ONE GAS INC (OGS) Stock Fundamental Analysis
USA - NYSE:OGS - US68235P1084 - Common Stock
81.24 USD
-0.63 (-0.77%)
We assign a fundamental rating of 3 out of 10 to OGS. OGS was compared to 14 industry peers in the Gas Utilities industry. There are concerns on the financial health of OGS while its profitability can be described as average. OGS is quite expensive at the moment. It does show a decent growth rate.
1. Profitability
1.1 Basic Checks
OGS had positive earnings in the past year.
OGS had a positive operating cash flow in the past year.
Each year in the past 5 years OGS has been profitable.
OGS had a positive operating cash flow in 4 of the past 5 years.
1.2 Ratios
OGS has a Return On Assets (2.96%) which is in line with its industry peers.
Looking at the Return On Equity, with a value of 7.78%, OGS is doing worse than 64.29% of the companies in the same industry.
With a Return On Invested Capital value of 4.70%, OGS is not doing good in the industry: 64.29% of the companies in the same industry are doing better.
The Average Return On Invested Capital over the past 3 years for OGS is in line with the industry average of 6.32%.
The last Return On Invested Capital (4.70%) for OGS is above the 3 year average (4.53%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.96% | ||
| ROE | 7.78% | ||
| ROIC | 4.7% |
ROA(3y)2.82%
ROA(5y)2.84%
ROE(3y)8.04%
ROE(5y)8.34%
ROIC(3y)4.53%
ROIC(5y)4.31%
1.3 Margins
Looking at the Profit Margin, with a value of 10.63%, OGS is in line with its industry, outperforming 57.14% of the companies in the same industry.
OGS's Profit Margin has been stable in the last couple of years.
OGS has a Operating Margin (18.72%) which is comparable to the rest of the industry.
OGS's Operating Margin has been stable in the last couple of years.
OGS has a Gross Margin (59.07%) which is comparable to the rest of the industry.
OGS's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 18.72% | ||
| PM (TTM) | 10.63% | ||
| GM | 59.07% |
OM growth 3Y3.74%
OM growth 5Y1.4%
PM growth 3Y-2.14%
PM growth 5Y-1.09%
GM growth 3Y3.11%
GM growth 5Y1.42%
2. Health
2.1 Basic Checks
OGS has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
OGS has more shares outstanding than it did 1 year ago.
Compared to 5 years ago, OGS has more shares outstanding
The debt/assets ratio for OGS is higher compared to a year ago.
2.2 Solvency
OGS has an Altman-Z score of 1.08. This is a bad value and indicates that OGS is not financially healthy and even has some risk of bankruptcy.
The Altman-Z score of OGS (1.08) is comparable to the rest of the industry.
OGS has a Debt/Equity ratio of 1.02. This is a high value indicating a heavy dependency on external financing.
Looking at the Debt to Equity ratio, with a value of 1.02, OGS is in the better half of the industry, outperforming 64.29% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.02 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 1.08 |
ROIC/WACC0.68
WACC6.89%
2.3 Liquidity
A Current Ratio of 0.52 indicates that OGS may have some problems paying its short term obligations.
OGS has a worse Current ratio (0.52) than 64.29% of its industry peers.
OGS has a Quick Ratio of 0.52. This is a bad value and indicates that OGS is not financially healthy enough and could expect problems in meeting its short term obligations.
OGS has a Quick ratio of 0.35. This is amonst the worse of the industry: OGS underperforms 85.71% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.52 | ||
| Quick Ratio | 0.35 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an nice 11.72% over the past year.
Measured over the past 5 years, OGS shows a small growth in Earnings Per Share. The EPS has been growing by 2.18% on average per year.
Looking at the last year, OGS shows a very negative growth in Revenue. The Revenue has decreased by -12.16% in the last year.
Measured over the past years, OGS shows a small growth in Revenue. The Revenue has been growing by 4.74% on average per year.
EPS 1Y (TTM)11.72%
EPS 3Y0.52%
EPS 5Y2.18%
EPS Q2Q%29.41%
Revenue 1Y (TTM)-12.16%
Revenue growth 3Y4.83%
Revenue growth 5Y4.74%
Sales Q2Q%11.38%
3.2 Future
The Earnings Per Share is expected to grow by 7.22% on average over the next years.
Based on estimates for the next years, OGS will show a small growth in Revenue. The Revenue will grow by 1.19% on average per year.
EPS Next Y12.18%
EPS Next 2Y9.06%
EPS Next 3Y7.63%
EPS Next 5Y7.22%
Revenue Next Year6.92%
Revenue Next 2Y5.61%
Revenue Next 3Y2.31%
Revenue Next 5Y1.19%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 18.94 indicates a rather expensive valuation of OGS.
OGS's Price/Earnings is on the same level as the industry average.
When comparing the Price/Earnings ratio of OGS to the average of the S&P500 Index (26.03), we can say OGS is valued slightly cheaper.
With a Price/Forward Earnings ratio of 17.47, OGS is valued on the expensive side.
The rest of the industry has a similar Price/Forward Earnings ratio as OGS.
When comparing the Price/Forward Earnings ratio of OGS to the average of the S&P500 Index (22.27), we can say OGS is valued slightly cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 18.94 | ||
| Fwd PE | 17.47 |
4.2 Price Multiples
OGS's Enterprise Value to EBITDA ratio is in line with the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 9.79 |
4.3 Compensation for Growth
The PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
PEG (NY)1.55
PEG (5Y)8.68
EPS Next 2Y9.06%
EPS Next 3Y7.63%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 3.27%, OGS has a reasonable but not impressive dividend return.
OGS's Dividend Yield is comparable with the industry average which is at 3.87.
Compared to an average S&P500 Dividend Yield of 2.38, OGS pays a bit more dividend than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.27% |
5.2 History
The dividend of OGS has a limited annual growth rate of 5.12%.
OGS has paid a dividend for at least 10 years, which is a reliable track record.
OGS has not decreased their dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)5.12%
Div Incr Years10
Div Non Decr Years10
5.3 Sustainability
OGS pays out 62.60% of its income as dividend. This is not a sustainable payout ratio.
The dividend of OGS is growing, but earnings are growing more, so the dividend growth is sustainable.
DP62.6%
EPS Next 2Y9.06%
EPS Next 3Y7.63%
NYSE:OGS (11/5/2025, 2:38:01 PM)
81.24
-0.63 (-0.77%)
Chartmill FA Rating
GICS SectorUtilities
GICS IndustryGroupUtilities
GICS IndustryGas Utilities
Earnings (Last)
Earnings (Next)
Inst Owners98.03%
Inst Owner Change-0.31%
Ins Owners0.89%
Ins Owner Change0.67%
Market Cap4.87B
Revenue(TTM)2.08B
Net Income(TTM)247.74M
Analysts74.55
Price Target82.4 (1.43%)
Short Float %7.64%
Short Ratio11.37
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.27% |
Yearly Dividend2.57
Dividend Growth(5Y)5.12%
DP62.6%
Div Incr Years10
Div Non Decr Years10
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)2.55%
Min EPS beat(2)-0.72%
Max EPS beat(2)5.81%
EPS beat(4)1
Avg EPS beat(4)-2.16%
Min EPS beat(4)-13.24%
Max EPS beat(4)5.81%
EPS beat(8)2
Avg EPS beat(8)-0.97%
EPS beat(12)4
Avg EPS beat(12)-0.68%
EPS beat(16)4
Avg EPS beat(16)-1.11%
Revenue beat(2)0
Avg Revenue beat(2)-11%
Min Revenue beat(2)-21.08%
Max Revenue beat(2)-0.92%
Revenue beat(4)0
Avg Revenue beat(4)-15.85%
Min Revenue beat(4)-35.86%
Max Revenue beat(4)-0.92%
Revenue beat(8)0
Avg Revenue beat(8)-17.82%
Revenue beat(12)3
Avg Revenue beat(12)1.63%
Revenue beat(16)7
Avg Revenue beat(16)7.36%
PT rev (1m)5.31%
PT rev (3m)3.9%
EPS NQ rev (1m)0.48%
EPS NQ rev (3m)-15.59%
EPS NY rev (1m)0.31%
EPS NY rev (3m)1.02%
Revenue NQ rev (1m)-0.09%
Revenue NQ rev (3m)-0.2%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 18.94 | ||
| Fwd PE | 17.47 | ||
| P/S | 2.09 | ||
| P/FCF | N/A | ||
| P/OCF | 8.61 | ||
| P/B | 1.53 | ||
| P/tB | 1.76 | ||
| EV/EBITDA | 9.79 |
EPS(TTM)4.29
EY5.28%
EPS(NY)4.65
Fwd EY5.72%
FCF(TTM)-2.36
FCFYN/A
OCF(TTM)9.44
OCFY11.62%
SpS38.83
BVpS53.07
TBVpS46.29
PEG (NY)1.55
PEG (5Y)8.68
Graham Number71.57
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.96% | ||
| ROE | 7.78% | ||
| ROCE | 6.18% | ||
| ROIC | 4.7% | ||
| ROICexc | 4.72% | ||
| ROICexgc | 4.97% | ||
| OM | 18.72% | ||
| PM (TTM) | 10.63% | ||
| GM | 59.07% | ||
| FCFM | N/A |
ROA(3y)2.82%
ROA(5y)2.84%
ROE(3y)8.04%
ROE(5y)8.34%
ROIC(3y)4.53%
ROIC(5y)4.31%
ROICexc(3y)4.55%
ROICexc(5y)4.32%
ROICexgc(3y)4.86%
ROICexgc(5y)4.55%
ROCE(3y)5.68%
ROCE(5y)5.4%
ROICexgc growth 3Y10.43%
ROICexgc growth 5Y-1.12%
ROICexc growth 3Y9.13%
ROICexc growth 5Y-1.63%
OM growth 3Y3.74%
OM growth 5Y1.4%
PM growth 3Y-2.14%
PM growth 5Y-1.09%
GM growth 3Y3.11%
GM growth 5Y1.42%
F-Score6
Asset Turnover0.28
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.02 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 4.36 | ||
| Cap/Depr | 229.38% | ||
| Cap/Sales | 30.38% | ||
| Interest Coverage | 2.93 | ||
| Cash Conversion | 76.04% | ||
| Profit Quality | N/A | ||
| Current Ratio | 0.52 | ||
| Quick Ratio | 0.35 | ||
| Altman-Z | 1.08 |
F-Score6
WACC6.89%
ROIC/WACC0.68
Cap/Depr(3y)247.32%
Cap/Depr(5y)244.56%
Cap/Sales(3y)28.5%
Cap/Sales(5y)28.73%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)11.72%
EPS 3Y0.52%
EPS 5Y2.18%
EPS Q2Q%29.41%
EPS Next Y12.18%
EPS Next 2Y9.06%
EPS Next 3Y7.63%
EPS Next 5Y7.22%
Revenue 1Y (TTM)-12.16%
Revenue growth 3Y4.83%
Revenue growth 5Y4.74%
Sales Q2Q%11.38%
Revenue Next Year6.92%
Revenue Next 2Y5.61%
Revenue Next 3Y2.31%
Revenue Next 5Y1.19%
EBIT growth 1Y14.88%
EBIT growth 3Y8.75%
EBIT growth 5Y6.21%
EBIT Next Year86.96%
EBIT Next 3Y28.83%
EBIT Next 5Y19.04%
FCF growth 1Y-110.47%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-72.14%
OCF growth 3YN/A
OCF growth 5Y3.49%
ONE GAS INC / OGS FAQ
What is the fundamental rating for OGS stock?
ChartMill assigns a fundamental rating of 3 / 10 to OGS.
What is the valuation status of ONE GAS INC (OGS) stock?
ChartMill assigns a valuation rating of 2 / 10 to ONE GAS INC (OGS). This can be considered as Overvalued.
What is the profitability of OGS stock?
ONE GAS INC (OGS) has a profitability rating of 4 / 10.
What is the valuation of ONE GAS INC based on its PE and PB ratios?
The Price/Earnings (PE) ratio for ONE GAS INC (OGS) is 18.94 and the Price/Book (PB) ratio is 1.53.
What is the expected EPS growth for ONE GAS INC (OGS) stock?
The Earnings per Share (EPS) of ONE GAS INC (OGS) is expected to grow by 12.18% in the next year.