
ONEOK (OKE) Stock Forecast & Price Target
ONEOK (OKE) Analyst Ratings
Bulls say
ONEOK is a strong midstream service provider in the midcontinent, Permian, and Rocky Mountain regions, with a diversified business model that includes natural gas gathering, processing, storage, transportation, and fractionation, as well as refined product and crude oil services. The company has a broad network and a strong asset base, making it a one-stop-shop for customers' needs. However, the company's exposure to certain regions and its relatively muted upside in price-driven earnings may lead to underperformance when commodity prices stabilize, making it important to closely monitor commercialization efforts and basin-level volumes growth for growth indicators.
Bears say
ONEOK is subject to downside risk due to its above average valuation relative to its peers, as its multiple compression falls behind that of its Permian-levered peers, primarily driven by its below average EBITDA growth. The company's value proposition disparity persists over time and is not only a short cycle phenomenon, making it a less attractive investment. Additionally, OKE's entry into the LPG export market in 2028 may face competition from established peers defending their market share, potentially leading to lower prices for exports. Furthermore, OKE's geographical presence in the midcontinent and Rocky Mountain regions may not be as advantageous as other companies with exposure to more populated areas.
This aggregate rating is based on analysts' research of ONEOK and is not a guaranteed prediction by Public.com or investment advice.
ONEOK (OKE) Analyst Forecast & Price Prediction
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