ONE GAS INC (OGS) Stock Fundamental Analysis
USA - NYSE:OGS - US68235P1084 - Common Stock
81.475 USD
+0.07 (+0.09%)
Taking everything into account, OGS scores 3 out of 10 in our fundamental rating. OGS was compared to 14 industry peers in the Gas Utilities industry. While OGS is still in line with the averages on profitability rating, there are concerns on its financial health. OGS is quite expensive at the moment. It does show a decent growth rate.
1. Profitability
1.1 Basic Checks
In the past year OGS was profitable.
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
The Return On Assets of OGS (3.00%) is worse than 64.29% of its industry peers.
OGS has a Return On Equity of 8.01%. This is in the lower half of the industry: OGS underperforms 64.29% of its industry peers.
Looking at the Return On Invested Capital, with a value of 4.84%, OGS is in line with its industry, outperforming 42.86% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for OGS is below the industry average of 8.93%.
The last Return On Invested Capital (4.84%) for OGS is above the 3 year average (4.53%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3% | ||
| ROE | 8.01% | ||
| ROIC | 4.84% |
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
OGS has a Profit Margin (10.76%) which is in line with its industry peers.
OGS's Profit Margin has been stable in the last couple of years.
OGS has a Operating Margin of 18.66%. This is comparable to the rest of the industry: OGS outperforms 42.86% of its industry peers.
OGS's Operating Margin has been stable in the last couple of years.
OGS has a Gross Margin (59.02%) which is in line with its industry peers.
In the last couple of years the Gross Margin of OGS has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 18.66% | ||
| PM (TTM) | 10.76% | ||
| GM | 59.02% |
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.
The number of shares outstanding for OGS has been increased compared to 1 year ago.
Compared to 5 years ago, OGS has more shares outstanding
Compared to 1 year ago, OGS has a worse debt to assets ratio.
2.2 Solvency
Based on the Altman-Z score of 1.03, we must say that OGS is in the distress zone and has some risk of bankruptcy.
OGS has a Altman-Z score (1.03) which is comparable to the rest of the industry.
OGS has a Debt/Equity ratio of 0.98. This is a neutral value indicating OGS is somewhat dependend on debt financing.
The Debt to Equity ratio of OGS (0.98) is better than 64.29% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.98 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 1.03 |
ROIC/WACC0.7
WACC6.88%
2.3 Liquidity
A Current Ratio of 0.47 indicates that OGS may have some problems paying its short term obligations.
OGS's Current ratio of 0.47 is on the low side compared to the rest of the industry. OGS is outperformed by 64.29% of its industry peers.
A Quick Ratio of 0.26 indicates that OGS may have some problems paying its short term obligations.
OGS has a worse Quick ratio (0.26) than 85.71% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.47 | ||
| Quick Ratio | 0.26 |
3. Growth
3.1 Past
OGS shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 11.72%, which is quite good.
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.
The Revenue has grown by 15.06% in the past year. This is quite good.
The Revenue has been growing slightly by 4.74% on average over the past years.
EPS 1Y (TTM)11.72%
EPS 3Y0.52%
EPS 5Y2.18%
EPS Q2Q%29.41%
Revenue 1Y (TTM)15.06%
Revenue growth 3Y4.83%
Revenue growth 5Y4.74%
Sales Q2Q%11.38%
3.2 Future
OGS is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 7.22% yearly.
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 18.99 indicates a rather expensive valuation of OGS.
OGS's Price/Earnings ratio is in line with the industry average.
Compared to an average S&P500 Price/Earnings ratio of 25.46, OGS is valued a bit cheaper.
With a Price/Forward Earnings ratio of 17.52, OGS is valued on the expensive side.
The rest of the industry has a similar Price/Forward Earnings ratio as OGS.
OGS is valuated cheaply when we compare the Price/Forward Earnings ratio to 35.39, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 18.99 | ||
| Fwd PE | 17.52 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of OGS is on the same level as its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 9.94 |
4.3 Compensation for Growth
OGS's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
PEG (NY)1.56
PEG (5Y)8.7
EPS Next 2Y9.06%
EPS Next 3Y7.63%
5. Dividend
5.1 Amount
OGS has a Yearly Dividend Yield of 3.27%. Purely for dividend investing, there may be better candidates out there.
OGS's Dividend Yield is comparable with the industry average which is at 3.80.
OGS's Dividend Yield is a higher than the S&P500 average which is at 2.44.
| 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 been paying a dividend for at least 10 years, so it has 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 61.93% of its income as dividend. This is not a sustainable payout ratio.
OGS's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP61.93%
EPS Next 2Y9.06%
EPS Next 3Y7.63%
NYSE:OGS (11/19/2025, 2:57:57 PM)
81.475
+0.07 (+0.09%)
Chartmill FA Rating
GICS SectorUtilities
GICS IndustryGroupUtilities
GICS IndustryGas Utilities
Earnings (Last)
Earnings (Next)
Inst Owners98.03%
Inst Owner Change-1.19%
Ins Owners0.89%
Ins Owner Change0.93%
Market Cap4.89B
Revenue(TTM)2.37B
Net Income(TTM)254.94M
Analysts74.55
Price Target82.4 (1.14%)
Short Float %8.04%
Short Ratio11.37
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.27% |
Yearly Dividend2.57
Dividend Growth(5Y)5.12%
DP61.93%
Div Incr Years10
Div Non Decr Years10
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)2.13%
Min EPS beat(2)-0.72%
Max EPS beat(2)4.97%
EPS beat(4)2
Avg EPS beat(4)2.39%
Min EPS beat(4)-0.72%
Max EPS beat(4)5.81%
EPS beat(8)2
Avg EPS beat(8)-1.05%
EPS beat(12)4
Avg EPS beat(12)-0.52%
EPS beat(16)5
Avg EPS beat(16)-0.68%
Revenue beat(2)0
Avg Revenue beat(2)-23.72%
Min Revenue beat(2)-26.36%
Max Revenue beat(2)-21.08%
Revenue beat(4)0
Avg Revenue beat(4)-21.05%
Min Revenue beat(4)-35.86%
Max Revenue beat(4)-0.92%
Revenue beat(8)0
Avg Revenue beat(8)-17.67%
Revenue beat(12)2
Avg Revenue beat(12)-2.82%
Revenue beat(16)6
Avg Revenue beat(16)5.11%
PT rev (1m)3.86%
PT rev (3m)4.24%
EPS NQ rev (1m)0.13%
EPS NQ rev (3m)7.58%
EPS NY rev (1m)0.43%
EPS NY rev (3m)1.14%
Revenue NQ rev (1m)11.9%
Revenue NQ rev (3m)12.25%
Revenue NY rev (1m)0.04%
Revenue NY rev (3m)0.04%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 18.99 | ||
| Fwd PE | 17.52 | ||
| P/S | 2.06 | ||
| P/FCF | N/A | ||
| P/OCF | 8.17 | ||
| P/B | 1.54 | ||
| P/tB | 1.76 | ||
| EV/EBITDA | 9.94 |
EPS(TTM)4.29
EY5.27%
EPS(NY)4.65
Fwd EY5.71%
FCF(TTM)-2.01
FCFYN/A
OCF(TTM)9.97
OCFY12.24%
SpS39.48
BVpS53.04
TBVpS46.38
PEG (NY)1.56
PEG (5Y)8.7
Graham Number71.55
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3% | ||
| ROE | 8.01% | ||
| ROCE | 6.27% | ||
| ROIC | 4.84% | ||
| ROICexc | 4.84% | ||
| ROICexgc | 5.1% | ||
| OM | 18.66% | ||
| PM (TTM) | 10.76% | ||
| GM | 59.02% | ||
| 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 | 0.98 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 4.13 | ||
| Cap/Depr | 229.42% | ||
| Cap/Sales | 30.35% | ||
| Interest Coverage | 3.11 | ||
| Cash Conversion | 79.22% | ||
| Profit Quality | N/A | ||
| Current Ratio | 0.47 | ||
| Quick Ratio | 0.26 | ||
| Altman-Z | 1.03 |
F-Score6
WACC6.88%
ROIC/WACC0.7
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)15.06%
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 1Y15.76%
EBIT growth 3Y8.75%
EBIT growth 5Y6.21%
EBIT Next Year86.96%
EBIT Next 3Y28.83%
EBIT Next 5Y19.04%
FCF growth 1Y-170.83%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-30.21%
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 18.99 and the Price/Book (PB) ratio is 1.54.
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.