Important note

This AI stock analysis for Oneok is not up to date. Creating and accessing our AI stock Analysis (powered by our data and Chat GPT) is only available for our premium users. Sign up to get access today!

Oneok - AI Stock Analysis

Analysis generated August 26, 2024

ONEOK, Inc. (NYSE: OKE) is a leading midstream service provider in the United States. The company primarily operates in natural gas liquids (NGL), natural gas pipelines, and gathering and processing. As a Fortune 500 company, ONEOK has extensive infrastructure, including a substantial network of natural gas gathering pipelines and processing plants, to transport and manage energy resources efficiently. Their robust service portfolio and strategic asset base make ONEOK an essential player in the energy sector.

Fundamental Analysis

In the last quarter, ONEOK reported a revenue of $4.89 billion. This figure represents a 9.22% increase compared to the previous quarter and a remarkable 31.14% year-over-year growth. These impressive revenue numbers indicate that ONEOK is experiencing solid growth momentum.

The net income for the last quarter stood at $780 million. Notably, this represents a 22.07% increase from the previous quarter and a significant 66.67% year-over-year increase. This substantial improvement in net income showcases the company's enhanced profit margins and operational efficiencies.

The EBITDA for the last quarter was $1.49 billion, up by 13.13% from the previous quarter and an outstanding 54.83% year-over-year growth. The robust EBITDA growth underscores ONEOK's strong capacity to generate earnings before interest, taxes, depreciation, and amortization.

ONEOK's current Price to Earnings (P/E) ratio is 19.48, which is within a normal range. It is neither excessively high nor low, indicating the market's moderate valuation of the company’s stock.

Technical Analysis

ONEOK's current stock price is $88.60, showing a 9.33% increase compared to a month ago. Moreover, on a yearly scale, the stock price has risen by 43.85%, indicating a long-term bullish trend.

The Simple Moving Average (SMA10) stands at 87.73, slightly higher than the previous SMA10 of 87.61. This suggests a potential upward trend in price movement in the short term.

The Relative Strength Index (RSI) is at 48, which indicates a neutral condition. An RSI between 30 and 70 provides no strong buy or sell signal, suggesting that the stock is neither overbought nor oversold.

Alternative Data Analysis

ONEOK has 78 open positions, a reduction by 6% in recent months. This decline in job postings could imply that the company is trying to optimize its margins by controlling hiring costs. While this may raise concerns about growth, it can also indicate a focus on improving efficiency.

Customer acquisition metrics show that ONEOK’s website attracted an estimated 34,000 visitors, a 15% decrease over the last few months. This downward trend in web traffic could signify reduced customer interest or engagement, which may be concerning.

On social media, ONEOK has 1,700 followers on Instagram, with a 3% increase in recent months, suggesting growing interest. On Twitter, the company maintains 3,700 followers with no significant change. These metrics reflect slightly positive sentiment but not substantial growth in online engagement.

The business outlook for ONEOK has been trending upwards by 9% in the last couple of months, which adds a positive note to the overall analysis. AltIndex’s AI score, which predicts stock price based on various data metrics, rates ONEOK at 70. This score is a buy signal, indicating a favorable outlook.

Conclusion and Recommendation

Based on the comprehensive analysis of ONEOK, the company shows strong fundamental growth metrics with notable increases in revenue, net income, and EBITDA. The technical indicators also point to a bullish trend, with a steady increase in stock price and positive SMA movements.

Despite some concerns from the alternative data, such as a reduction in job postings and website visitors, the overall business outlook remains positive. The improved sentiment on social media coupled with the AI score of 70 from AltIndex supports a buy recommendation.

Therefore, considering all aspects, ONEOK appears well-positioned for continued growth. Investors may find this stock favorable for mid to long-term holding, given its strong financial performance and prospective upward trajectory.

Disclaimer: This AI stock analysis, generated by an experimental AI tool, is for informational purposes only and not financial advice. Information is based on publicly available data and may not always be accurate or current.