ONEOK INC (ONK.DE) Stock Fundamental Analysis
Europe - Frankfurt Stock Exchange - FRA:ONK - US6826801036 - Common Stock
64.37 EUR
-2.03 (-3.06%)
We assign a fundamental rating of 4 out of 10 to ONK. ONK was compared to 71 industry peers in the Oil, Gas & Consumable Fuels industry. While ONK has a great profitability rating, there are quite some concerns on its financial health. ONK is not valued too expensively and it also shows a decent growth rate. Finally ONK also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
- In the past year ONK was profitable.
- ONK had a positive operating cash flow in the past year.
- In the past 5 years ONK has always been profitable.
- ONK had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
- ONK has a Return On Assets of 5.01%. This is in the better half of the industry: ONK outperforms 71.83% of its industry peers.
- Looking at the Return On Equity, with a value of 15.12%, ONK belongs to the top of the industry, outperforming 81.69% of the companies in the same industry.
- ONK has a better Return On Invested Capital (7.36%) than 71.83% of its industry peers.
- The Average Return On Invested Capital over the past 3 years for ONK is in line with the industry average of 8.91%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.01% | ||
| ROE | 15.12% | ||
| ROIC | 7.36% |
ROA(3y)5.93%
ROA(5y)5.36%
ROE(3y)20.15%
ROE(5y)19.1%
ROIC(3y)7.98%
ROIC(5y)8.09%
1.3 Margins
- ONK has a Profit Margin of 10.58%. This is in the better half of the industry: ONK outperforms 60.56% of its industry peers.
- In the last couple of years the Profit Margin of ONK has grown nicely.
- ONK has a Operating Margin (18.71%) which is in line with its industry peers.
- ONK's Operating Margin has improved in the last couple of years.
- ONK's Gross Margin of 31.97% is on the low side compared to the rest of the industry. ONK is outperformed by 69.01% of its industry peers.
- In the last couple of years the Gross Margin of ONK has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 18.71% | ||
| PM (TTM) | 10.58% | ||
| GM | 31.97% |
OM growth 3Y14.14%
OM growth 5Y4.34%
PM growth 3Y15.56%
PM growth 5Y2.16%
GM growth 3Y14.28%
GM growth 5Y3.08%
2. Health
2.1 Basic Checks
- ONK has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
- ONK has about the same amout of shares outstanding than it did 1 year ago.
- ONK has more shares outstanding than it did 5 years ago.
- Compared to 1 year ago, ONK has a worse debt to assets ratio.
2.2 Solvency
- ONK has an Altman-Z score of 1.45. This is a bad value and indicates that ONK is not financially healthy and even has some risk of bankruptcy.
- ONK's Altman-Z score of 1.45 is on the low side compared to the rest of the industry. ONK is outperformed by 61.97% of its industry peers.
- ONK has a debt to FCF ratio of 11.55. This is a negative value and a sign of low solvency as ONK would need 11.55 years to pay back of all of its debts.
- Looking at the Debt to FCF ratio, with a value of 11.55, ONK is doing worse than 60.56% of the companies in the same industry.
- ONK has a Debt/Equity ratio of 1.45. This is a high value indicating a heavy dependency on external financing.
- ONK has a Debt to Equity ratio of 1.45. This is amonst the worse of the industry: ONK underperforms 81.69% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.45 | ||
| Debt/FCF | 11.55 | ||
| Altman-Z | 1.45 |
ROIC/WACC0.93
WACC7.92%
2.3 Liquidity
- ONK has a Current Ratio of 0.90. This is a bad value and indicates that ONK is not financially healthy enough and could expect problems in meeting its short term obligations.
- With a Current ratio value of 0.90, ONK is not doing good in the industry: 78.87% of the companies in the same industry are doing better.
- ONK has a Quick Ratio of 0.90. This is a bad value and indicates that ONK is not financially healthy enough and could expect problems in meeting its short term obligations.
- ONK has a Quick ratio of 0.75. This is in the lower half of the industry: ONK underperforms 78.87% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.9 | ||
| Quick Ratio | 0.75 |
3. Growth
3.1 Past
- The Earnings Per Share has grown by an nice 13.81% over the past year.
- Measured over the past years, ONK shows a quite strong growth in Earnings Per Share. The EPS has been growing by 10.99% on average per year.
- Looking at the last year, ONK shows a very strong growth in Revenue. The Revenue has grown by 58.35%.
- Measured over the past years, ONK shows a quite strong growth in Revenue. The Revenue has been growing by 16.38% on average per year.
EPS 1Y (TTM)13.81%
EPS 3Y15.45%
EPS 5Y10.99%
EPS Q2Q%26.27%
Revenue 1Y (TTM)58.35%
Revenue growth 3Y9.47%
Revenue growth 5Y16.38%
Sales Q2Q%71.89%
3.2 Future
- ONK is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 7.74% yearly.
- ONK is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 9.99% yearly.
EPS Next Y6.06%
EPS Next 2Y7.64%
EPS Next 3Y7.94%
EPS Next 5Y7.74%
Revenue Next Year54.7%
Revenue Next 2Y28.94%
Revenue Next 3Y20.55%
Revenue Next 5Y9.99%
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 decreasing.
- When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
- A Price/Earnings ratio of 14.18 indicates a correct valuation of ONK.
- 64.79% of the companies in the same industry are more expensive than ONK, based on the Price/Earnings ratio.
- The average S&P500 Price/Earnings ratio is at 28.60. ONK is valued rather cheaply when compared to this.
- A Price/Forward Earnings ratio of 12.87 indicates a correct valuation of ONK.
- Compared to the rest of the industry, the Price/Forward Earnings ratio of ONK is on the same level as its industry peers.
- ONK is valuated cheaply when we compare the Price/Forward Earnings ratio to 25.83, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 14.18 | ||
| Fwd PE | 12.87 |
4.2 Price Multiples
- Based on the Enterprise Value to EBITDA ratio, ONK is valued a bit more expensive than 67.61% of the companies in the same industry.
- Compared to the rest of the industry, the Price/Free Cash Flow ratio of ONK is on the same level as its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 16.61 | ||
| EV/EBITDA | 10.98 |
4.3 Compensation for Growth
- The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates ONK does not grow enough to justify the current Price/Earnings ratio.
- The decent profitability rating of ONK may justify a higher PE ratio.
PEG (NY)2.34
PEG (5Y)1.29
EPS Next 2Y7.64%
EPS Next 3Y7.94%
5. Dividend
5.1 Amount
- ONK has a Yearly Dividend Yield of 5.45%, which is a nice return.
- Compared to an average industry Dividend Yield of 5.24, ONK pays a bit more dividend than its industry peers.
- Compared to an average S&P500 Dividend Yield of 1.82, ONK pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.45% |
5.2 History
- The dividend of ONK has a limited annual growth rate of 2.34%.
Dividend Growth(5Y)2.34%
Div Incr Years2
Div Non Decr Years3
5.3 Sustainability
- ONK pays out 75.29% of its income as dividend. This is not a sustainable payout ratio.
- The dividend of ONK is growing, but earnings are growing more, so the dividend growth is sustainable.
DP75.29%
EPS Next 2Y7.64%
EPS Next 3Y7.94%
ONEOK INC / ONK.DE FAQ
What is the fundamental rating for ONK stock?
ChartMill assigns a fundamental rating of 4 / 10 to ONK.DE.
Can you provide the valuation status for ONEOK INC?
ChartMill assigns a valuation rating of 4 / 10 to ONEOK INC (ONK.DE). This can be considered as Fairly Valued.
How profitable is ONEOK INC (ONK.DE) stock?
ONEOK INC (ONK.DE) has a profitability rating of 7 / 10.
What is the expected EPS growth for ONEOK INC (ONK.DE) stock?
The Earnings per Share (EPS) of ONEOK INC (ONK.DE) is expected to grow by 6.06% in the next year.
Can you provide the dividend sustainability for ONK stock?
The dividend rating of ONEOK INC (ONK.DE) is 7 / 10 and the dividend payout ratio is 75.29%.