Williams Companies, Inc. (WMB)
Energy · Oil & Gas Storage & Transportation · US stock · S&P 500 component
$70.63
▼ -2.17 (2.98%)
Fair valueOvervalued
$57 −18.7% to fair value
$29fair band $49–$70$86
Day's range
$68.97 – $73.00
52-week range
$56.19 – $80.08
About Williams Companies, Inc.
Williams is a Tulsa-based energy infrastructure company focused on natural gas. It operates pipelines that move gas from producing regions to utilities, power generators, industrial users and export facilities, along with gathering and processing assets that clean and prepare gas near the wellhead. Its customers are gas producers, utilities and other shippers, and its Transco pipeline carries gas to the eastern United States.
Williams earns money from fees for gathering, processing, transporting and storing gas, mostly under long-term contracts. Revenue is $15.4 billion over the last twelve months, while revenue growth over three years is -5.7% a year. The operating margin is 30.2%, and the business earns a profit of 8% on the capital invested in it. It has net debt of 4.4 times EBITDA, and the dividend yield is 2.9%. On the site's X-Ray Score it receives 38 out of 100.
WMB news
All WMB news →Price chart
52-wk range $56.19 – $80.08Volume 8,901,413Daily, split-adjusted
Vitals
Market cap$86.5B
52-week range$56.19 – $80.08
Volume (last day)8,901,413
P/E (TTM)28.2
EBIT / EV yield3.9%
Free-cash-flow yield-0.1%
Dividend yield2.9%
Revenue (TTM)$15.4B
Net income (TTM)$3.1B
Operating margin30.2%
Return on capital8.1%
Debt incl. leases$30.8B
Cash & securities$203M
Debt = borrowings plus lease liabilities. Cash & securities = cash, equivalents and short-term marketable securities (long-term securities are not counted, so net cash can be understated for companies that hold large long-term investments). Net debt = debt minus cash & securities. Source: latest SEC 10-Q/10-K. EBIT / EV yield = operating profit divided by market cap plus net debt.
Fair value estimate
$57middle half of models $50 – $64
Overvalued
−18.7% to fair value
Average of the 12 valuation models that pass our checks: multiples, discounted cash flow, dividend discount and earnings power value. A model more than 100% above or 60% below the price is left out as unrealistic. Model uncertainty is Medium, based on how far apart the models are. Undervalued or Overvalued means the gap to fair value is more than 17.5%.
Price $71
Undervalued < $49Fair $49 – $70Overvalued > $70
P/E multiple
$69
P/B multiple
$52
P/S multiple
$56
EV/EBITDA multiple
$63
EV/EBIT multiple
$64
EV/revenue multiple
$58
10-year DCF, EBITDA exit
$41
5-year DCF, EBITDA exit
$54
10-year DCF, revenue exit
$41
5-year DCF, revenue exit
$53
10-year DCF, growth exit · not used
$18
5-year DCF, growth exit · not used
$27
Dividend discount, stable
$91
Dividend discount, multi-stage · not used
$142
Earnings power value
$46
Growth the price implies
15.2%/yr
A model estimate, not a price target or recommendation. Inputs: risk-free 5.13%, equity risk premium 4.30% (Damodaran). How it works.
What this means
Weak business, priced high
Our models put fair value below today's price, so a lot of good news may already be in the price. A high score does not guarantee a good outcome; it shifts the odds a little. Use the checklist as a prompt for your own research.
Before you invest · decision checklist
Ticked boxes are filled in from our data; the rest are yours to answer.
The five-lens scan
Every score explained in one sentence, ranked against Energy peers. Open a lens to see the numbers behind it.
Strong: 70 to 100Fair: 50 to 69Weak: under 50No score: not enough data
Valuation
Weak
8/100
Expensive against its sector on earnings and cash flow.
See the numbers →
EBIT / EV yield3.9%
Free-cash-flow yield-0.1%
Fair value vs price0.8×
Growth
Fair
63/100
Growing at a typical pace for its sector.
See the numbers →
Revenue growth (3y)-5.7%
EPS growth (3y)8.6%
Growth consistency90%
Profitability
Weak
40/100
Earns lower returns on its capital than most peers.
See the numbers →
Return on invested capital8.1%
Operating margin30.2%
Financial health
Weak
26/100
Balance sheet is more stretched than most peers.
See the numbers →
Piotroski F-Score7 / 9
Net debt / EBITDA4.4×
Interest cover3.1×
Dividends
Strong
77/100
Dividend is high and well covered by cash flow.
See the numbers →
Dividend yield2.9%
Dividend growth5.6%
Quarterly results: last 6 quarters
+25.4%
Mar '25
+18.7%
Jun '25
+15.0%
Sep '25
+12.7%
Dec '25
+12.7%
Mar '26
+0.0%
Jun '26
Revenue against the same quarter a year earlier. Latest quarter revenue $3.4B, diluted EPS $0.68.
Compare with peers
OKE Oneok Inc52 KMI Kinder Morgan, Inc.43 TRGP Targa Resources Corp.42Other Oil & Gas Storage & Transportation companies by X-Ray Score.
SWOT analysis: Williams Companies, Inc.
Strengthsinside the company
- Operating margin of 30.2% is well above the 22.9% median of industry peers, a sign of pricing power or lower costs.
- Passes 7 of the 9 Piotroski tests, which points to improving profitability, funding and efficiency.
Weaknessesinside the company
- Revenue has fallen 5.7% a year over three years (median -4.1% for industry peers).
- Free cash flow is negative, so spending or debt has to be financed from outside.
- Net debt is 4.4x EBITDA, above the 3x level that lenders usually watch.
Opportunitiesvaluation and setting
- Revenue growth picked up to 17.9% last year from -5.7% a year over three years.
- Our Market Compass rates the backdrop for Energy as favourable.
Threatsvaluation and setting
- Heavy debt makes profits sensitive to interest rates and refinancing conditions.
- Trades at 28.2x earnings, 30% above the 21.6x median of industry peers, so the price already assumes better results.
- The price is 19% above our fair value estimate, so there is little room for disappointment.
Written by fixed rules from the figures on this page and the peer table below: filings, our fair value, the sector climate and the price trend. It summarises the data, it is not a forecast or advice.
Compare WMB with peers and sector
Medians of 3 Oil & Gas Storage & Transportation peers and of 19 Energy stocks in our universe.
Largest peers (X-Ray Score): KMI 43, TRGP 42, OKE 52.
| Metric | WMB | Peers | Sector |
|---|---|---|---|
| X-Ray Score (out of 100) | 38 | 43 | 50 |
| Valuation | 8 | 24 | 60 |
| Growth | 63 | 70 | 52 |
| Profitability | 40 | 32 | 50 |
| Financial health | 26 | 43 | 55 |
| Dividends | 77 | 60 | 49 |
Sector leaders: highest X-Ray Score in Energy
WMB ranks #18 of 20 in Energy and #4 of 4 in Oil & Gas Storage & Transportation by X-Ray Score. A higher score is stronger on our five pillars; it is a ranking of facts, not a forecast.
Green means better than the peer median, red worse (only where a higher or lower figure is clearly better). A dash means too few companies report the figure. P/E, EV/EBITDA and price changes are not graded: a different level is not good or bad by itself.
Factor ratings for WMB
Each factor is rated by where WMB stands among the 20 Energy stocks in our universe.
Rating against the sector
Goodthe top third of these stocks
Averagethe middle third of these stocks
Badthe bottom third of these stocks
"Beats" is the share of those stocks it is ahead of.
Against its own history
The last columns set today's figure against the company's own median of its last five financial years:
▲ Betterbetter than its usual level
▼ Worseworse than its usual level
≈ In linewithin its usual range
For valuation factors Good means cheaper than most of the sector and Better means cheaper than usual for this company, which is not the same as a bargain.
In total: 6 Good · 3 Average · 12 Bad of 21
Growth: 2 · 1 · 0
Profitability: 3 · 0 · 1
Financial strength: 1 · 0 · 3
Valuation: 0 · 0 · 5
Cash flow: 0 · 1 · 3
Efficiency: 0 · 1 · 0
| Factor | WMB | Rating | Sector median | Own 5-year median | Against own history |
|---|---|---|---|---|---|
| Growth | |||||
| Revenue growth, 3 years a year | −5.7% | Average beats 50% | −5.7% | – | – |
| Revenue growth, last year | +17.9% | Good beats 76% | +3.9% | +17.9% | ≈ In line |
| EPS growth, 3 years a year | +8.6% | Good beats 87% | −22.6% | – | – |
| Profitability | |||||
| Operating margin | 30.2% | Good beats 81% | 23.0% | 26.4% | ▲ Better |
| Net margin | 19.9% | Good beats 71% | 13.5% | 17.6% | ▲ Better |
| Return on invested capital | 8.1% | Bad beats 24% | 12.3% | – | – |
| Return on equity | 23.3% | Good beats 73% | 15.2% | 17.9% | ▲ Better |
| Financial strength | |||||
| Net debt / EBITDA | 4.4x | Bad beats 3% | 1.1x | 4.5x | ≈ In line |
| Interest cover | 3.1x | Bad beats 3% | 22.5x | 2.6x | ≈ In line |
| Current ratio | 0.48 | Bad beats 13% | 1.19 | 0.77 | ▼ Worse |
| Piotroski F-score | 7 / 9 | Good beats 78% | 6 / 9 | – | – |
| Valuation | |||||
| P/E ratio | 28.2x | Bad beats 13% | 17.4x | 20.9x | ▼ Worse |
| Price / book | 6.6x | Bad beats 18% | 2.6x | 3.5x | ▼ Worse |
| Price / sales | 5.6x | Bad beats 8% | 2.3x | 3.6x | ▼ Worse |
| EV / EBITDA | 17.1x | Bad beats 8% | 9.4x | 12.5x | ▼ Worse |
| Free cash flow yield | -0.1% | Bad beats 4% | 6.2% | 6.6% | ▼ Worse |
| Cash flow | |||||
| Free cash flow margin | -0.7% | Bad beats 3% | 13.2% | 19.0% | ▼ Worse |
| Cash from operations / net income | 1.95 | Average beats 53% | 1.95 | 2.25 | ▼ Worse |
| Free cash flow growth, 3 years a year | −27.5% | Bad beats 19% | −17.7% | – | – |
| Accruals (lower is better) | −4.8% | Bad beats 33% | −6.6% | – | – |
| Efficiency | |||||
| Days sales outstanding | 47 days | Average beats 44% | 43 days | 54 days | ▲ Better |
These ratings compare companies with each other and describe the past; they are not a forecast, a recommendation or part of the X-Ray Score. A factor is left out when its data is missing or meaningless (for example a P/E on negative earnings). A dash in the history columns means fewer than three usable years.
Fundamentals checklist
● 4 Good · ● 1 Average · ● 10 BadCash quality
Earnings backed by cashBad
Free-cash-flow yieldBad
Risk models
Altman Z''Bad
Piotroski F-ScoreGood
Growth
EPS growth (3y)Good
Free-cash-flow growth (3y)Bad
Revenue growth (3y)Average
Growth consistencyGood
Balance sheet
Current ratioBad
Net debt / EBITDABad
Interest coverBad
Valuation
Fair value vs priceBad
EBIT / EV yieldBad
Profitability
Return on invested capitalBad
Operating marginGood
Each check is graded against the company's sector, not a fixed number. Checklist score 33/100.
Financials
| FY21 | FY22 | FY23 | FY24 | FY25 | |
|---|---|---|---|---|---|
| Revenue | $12.8B | $17.8B | $12.0B | $12.6B | $14.9B |
| Operating income | $2.6B | $3.0B | $4.3B | $3.3B | $4.2B |
| Net income | $1.5B | $2.0B | $3.2B | $2.2B | $2.6B |
| Operating cash flow | $3.9B | $4.9B | $5.9B | $5.0B | $5.9B |
| Operating margin | 20.6% | 17.0% | 35.9% | 26.4% | 28.2% |
| Free cash flow | $2.7B | $2.6B | $3.4B | $2.4B | $1.0B |
| Diluted EPS | $1.24 | $1.67 | $2.60 | $1.82 | $2.14 |
Fiscal years, from SEC filings.
Technical summary
Daily
Strongly bearish
1 bullish · 4 neutral · 11 bearish
Weekly
Neutral
6 bullish · 1 neutral · 5 bearish
Monthly
Strongly bullish
6 bullish · 1 neutral · 1 bearish
Moving averages (daily)
| SMA 10 | 71.88 | Bearish |
| EMA 10 | 71.38 | Bearish |
| SMA 20 | 71.02 | Bearish |
| EMA 20 | 71.44 | Bearish |
| SMA 50 | 71.99 | Bearish |
| EMA 50 | 71.74 | Bearish |
| SMA 100 | 72.25 | Bearish |
| EMA 100 | 71.70 | Bearish |
| SMA 200 | 71.20 | Bearish |
| EMA 200 | 69.77 | Bullish |
Oscillators (daily)
| RSI (14) | 47.27 | Neutral |
| MACD (12, 26) | -0.09 | Bearish |
| Momentum (12) | -2.43 | Bearish |
| Stochastic %K (14) | 34.63 | Neutral |
| Williams %R (14) | -65.37 | Neutral |
| CCI (20) | -4.38 | Neutral |
Pivot points (classic, last session)
S3 64.70 | S2 66.83 | S1 68.73 | Pivot 70.86 | R1 72.76 | R2 74.89 | R3 76.79 |
Signals describe what the chart is doing, not what to do. Moving averages: price above the average is bullish. Oscillators use the usual thresholds (RSI 30/70, Stochastic 20/80, CCI ±100, Williams %R −80/−20; MACD and momentum above zero are bullish). Weekly and monthly views use closing prices only.
Dividends
Paid, last 12 months
2.08 USD
Yield on today's price
2.94%
Frequency
Quarterly
Next ex-dividend date
Not announced
| Ex-dividend date | Amount per share |
|---|---|
| 0.5250 | |
| 0.5250 | |
| 0.5250 | |
| 0.5000 | |
| 0.5000 | |
| 0.5000 | |
| 0.5000 | |
| 0.4750 | |
| 0.4750 | |
| 0.4750 | |
| 0.4750 | |
| 0.4480 |
Ex-dividend dates and amounts from EODHD. Shown as declared, before tax.
ETFs that hold WMB
| ETF | Share of the fund |
|---|---|
| MLPX Global X MLP & Energy Infrastructure | 8.54% |
| XLE Energy Select Sector SPDR | 5.03% |
| IYE iShares U.S. Energy | 3.83% |
| VDE Vanguard Energy | 3.63% |
| FENY Fidelity MSCI Energy Index | 3.42% |
| IGF iShares Global Infrastructure | 3.05% |
| IXC iShares Global Energy | 2.82% |
| ERX Direxion Daily Energy Bull 2X | 2.74% |
The eight funds with the largest weight in WMB among the ETFs we cover, from each fund's latest SEC Form N-PORT (quarter-end positions, so they can be months old). All ETFs.
WMB stock splits
WMB has split its stock 3 times since 1993. The latest was a 2-for-1 split on 30 Dec 1997.
Full WMB stock split history →WMB SEC filings
8-KSEC EDGAR
Entered a material agreement
8-KSEC EDGAR
Regulation FD disclosure; Other events
424B5SEC EDGAR
424B5
8-KSEC EDGAR
Other events
8-KSEC EDGAR
Director or officer change
10-QSEC EDGAR
Quarterly report
8-KSEC EDGAR
Results of operations
8-KSEC EDGAR
Regulation FD disclosure
Where the numbers come from
Statements SEC EDGAR filings (10-K, 10-Q), quarters derived from year-to-date figures.
Prices end-of-day closes, split-adjusted.
Industry inputs beta, multiples and equity risk premium from Damodaran Online (NYU Stern).
StocksXray is for education only and is not financial advice. Scores and fair values are model estimates from public filings and carry uncertainty.