ONEOK’s Q2 EPS Looks Strong — But Revenue May Slip

Forward-Looking Analysis

Wall Street expects ONEOK (OKE) to report Earnings Per Share (EPS) of $1.43 for the second quarter of 2026, based on the single available analyst estimate as of late July 2026. This figure represents a significant sequential improvement from the first quarter’s reported EPS of $1.23, which had missed consensus estimates by $0.07. Revenue projections for the upcoming quarter stand at approximately $8.95 billion, suggesting a moderation from the first quarter’s robust $9.62 billion, which had significantly surpassed the $8.23 billion estimate.

The broader 2026 fiscal year is forecasted to yield an average EPS of $5.69, derived from four analyst estimates, indicating a slight upward revision from earlier trailing figures. Long-term growth remains a key theme, with earnings expected to grow 9.73% next year, rising from $5.65 to $6.20 per share. Analyst sentiment remains positive, with a majority of 25 analysts maintaining a "Buy" rating on the stock. The average price target is set at $87.00, with a high of $114.00 and a low of $72.00. ONEOK currently trades near the bottom of its 52-week range with a market capitalization of $44.94 billion and a trailing P/E ratio of 15.87. The company’s forward earnings growth and consistent dividend profile continue to attract investor interest, though the stock has recently traded below its 200-day simple moving average.

Historical Performance Review

ONEOK delivered a strong first quarter of 2026, reporting revenue of $9.62 billion and net income of $776.00 million. Despite beating top-line expectations, the company recorded an EPS of $1.23, missing the consensus estimate of $1.30 by $0.07. Gross profit for the period stood at $2.56 billion. This performance contrasted with the fourth quarter of 2025, where ONEOK beat EPS estimates by $0.05. The Q1 results highlight a pattern of strong revenue generation, though margin compression or one-time items may have pressured bottom-line profitability relative to analyst expectations in the initial months of the year.

Additional News

ONEOK continues to operate as a leading midstream energy company, focusing on the gathering, processing, fractionating, transporting, storing, and marketing of natural gas. The company operates through three primary segments: Natural Gas Gathering and Processing, Natural Gas Liquids, and Natural Gas Pipelines. Its infrastructure serves producers in key regions including the Williston, Powder River, and DJ Basins across North Dakota, Montana, Wyoming, Kansas, Oklahoma, Texas, and New Mexico. The Natural Gas Liquids segment delivers products to major market centers in Conway, Kansas, and Mont Belvieu, Texas. Founded in 1906 and headquartered in Tulsa, Oklahoma, ONEOK maintains a large capitalization status. Recent market data indicates the stock has experienced volatility, trading near the bottom of its 52-week range and below its 200-day moving average, with a recent pre-market price increase following a general market drop. No new M&A activities, product launches, or executive changes were disclosed in the provided sources during this period.

Summary & Outlook

ONEOK demonstrates solid financial health with strong revenue generation capabilities, evidenced by the $9.62 billion Q1 2026 top line, though EPS missed expectations. Growth catalysts include a projected 9.73% annual earnings increase and a majority "Buy" analyst consensus with an $87 average price target. However, the stock’s technical weakness and recent EPS miss present short-term risks. Overall, the outlook is cautiously bullish, supported by long-term growth forecasts and essential midstream infrastructure demand, despite near-term valuation pressures and execution variances in profitability.