Williams Companies (NYSE:WMB) Lowered to "Sell" Rating by Wall Street Zen

Key Points

• Williams Companies has been downgraded from a "hold" rating to a "sell" rating by Wall Street Zen.
• Despite the downgrade, several other analysts, including Royal Bank of Canada and Goldman Sachs, maintain positive ratings and higher price targets for the stock, with a consensus rating of "Moderate Buy."
• The company recently reported earnings that missed analyst estimates, with a quarterly EPS of $0.46 compared to the consensus of $0.49.

Williams Companies (NYSE:WMB - Get Free Report) was downgraded by investment analysts at Wall Street Zen from a "hold" rating to a "sell" rating in a report released on Saturday.

WMB has been the subject of a number of other reports. Royal Bank Of Canada reiterated an "outperform" rating and set a $63.00 price target on shares of Williams Companies in a research note on Tuesday, July 15th. The Goldman Sachs Group upped their price objective on Williams Companies from $59.00 to $65.00 and gave the company a "neutral" rating in a research note on Thursday. Argus reiterated a "buy" rating and issued a $66.00 price objective on shares of Williams Companies in a research note on Thursday, August 14th. BMO Capital Markets started coverage on Williams Companies in a research note on Friday, September 19th. They issued an "outperform" rating and a $66.00 price objective on the stock. Finally, Cibc World Mkts raised shares of Williams Companies from a "hold" rating to a "strong-buy" rating in a report on Friday, August 15th. One analyst has rated the stock with a Strong Buy rating, twelve have assigned a Buy rating and five have assigned a Hold rating to the stock. According to MarketBeat.com, the company currently has a consensus rating of "Moderate Buy" and a consensus target price of $65.53.

Williams Companies Stock Performance

WMB stock opened at $64.54 on Friday. The stock has a 50-day moving average price of $59.14 and a 200-day moving average price of $58.97. Williams Companies has a 1-year low of $48.41 and a 1-year high of $65.55. The company has a current ratio of 0.54, a quick ratio of 0.48 and a debt-to-equity ratio of 1.73. The firm has a market cap of $78.70 billion, a PE ratio of 32.43, a price-to-earnings-growth ratio of 2.14 and a beta of 0.65.

Williams Companies (NYSE:WMB - Get Free Report) last posted its quarterly earnings data on Monday, August 4th. The pipeline company reported $0.46 earnings per share for the quarter, missing the consensus estimate of $0.49 by ($0.03). Williams Companies had a return on equity of 16.23% and a net margin of 21.63%.The business had revenue of $2.78 billion during the quarter, compared to the consensus estimate of $2.90 billion. During the same period last year, the business posted $0.43 earnings per share. The business's revenue was up 19.0% on a year-over-year basis. Williams Companies has set its FY 2025 guidance at 2.010-2.190 EPS. As a group, equities research analysts expect that Williams Companies will post 2.08 earnings per share for the current year.

Insiders Place Their Bets

In related news, SVP Terrance Lane Wilson sold 2,000 shares of the stock in a transaction on Thursday, September 4th. The stock was sold at an average price of $57.62, for a total value of $115,240.00. Following the transaction, the senior vice president owned 311,645 shares of the company's stock, valued at $17,956,984.90. This represents a 0.64% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. Also, COO Larry C. Larsen sold 4,500 shares of the stock in a transaction on Monday, August 11th. The shares were sold at an average price of $58.47, for a total value of $263,115.00. Following the completion of the transaction, the chief operating officer directly owned 77,612 shares in the company, valued at approximately $4,537,973.64. This represents a 5.48% decrease in their position. The disclosure for this sale can be found here. In the last three months, insiders sold 8,500 shares of company stock worth $497,715. 0.44% of the stock is owned by insiders.

Hedge Funds Weigh In On Williams Companies

A number of institutional investors have recently bought and sold shares of the stock. Jackson Wealth Management LLC bought a new position in Williams Companies in the third quarter worth about $5,144,000. Aaron Wealth Advisors LLC boosted its holdings in Williams Companies by 124.9% in the third quarter. Aaron Wealth Advisors LLC now owns 13,645 shares of the pipeline company's stock worth $864,000 after purchasing an additional 7,578 shares during the last quarter. GAMMA Investing LLC boosted its stake in shares of Williams Companies by 4.3% during the 3rd quarter. GAMMA Investing LLC now owns 42,477 shares of the pipeline company's stock worth $2,691,000 after acquiring an additional 1,758 shares during the last quarter. Helen Stephens Group LLC purchased a new position in shares of Williams Companies during the 3rd quarter worth $206,000. Finally, Rydar Equities Inc. purchased a new position in shares of Williams Companies during the 2nd quarter valued at $295,000. 86.44% of the stock is owned by institutional investors.

About Williams Companies

The Williams Companies, Inc, together with its subsidiaries, operates as an energy infrastructure company primarily in the United States. It operates through Transmission & Gulf of Mexico, Northeast G&P, West, and Gas & NGL Marketing Services segments. The Transmission & Gulf of Mexico segment comprises natural gas pipelines; Transco, Northwest pipeline, MountainWest, and related natural gas storage facilities; and natural gas gathering and processing, and crude oil production handling and transportation assets in the Gulf Coast region.

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