ONEOK Inc. (OKE) Update - Jan 3

[dan_s]

I just posted my updated profile and forecast/valuation model for ONEOK, Inc. (NYSE: OKE) to the EPG Website. It is one of the top midstream companies in our High Yield Income Portfolio.

At OKE's closing price of $38.38/share on December 31, 2020 the annual dividend yield on this high quality midstream company is over 9.7%. You will be hard pressed to find a safer company that pays a dividend this high that also has significant upside. Based on my forecast, ONEOK should be able to increase dividends this year. My current valuation of $44.50 compares to OKE's 52-week high of $78.48. If they do get back to increasing dividends quarter-after-quarter, their 52-week high is definitely a potential target price.

It is one of my Top Picks for 2021 because it is a midstream "gasser". The U.S. gas and NGL markets are growing at a much faster pace than the oil market and ONEOK is the #1 provider of NGL midstream services in the Rockies and Mid-Continent regions.

First Call's 2021 revenue forecast is $11.4 Billion.