Williams Companies Inc logo

Williams Companies Inc(WMB)

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ADVISORIES YOU CAN VERIFY
QUALITY SIGNAL
3-STAR RATING
PASS
LAST CLOSE
$71.63
09/15/2026
(24-hour delay)

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Upturn Advisory & Investor View for WMB

09/15/2026: WMB (3-star) is currently NOT-A-BUY. Pass it for now.

Williams Companies Inc is a major U.S. midstream energy firm that owns and operates an extensive natural gas transmission and gathering network. The company is known for its stable, fee-based business model that connects critical supply basins to high-demand power and industrial markets. Its primary growth story revolves around supporting the rising energy needs of the American grid and the expanding LNG export market. Key risks include regulatory challenges, capital-intensive infrastructure demands, and long-term energy transition pressures. Williams may suit dividend-focused and value-oriented investors looking for stability in the energy infrastructure space, though they should continue to monitor regulatory developments and the company’s ability to execute on capital projects.

How to Read the Upturn Advisory

The Upturn Star Rating and the current BUY, SELL, or PASS advisory are generated by Upturn’s AI advisory engine based on proprietary signal analysis, price behavior, advisory history, and historical signal performance.

Company fundamentals, valuation, risks, and news provide supporting context about the business.

Investor Fit

Investor styleFitWhy
Growth investorMixed fitWhile the company has growth projects, it is primarily valued for stability rather than aggressive capital appreciation.
Momentum investorMixed fitMomentum suitability is conditional on broader energy sector strength and positive price action in the stock.
Value investorStrong fitWilliams is often viewed as a value play due to its stable cash flows and established infrastructure assets.
Dividend investorStrong fitThe company is a favored choice for income-focused investors due to its consistent dividend history and payout policy.
Low-risk investorStrong fit while signal remains positiveThe regulated nature of much of its business provides lower volatility compared to pure-play commodity producers.

Risk Profile

Risk factorLevelWhy it matters
Price volatilityMediumWhile fee-based, the stock price remains sensitive to broader energy market sentiment.
Valuation riskMediumInvestors must weigh the current share price against the steady but limited growth rate of midstream assets.
Competition risk (Infrastructure & Capacity)MediumCapacity expansion by competitors could pressure future rates and utilization.
Business qualityStrongThe company owns critical, difficult-to-replicate infrastructure essential for the energy supply chain.
Dividend incomeStrongDividend payouts are supported by predictable, contract-based cash flows.
Execution riskMediumSuccess depends on the ability to manage complex construction projects and secure regulatory permits.

Price Behavior

Strong Uptrend
PRICE PATH

Strong Uptrend

The stock has maintained a strong upward price trend across the last three quarters.

Smooth
PRICE STABILITY

Smooth

The stock has moved along a generally orderly path with only modest fluctuations.

Analysis of Past Performance

Type Stock
Historic Profit 31.79%
Avg. Invested days 57
Today’s Advisory PASS
Upturn Advisory Rating upturn star rating icon
Upturn Advisory Performance Upturn Advisory Performance icon 2.0
Stock Returns Performance Upturn Returns Performance icon 3.0
Upturn Profits based on simulation icon Profits based on simulation
Upturn last close icon Last Close 09/15/2026

Upturn Scorecard

Upturn Star Rating

WMB receives a 4-star rating, supported by solid company fundamentals, solid quantitative characteristics, and solid analyst coverage. The rating is constrained by weak price momentum.

Company Fundamentals

WMB has solid overall fundamentals (4 stars), with solid financial health, moderate growth momentum, and solid ownership. In FY2025 versus FY2024, solid earnings growth (+17.7%) and solid cash generation (FCF margin 8.4%) are partially offset by very low insider ownership of 0.45%.

Financial Health Rating

WMB's financial health is supported by strong cash strength, including free-cash-flow generation of $1.0B (8.4% of revenue). Liquidity is soft (2 stars), which helps explain the 4-star overall score.

Growth Momentum Score

Earnings growth is WMB's strongest growth driver at +17.7% FY2025 versus FY2024 (solid, 4 stars). By comparison, revenue growth (+13.8%, solid) is also solid, while free-cash-flow growth (-58.1%, negative) holds the profile back, so recent growth is not broad-based across the business.

Ownership

Institutional ownership is 91.5% and approximately 99.4% of outstanding shares are publicly tradable, supporting liquidity and institutional participation. Insider ownership is only 0.45%, which materially reduces the ownership score.

Top 5 Institutional Investors

BlackRock Inc 9.15%
Vanguard Capital Management, LLC 6.49%
State Street Corp 5.97%
Bank of America Corp 3.63%
Vanguard Portfolio Management, LLC 3.54%

Unit Economics (Per $1K Revenue)

WMB generates approximately $429 of gross profit, $368 of operating income, and $84 of free cash flow for every $1,000 of revenue. Based on FY2025 results. Strong cash conversion and healthy margins support the rating, although capital efficiency remains below the highest tier.

Economic Dimensions

Effective Tax Rate: 23.64%

Quantitative Style Profile

WMB has a high-quality, large-cap, liquid, relatively low-volatility profile. Weak momentum is the primary drawback, while valuation that is moderately attractive rather than deeply discounted.

Style Classification

Quality Focused

Quality TiltLow VolatilityLarge / Mega Cap StabilityHighly Liquid / Institution-Friendly

Key Highlights

Company Size Large-Cap Stock
Market Capitalization 87.62B USD
Price to earnings Ratio 28.65
1Y Target Price 85.38
Price to earnings Ratio 28.65
1Y Target Price 85.38
Volume (30-day avg) 7.2M shares
Beta 0.62
52 Weeks Range 54.53 - 78.92
Updated Date 09/16/2026
52 Weeks Range 54.53 - 78.92
Updated Date 09/16/2026
Dividends yield (FY) 2.85%
Basic EPS (TTM) 2.5

How Company Makes Money

Business areaWhat it includesRetail investor read
Gas Transmission & StorageTransporting natural gas across interstate pipelines for a fee.This is a reliable, utility-like income generator.
Gathering & ProcessingCollecting gas from wellheads and processing it into usable products.This segment is tied to the volume of gas produced in key basins.

Analyzing Revenue: Products, Geography and Growth

Revenue by Products

Product revenue - Year on Year

Revenue by Geography

Geography revenue - Year on Year

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Valuation

Trailing PE 28.65
Forward PE 26.74
Enterprise Value 118.63B
Price to Sales(TTM) 7.11
Enterprise Value 118.63B
Price to Sales(TTM) 7.11
Enterprise Value to Revenue 9.72
Enterprise Value to EBITDA 14.72
Shares Outstanding 1.22B
Shares Floating 1.22B
Shares Outstanding 1.22B
Shares Floating 1.22B
Percent Insiders 0.45
Percent Institutions 91.46

Icon representing Upturn AI-generated SWOT analysis summary Upturn AI Summary

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Financial Metrics

🧭 Investment Snapshot

Total Revenue (Scale)

Information icon Total money earned from selling products or services before any costs. It is needed to understand the scale of the business and its ability to generate income.

Net Income (Profit)

Information icon Final profit after all expenses, interest, and taxes are deducted. It is needed to determine the overall profitability available to shareholders.

Free Cash Flow (Cash Strength)

Information icon Cash remaining after operating activities and capital expenditures, showing cash available for growth. It is needed to evaluate the company’s ability to invest, pay dividends, or reduce debt.

📈 Growth & Strength

Operating Income (Core Profit)

Information icon Profit from core operations after deducting all operating expenses. It is needed to measure how efficiently the company runs its primary business activities.

EBITDA (Cash Earnings)

Information icon Earnings before interest, taxes, depreciation, and amortization, indicating operating cash potential. It is needed to compare operating performance across companies without accounting or financing differences.

Gross Profit (Unit Profitability)

Information icon Revenue minus cost of revenue, showing profit after direct production costs. It is needed to evaluate core business profitability before overhead expenses.

🛡️ Financial Safety

Cash (Liquidity Buffer)

Information icon Total cash and cash equivalents on hand. It is needed to evaluate immediate liquidity and financial flexibility.

Total Debt (Leverage Risk)

Information icon Total debt including both short-term and long-term components. It is needed to assess the company’s leverage and financial risk.

Net Working Capital (Short-Term Health)

Information icon Current assets minus current liabilities, indicating short-term liquidity strength. It is needed to assess whether the company can meet its short-term obligations.

🧱 Balance Sheet Strength

Stockholder Equity (Net Worth)

Information icon Total equity value held by shareholders. It is needed to understand the net worth of the company from the owners’ perspective.

Total Assets (Asset Base)

Information icon The full value of everything the company owns, including cash, inventory, equipment, and investments. It is needed to understand the resource base used to generate revenue.

Income Before Tax (Pre-Tax Earnings)

Information icon Income before provision for income taxes. It is needed to analyze profitability independent of tax structures.

⚙️ Cost & Drag Factors

Cost of Revenue (Production Cost)

Information icon Direct costs required to produce and deliver the products or services sold. It is needed to assess efficiency in production and service delivery.

Total Operating Expenses (Operating Cost)

Information icon Indirect costs of running the business such as salaries, marketing, and administration. It is needed to understand how much it costs to sustain ongoing business operations.

Income Tax Expense (Tax Drag)

Information icon Amount of taxes paid or payable to the government. It is needed to evaluate the impact of taxation on overall profitability.

About Williams Companies Inc

Exchange NYSE
Headquarters Tulsa, OK, United States
IPO Launch date 1981-12-31
CEO, President & Director Mr. Chad J. Zamarin
Sector Energy
Industry Oil & Gas Midstream
Full time employees 5987
Full time employees 5987

The Williams Companies, Inc., together with its subsidiaries, operates as an energy infrastructure company primarily in the United States. It operates through Transmission, Power & Gulf, Northeast G&P, West, and Gas & NGL Marketing Services segments. The Transmission, Power & Gulf segment comprises Transco, NWP, and Mountain West interstate natural gas pipelines, and their related natural gas storage facilities, as well as natural gas gathering and processing; and crude oil production handling and transportation assets in the Gulf Coast region. The Northeast G&P segment engages in the midstream gathering, processing, and fractionation activities in the Marcellus Shale region primarily in Pennsylvania and New York, and the Utica Shale region of eastern Ohio. The West segment consists of gas gathering, processing, and treating operations in the Rocky Mountain region of Colorado and Wyoming, the Barnett Shale region of north-central Texas, the Eagle Ford Shale region of South Texas, the Haynesville Shale region of northwest Louisiana, the Mid-Continent region that includes the Anadarko and Permian basins, and the DJ Basin of Colorado; and operates natural gas liquid (NGL) fractionation and storage assets in central Kansas near Conway. The Gas & NGL Marketing Services segment provides wholesale marketing, trading, storage, and transportation of natural gas for natural gas utilities, municipalities, power generators, and producers; asset management services; and transports and markets NGLs. The company owns and operates approximately 32,000 miles of pipelines. The Williams Companies, Inc. was founded in 1908 and is headquartered in Tulsa, Oklahoma.