after all expenses. This represents a solid margin typical of well-run businesses, showing the company can effectively balance revenue generation with cost control. The operating margin of 18.40% reveals how efficiently the company runs its core business operations before interest and taxes. With ROE at 16.80% and ROA at 6.28%, the company generates strong returns on invested capital.

ONEOK Inc.'s revenue grew by 61.20% year-over-year, representing robust expansion that significantly outpaces typical market growth rates. This strong top-line performance suggests the company is successfully capturing market share or benefiting from favorable industry trends. Earnings increased by 0.80% year-over-year, reflecting the bottom-line impact of business performance. These growth metrics should be evaluated against OIL & GAS MIDSTREAM industry averages for proper context.

ONEOK Inc. offers a dividend yield of 5.52%, paying $4.08 per share annually. This high yield exceeds 4%, significantly outperforming the S&P 500 average of 1.5-2% and most investment-grade bonds. For income-focused investors, this represents an attractive cash flow opportunity, though high yields sometimes signal market concerns about sustainability. To receive the next dividend, shares must be purchased before the ex-dividend date of Aug 1, 2025.

The dividend sustainability can be assessed through the payout ratio - ONEOK Inc. pays $4.08 per share in dividends against earnings of $5.07 per share, resulting in a payout ratio of 80.47%. This high payout ratio of 60-90% leaves limited earnings for reinvestment. While currently sustainable, there's less buffer for dividend growth or protection during earnings downturns. The next dividend payment is scheduled for Aug 14, 2025.

ONEOK Inc. has a market capitalization of $46.5B, classifying it as a large-cap stock ($10B-$200B). Large-caps are typically industry leaders with established business models, offering a balance of stability and growth potential. They often provide dividend income and are core holdings in institutional portfolios. With 629.76M shares outstanding, the company's ownership is relatively concentrated. As a participant in the OIL & GAS MIDSTREAM industry, it competes with other firms in this sector.

ONEOK Inc.'s book value per share is $34.66, while the current stock price is $67.10, resulting in a price-to-book (P/B) ratio of 1.94. This reasonable premium to book value suggests the market values the company's earnings power and intangible assets appropriately. Most profitable companies trade between 1-3x book value. As a common stock, this represents equity ownership with voting rights.

19 analysts cover OKE with 63% recommending buy/strong buy ratings. Analyst predictions have mixed reliability - studies show consensus rarely beats market returns consistently. The mixed views reflect uncertainty about the outlook. The consensus target of $93.89 implies 39.9% upside, but targets are often adjusted to follow price moves rather than predict them.

Current analyst recommendations:5 Strong Buy, 7 Buy, 7 Hold, 00The bullish tilt suggests optimism about future prospects, though investors should conduct independent research.Remember that analyst opinions often lag price movements and can be influenced by investment banking relationships.