ONEOK (NYSE:OKE) Reaches New 1-Year Low - Here's What Happened

Key Points

• ONEOK's stock has reached a new 52-week low, trading at $74.10 amidst notable analyst downgrades, including Citigroup who reduced the target price from $110.00 to $102.00.
• The company announced a quarterly dividend of $1.03, equating to an annualized yield of 5.6%, with a payout ratio of 80.31%.
• Despite the decline in stock price, ONEOK reported better-than-expected earnings with $1.34 EPS for the last quarter, exceeding analysts' estimates.

ONEOK, Inc. (NYSE:OKE - Get Free Report)'s share price reached a new 52-week low during trading on Monday . The company traded as low as $74.10 and last traded at $74.16, with a volume of 205565 shares traded. The stock had previously closed at $74.46.

Analyst Upgrades and Downgrades

OKE has been the subject of a number of recent research reports. Citigroup lowered their target price on ONEOK from $110.00 to $102.00 and set a "buy" rating for the company in a report on Tuesday, May 6th. Scotiabank set a $92.00 target price on ONEOK and gave the stock a "sector outperform" rating in a report on Tuesday, July 15th. Wells Fargo & Company lowered their target price on ONEOK from $102.00 to $93.00 and set an "equal weight" rating for the company in a report on Thursday, May 1st. JPMorgan Chase & Co. upped their target price on ONEOK from $94.00 to $97.00 and gave the stock an "overweight" rating in a report on Thursday, July 3rd. Finally, Stifel Nicolaus decreased their price target on ONEOK from $110.00 to $107.00 and set a "buy" rating for the company in a research note on Thursday, May 1st. Six equities research analysts have rated the stock with a hold rating, nine have given a buy rating and one has given a strong buy rating to the company. Based on data from MarketBeat.com, the company has an average rating of "Moderate Buy" and a consensus price target of $104.57.

ONEOK Stock Down 0.8%

The stock has a fifty day moving average of $80.95 and a 200 day moving average of $87.39. The company has a debt-to-equity ratio of 1.35, a current ratio of 0.59 and a quick ratio of 0.46. The firm has a market capitalization of $46.53 billion, a P/E ratio of 14.37, a price-to-earnings-growth ratio of 1.76 and a beta of 0.99.

ONEOK (NYSE:OKE - Get Free Report) last released its earnings results on Monday, August 4th. The utilities provider reported $1.34 EPS for the quarter, topping analysts' consensus estimates of $1.33 by $0.01. The company had revenue of $8.21 billion for the quarter, compared to analysts' expectations of $7.20 billion. ONEOK had a return on equity of 14.90% and a net margin of 11.06%. During the same period in the previous year, the business posted $1.33 EPS. On average, research analysts anticipate that ONEOK, Inc. will post 5.07 EPS for the current fiscal year.

ONEOK Announces Dividend

The company also recently announced a quarterly dividend, which will be paid on Thursday, August 14th. Shareholders of record on Friday, August 1st will be paid a $1.03 dividend. The ex-dividend date is Friday, August 1st. This represents a $4.12 annualized dividend and a dividend yield of 5.6%. ONEOK's payout ratio is presently 80.31%.

Institutional Trading of ONEOK

Several hedge funds have recently made changes to their positions in the company. Brighton Jones LLC grew its position in shares of ONEOK by 137.1% in the fourth quarter. Brighton Jones LLC now owns 15,278 shares of the utilities provider's stock valued at $1,534,000 after purchasing an additional 8,834 shares in the last quarter. FMR LLC grew its position in shares of ONEOK by 4.6% in the fourth quarter. FMR LLC now owns 1,225,282 shares of the utilities provider's stock valued at $123,018,000 after purchasing an additional 53,365 shares in the last quarter. FIL Ltd purchased a new position in shares of ONEOK in the fourth quarter valued at $913,000. Rockefeller Capital Management L.P. grew its position in shares of ONEOK by 3.0% in the fourth quarter. Rockefeller Capital Management L.P. now owns 283,470 shares of the utilities provider's stock valued at $28,454,000 after purchasing an additional 8,333 shares in the last quarter. Finally, Townsquare Capital LLC grew its position in ONEOK by 1.5% during the fourth quarter. Townsquare Capital LLC now owns 108,914 shares of the utilities provider's stock worth $10,935,000 after buying an additional 1,572 shares in the last quarter. 69.13% of the stock is currently owned by institutional investors.

ONEOK Company Profile

ONEOK, Inc engages in gathering, processing, fractionation, storage, transportation, and marketing of natural gas and natural gas liquids (NGL) in the United States. It operates through four segments: Natural Gas Gathering and Processing, Natural Gas Liquids, Natural Gas Pipelines, and Refined Products and Crude.

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