Williams Q3 adjusted EPS misses estimates

Overview

• US natural gas pipeline operator's Q3 adjusted EPS missed analyst expectations

• Q3 adjusted net income slightly beat analyst expectations

Outlook

• Williams expects 2026 adj EBITDA of $8.3 bln to $8.5 bln

• Company sees 2026 growth capex between $7.3 bln and $7.9 bln

Result Drivers

• SERVICE REVENUES - Co said higher service revenues from new power generation, Momentum acquisition, projects placed in service and higher storage revenues drove results

• ASSET SALES - Co said Q3 results benefited from $83 mln gain on sale of Permian gathering system

Company press release:

Key Details

*Applies to a deviation of less than 1%; not applicable for per-share numbers.

Analyst Coverage

• The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 23 "strong buy" or "buy", 2 "hold" and 1 "sell" or "strong sell"

• The average consensus recommendation for the oil & gas transportation services peer group is "buy"

• Wall Street's median 12-month price target for The Williams Companies, Inc. is $85.00, about 14.3% above its October 30 closing price of $74.35

• The stock recently traded at 28 times the next 12-month earnings vs. a P/E of 29 three months ago

Reuters Recommended Reads

• Nov 2 - Natural gas flows to Cheniere, Freeport LNG plants fall, LSEG data shows

• Nov 2 - US LNG exports hit second-highest monthly level on record as Europe demand surges

• Nov 2 - Matador expands San Mateo midstream with Delaware basin gas deals

For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)