Oneok’s Hold Rating: Conservative Outlook Amid Market Challenges and Expansion Efforts

In a report released today, Jason Gabelman from TD Cowen maintained a Hold rating on Oneok, with a price target of $87.00.

Jason Gabelman has given his Hold rating due to a combination of factors, including Oneok’s current financial guidance and market conditions. The company has maintained its FY25 EBITDA guidance but has lowered its FY26 expectations due to lower commodity prices and spread differentials. This adjustment reflects a more conservative outlook on future earnings, which has influenced the Hold rating.
Additionally, Oneok’s stock has been trading at a valuation that already accounts for some of the anticipated challenges, such as its ability to maintain elevated rates in certain regions. The company’s ongoing expansion efforts in the Delaware basin and recent acquisitions are positive, yet investor concerns about growth rates and infrastructure saturation remain. These factors, along with a revised price target of $87, support the decision to maintain a Hold rating.

In another report released on August 8, TR | OpenAI – 4o also downgraded the stock to a Hold with a $83.00 price target.