The Williams Companies Inc. (NYSE: WMB) stock fell -0.99% on Friday to $31.16 against a previous-day closing price of $31.47. With 4.89 million shares changed hands, the volume of the stock remained lighter than its average volume of 7.58 million shares. During the session, the Oil & Gas Midstream company that operates in wider Energy sector, reached to the highest price of $31.84 whereas the lowest price it dropped to was $31.15. The 52-week range on WMB shows that it touched its highest point at $37.97 and its lowest point at $24.86 during that stretch. It currently has a 1-year price target of $38.10. With its current market cap of 39.34 billion, WMB has annualized dividend of $1.70 while the current yield stands at 5.46%. Beta for the stock currently stands at 1.19.
Price Performance and Earnings:
Stock performance is one of the indicators that investors use to determine whether they will profit from a stock. The price performance of WMB was down-trending over the past week, with a drop of -5.09%, but this was down by -11.28% over a month. Three-month performance surged to 2.47% while six-month performance fell -4.74%. The stock gained 24.49% in the past year, while it has gained 19.66% so far this year. A look at the trailing 12-month EPS for WMB yields 1.28 with Next year EPS estimates of 1.72. For the next quarter, that number is 0.42. This implies an EPS growth rate of 626.10% for this year and 9.93% for next year. EPS is expected to grow by 9.08% annually over the next five years; however, over the past five years, the company experienced an annual growth rate of 33.20%.
Float and Shares Shorts:
At present, 1.22 billion WMB shares are outstanding with a float of 1.21 billion shares on hand for trading. On Jul 14, 2022, short shares totaled 22.16 million, which was 1.82% higher than short shares on Jun 14, 2022. In addition to Mr. Alan S. Armstrong as the firm’s Pres, CEO & Director, Mr. Micheal G. Dunn serves as its Exec. VP & COO.
Through their ownership of 86.95% of WMB’s outstanding shares, institutional investors have majority control over the company. Other institutions hold 46.95% of WMB, in contrast to 40.30% held by mutual funds. Shares owned by individuals account for 2.34%. As the largest shareholder in WMB with 9.83% of the stake, The Vanguard Group, Inc. holds 119,749,707 shares worth 119,749,707. A second-largest stockholder of WMB, SSgA Funds Management, Inc., holds 88,487,546 shares, controlling over 7.26% of the firm’s shares. BlackRock Fund Advisors is the third largest shareholder in WMB, holding 69,497,198 shares or 5.70% stake. With a 3.52% stake in WMB, the Dodge & Cox Stock Fund is the largest stakeholder. A total of 42,940,309 shares are owned by the mutual fund manager. The Vanguard Total Stock Market Index, which owns about 2.96% of WMB stock, is the second-largest Mutual Fund holder. It holds 36,054,077 shares valued at 1.23 billion. SPDR Series – Energy Select Secto holds 2.74% of the stake in WMB, owning 33,326,193 shares worth 1.13 billion.
Reading analyst opinions is an effective way to decide where to invest, and there are several opinions available for WMB since 23 analysts follow the stock currently. There are 13 analysts who recommend BUY ratings, while 1 suggest SELL ratings. Of the remaining analysts, 7 believe that the stock is worth HOLDING, 2 give it an OVERWEIGHT rating, and 0 thinks that it’s UNDERWEIGHT. In the same way, a target price assigned to a stock can also reveal much about its potential. With WMB analysts setting a high price target of $42.00 and a low target of $30.00, the average target price over the next 12 months is $38.26. Based on these targets, WMB could surge 34.79% to reach the target high and fall by -3.72% to reach the target low. Reaching the average price target will result in a growth of 22.79% from current levels.
EPS: Estimates vs Actual
It is also common to use earnings estimates to evaluate a firm’s growth potential and to determine trading strategy. WMB will report FY 2022 earnings on 02/15/2023. Analysts have provided yearly estimates in a range of $1.84 being high and $1.40 being low. For WMB, this leads to a yearly average estimate of $1.57. The earnings surprise of a firm occurs when the actual results change from the consensus earnings estimate. The Williams Companies Inc. surprised analysts by $0.03 when it reported $0.40 EPS against a consensus estimate of $0.37. The surprise factor in the prior quarter was $0.06. Based on analyst estimates, the high estimate for the next quarter is $0.47 and the low estimate is $0.36. The average estimate for the next quarter is thus $0.41.
Summary of Insider Activity:
Insiders traded WMB stock several times over the past three months with 0 Buys and 0 Sells. In these transactions, 0 shares were bought while 0 shares were sold. The number of buy transactions has increased to 46 while that of sell transactions has risen to 40 over the past year. The total number of shares bought during that period was 1,777,527 while 984,762 shares were sold.