ONEOK Stock: Is OKE Underperforming the Energy Sector?

Company Overview - ONEOK, Inc. is a leading midstream energy company based in Tulsa, Oklahoma, with a market cap of $45.7 billion, focusing on processing, transportation, and storage of crude oil, natural gas, and natural gas liquids [1] - The company connects oil and gas producers with end markets across North America, categorizing it as a large-cap stock due to its substantial size and influence in the industry [2] Stock Performance - ONEOK's stock has experienced a significant decline, dropping 39.6% from its all-time high of $118.07 on November 22, 2024, and 12.7% over the past three months, underperforming the Energy Select Sector SPDR Fund's (XLE) 4.5% gains during the same period [3][4] - Year-to-date, the stock has plunged 28.9% and 21.6% over the past 52 weeks, while XLE has seen a 1.8% uptick in 2025 and 1.3% gains over the past year [4] Recent Financial Results - Following the release of Q2 results on August 4, ONEOK's stock dropped 5.2% in a single trading session, despite a 68.4% year-over-year surge in commodity sales to $6.7 billion and a 61.2% increase in overall topline to $7.9 billion, which missed expectations by 7.9% [5] - The company's EPS for the quarter increased by 75 basis points year-over-year to $1.34, matching consensus estimates [5] Peer Comparison and Analyst Ratings - ONEOK has underperformed compared to its peer, Kinder Morgan, Inc., which saw a 3.4% decline year-to-date and a 25.3% surge over the past 52 weeks [6] - Among 18 analysts covering ONEOK stock, the consensus rating is a "Moderate Buy," with a mean price target of $96.47, representing a 35.2% premium to current price levels [6]