📊 OKE Key Takeaways
Is Oneok Inc. /New/ (OKE) a Good Investment?
Despite exceptional 55% YoY revenue growth, ONEOK exhibits severe operational deterioration with flat net income, minimal free cash flow (0.7% margin), and weakened liquidity ratios (0.71x current ratio). Combined with elevated leverage (1.43x debt/equity) and inadequate returns on capital (3.5% ROE), the company faces profitability and financial stress that undercuts the revenue expansion narrative.
ONEOK’s fundamentals show strong operating performance and cash generation, with 17.1% operating margin, 19.1x interest coverage, and $2.45B of free cash flow supporting balance sheet flexibility. The 55% revenue jump reflects scale expansion, while flat net income and weak liquidity temper the near-term outlook; steady margins and gradual de-leveraging would enhance durability.
Oneok Inc. /New/ Key Strengths (OKE)
- Strong top-line revenue growth of 55% YoY indicates market demand and operational scale expansion
- Operating margin of 14.8% remains respectable for natural gas transmission and distribution sector
- Interest coverage ratio of 4.8x demonstrates adequate capacity to service debt obligations
- Robust interest coverage (19.1x) and solid ROE (15.1%)
- Healthy free cash flow ($2.45B; 7.3% FCF margin) despite $3.15B capex
- Scaled asset base with resilient operating margin (17.1%)
OKE Stock Risks: Oneok Inc. /New/ Investment Risks
- Critical profit quality concern: revenue +55% but net income +0% YoY signals margin compression or significant one-time charges
- Liquidity crisis indicators with current ratio of 0.71x and quick ratio of 0.56x, both below safe thresholds
- Dangerously low free cash flow generation of just $70M (0.7% of revenue) inadequate for capex, debt service, and leverage reduction
- Elevated leverage (1.43x debt/equity) with high absolute debt ($32B) combined with weak cash generation creates refinancing risk
- Severely depressed capital returns (ROE 3.5%, ROA 1.1%) indicate inefficient capital deployment
- High leverage ($30.75B debt) and low liquidity (current ratio 0.71x)
- Profit growth lagging revenue (+55% revenue vs flat net income) indicating margin pressure/integration risk
- Regulatory, commodity spread/volume sensitivity, and capex execution risk
Key Metrics to Watch
- Free cash flow trend and FCF margin sustainability - currently at distress levels
- Gross and operating margin progression - need reversal of compression trend
- Debt/equity ratio and absolute debt levels - must demonstrate reduction path
- Current ratio improvement - liquidity position is critical monitoring point
- Free cash flow (FCF)
- Leverage/Interest coverage
Oneok Inc. /New/ (OKE) Financial Metrics & Key Ratios
💡 AI Analyst Insight
The relatively thin 0.7% FCF margin may limit capital allocation flexibility. The current ratio below 1.0x warrants monitoring of short-term liquidity.
OKE Profit Margin, ROE & Profitability Analysis
OKE vs Energy Sector: How Oneok Inc. /New/ Compares
How Oneok Inc. /New/ compares to Energy sector averages
Sector benchmarks are approximate industry averages. Actual sector performance may vary.
Is Oneok Inc. /New/ Stock Overvalued? OKE Valuation Analysis 2026
Based on fundamental analysis, Oneok Inc. /New/ shows some fundamental concerns relative to the Energy sector in 2026.
Note: This is a fundamental analysis based on SEC filings. For P/E ratio, price targets, and market-based valuation, consult financial data providers. This is not investment advice.
Oneok Inc. /New/ Balance Sheet: OKE Debt, Cash & Liquidity
OKE Revenue & Earnings Growth: 5-Year Financial Trend
5-Year Trend Summary: Oneok Inc. /New/'s revenue has grown significantly by 50% over the 5-year period, indicating strong business expansion. The most recent EPS of $5.48 reflects profitable operations.
OKE Revenue Growth, EPS Growth & YoY Performance
OKE Quarterly Earnings & Performance
| Quarter | Revenue | Net Income | EPS |
|---|---|---|---|
| Q1 2026 | $8.0B | $636.0M | $1.04 |
| Q3 2025 | $5.0B | $693.0M | $1.18 |
| Q2 2025 | $4.9B | $780.0M | $1.33 |
| Q1 2025 | $4.8B | $636.0M | $1.04 |
| Q3 2024 | $4.2B | N/A | $0.99 |
| Q2 2024 | $3.7B | N/A | $1.04 |
| Q1 2024 | $4.5B | N/A | $1.09 |
| Q3 2023 | $4.2B | N/A | $0.96 |
Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.
Oneok Inc. /New/ Dividends, Buybacks & Capital Allocation
OKE SEC Filings: Latest 10-K & 10-Q Analysis
Access official SEC EDGAR filings for Oneok Inc. /New/ (CIK: 0001039684)
📋 Recent SEC Filings
| Date | Form | Document | Action |
|---|---|---|---|
| May 22, 2026 | 4 | xslF345X06/wk-form4_1779455047.xml | View → |
| May 22, 2026 | 4 | xslF345X06/wk-form4_1779455042.xml | View → |
| May 22, 2026 | 4 | xslF345X06/wk-form4_1779455035.xml | View → |
| May 22, 2026 | 4 | xslF345X06/wk-form4_1779455030.xml | View → |
| May 22, 2026 | 4 | xslF345X06/wk-form4_1779455024.xml | View → |
❓ Frequently Asked Questions about OKE
What is the AI rating for OKE?
Oneok Inc. /New/ (OKE) has a Combined AI Grade of B from Claude (C) and ChatGPT (A) with 72% combined confidence, based on fundamental analysis of SEC EDGAR filings.
What are OKE's key strengths?
Claude: Strong top-line revenue growth of 55% YoY indicates market demand and operational scale expansion. Operating margin of 14.8% remains respectable for natural gas transmission and distribution sector. ChatGPT: Robust interest coverage (19.1x) and solid ROE (15.1%). Healthy free cash flow ($2.45B; 7.3% FCF margin) despite $3.15B capex.
What are the risks of investing in OKE?
Claude: Critical profit quality concern: revenue +55% but net income +0% YoY signals margin compression or significant one-time charges. Liquidity crisis indicators with current ratio of 0.71x and quick ratio of 0.56x, both below safe thresholds. ChatGPT: High leverage ($30.75B debt) and low liquidity (current ratio 0.71x). Profit growth lagging revenue (+55% revenue vs flat net income) indicating margin pressure/integration risk.
What is OKE's revenue and growth?
Oneok Inc. /New/ reported revenue of $9.6B.
Does OKE pay dividends?
Oneok Inc. /New/ pays dividends, with $674.0M distributed to shareholders in the trailing twelve months.
Where can I find OKE SEC filings?
Official SEC filings for Oneok Inc. /New/ (CIK: 0001039684) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.
What is OKE's EPS?
Oneok Inc. /New/ has a diluted EPS of $1.23.
How is the AI analysis conducted?
Two independent AI systems — Claude (Anthropic) and ChatGPT (OpenAI) — analyze SEC EDGAR filings including 10-K annual reports and 10-Q quarterly reports. Each AI evaluates financial health, profitability ratios, balance sheet strength, and growth metrics. The combined grade reflects both perspectives for balanced insights.
What is OKE's fundamental grade?
Based on our AI fundamental analysis in May 2026, Oneok Inc. /New/ has a B grade with 72% confidence. Review the strengths and risks sections above for full context. This is not investment advice.
Is OKE stock overvalued or undervalued?
Valuation metrics for OKE: ROE of 3.5% (sector avg: 14%), net margin of 8.0% (sector avg: 12%). Compare these metrics with sector averages to assess valuation.
What is OKE's AI grade for 2026?
Our dual AI analysis gives Oneok Inc. /New/ a combined B grade for 2026. Revenue is data pending, with profitability at or below sector average. Always conduct your own research.
What is OKE's free cash flow?
Oneok Inc. /New/'s operating cash flow is $934.0M, with capital expenditures of $864.0M. FCF margin is 0.7%.
How does OKE compare to other Energy stocks?
Vs Energy sector averages: Net margin 8.0% (avg: 12%), ROE 3.5% (avg: 14%), current ratio 0.71 (avg: 1.3).