Williams Companies, Inc. (The) (NYSE: WMB) is one of 53 publicly-traded companies in the “Oil & Gas Transportation Services” industry, but how does it contrast to its competitors? We will compare Williams Companies, Inc. (The) to related businesses based on the strength of its dividends, risk, institutional ownership, earnings, analyst recommendations, profitability and valuation.

Dividends

Williams Companies, Inc. (The) pays an annual dividend of $1.20 per share and has a dividend yield of 3.9%. Williams Companies, Inc. (The) pays out 196.7% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future. As a group, “Oil & Gas Transportation Services” companies pay a dividend yield of 6.5% and pay out 171.6% of their earnings in the form of a dividend. Williams Companies, Inc. (The) lags its competitors as a dividend stock, given its lower dividend yield and higher payout ratio.

Earnings & Valuation

This table compares Williams Companies, Inc. (The) and its competitors top-line revenue, earnings per share and valuation.

Gross Revenue EBITDA Price/Earnings Ratio
Williams Companies, Inc. (The) $8.02 billion $3.65 billion 49.82
Williams Companies, Inc. (The) Competitors $5.63 billion $1.30 billion 37.01

Williams Companies, Inc. (The) has higher revenue and earnings than its competitors. Williams Companies, Inc. (The) is trading at a higher price-to-earnings ratio than its competitors, indicating that it is currently more expensive than other companies in its industry.

Profitability

This table compares Williams Companies, Inc. (The) and its competitors’ net margins, return on equity and return on assets.

Net Margins Return on Equity Return on Assets
Williams Companies, Inc. (The) 6.24% 3.43% 1.06%
Williams Companies, Inc. (The) Competitors 16.87% 14.36% 5.47%

Institutional & Insider Ownership

84.7% of Williams Companies, Inc. (The) shares are owned by institutional investors. Comparatively, 57.2% of shares of all “Oil & Gas Transportation Services” companies are owned by institutional investors. 0.5% of Williams Companies, Inc. (The) shares are owned by company insiders. Comparatively, 9.2% of shares of all “Oil & Gas Transportation Services” companies are owned by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a company will outperform the market over the long term.

Risk & Volatility

Williams Companies, Inc. (The) has a beta of 1.39, meaning that its stock price is 39% more volatile than the S&P 500. Comparatively, Williams Companies, Inc. (The)’s competitors have a beta of 1.39, meaning that their average stock price is 39% more volatile than the S&P 500.

Analyst Recommendations

This is a breakdown of current recommendations for Williams Companies, Inc. (The) and its competitors, as reported by MarketBeat.com.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
Williams Companies, Inc. (The) 0 3 10 1 2.86
Williams Companies, Inc. (The) Competitors 382 2066 2471 109 2.46

Williams Companies, Inc. (The) currently has a consensus target price of $33.92, indicating a potential upside of 11.60%. As a group, “Oil & Gas Transportation Services” companies have a potential upside of 19.82%. Given Williams Companies, Inc. (The)’s competitors higher probable upside, analysts plainly believe Williams Companies, Inc. (The) has less favorable growth aspects than its competitors.

About Williams Companies, Inc. (The)

The Williams Companies, Inc. is an energy infrastructure company. The Company is focused on connecting North America’s hydrocarbon resource plays to markets for natural gas, natural gas liquids (NGL), and olefins. As of December 31, 2016, its interstate gas pipelines, midstream and olefins production interests were held through its investment in Williams Partners L.P. (WPZ). The Company’s segments include Williams Partners, Williams NGL & Petchem Services and Other. The Williams Partners segment includes its consolidated master limited partnership, WPZ. The gas pipeline business includes interstate natural gas pipelines and pipeline joint project investments. The midstream business provides natural gas gathering, treating, processing and compression services. The Williams NGL & Petchem Services segment includes its Texas Belle pipeline and certain other domestic olefins pipeline assets. Other segment includes its corporate operations and Canadian construction services company.

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