ONEOK, Inc. (OKE), a Tulsa, Oklahoma-based midstream energy company, has climbed sharply from its 52-week low of roughly $64 to trade near $96, within striking distance of its 52-week high around $98. The next widely discussed milestone is $120 — a clean psychological figure that also sits just above the company's all-time high of about $118 reached in late 2024. For many investors, the question of whether OKE can reclaim and surpass that prior peak is the central debate around the stock.
ONEOK owns and operates an integrated network of natural gas and natural gas liquids (NGLs) infrastructure, including gathering and processing systems, fractionation facilities, pipelines, and storage terminals. Its operations are anchored in major shale basins such as the Permian, Williston (Bakken), and Mid-Continent. Because the vast majority of its revenue is tied to fee-based contracts rather than direct commodity prices, ONEOK's cash flows tend to be more stable than those of exploration and production companies.
ONEOK carries a market capitalization of roughly $60 billion and a price-to-earnings (P/E) ratio in the mid-teens, with a dividend yield around 4.5%. The company reported second-quarter earnings of $1.53 per share, beating Wall Street's estimate of about $1.49, and raised its full-year guidance for the second time, lifting its adjusted EBITDA (earnings before interest, taxes, depreciation, and amortization) midpoint to approximately $8.35 billion. Reaching $120 from current levels would represent roughly a 25% advance — meaningful, but not unprecedented for a stock that has already gained about 48% off its 52-week low.
The most significant catalyst is ONEOK's agreement to acquire Brazos Midstream's Midland Basin gathering and processing assets in the Permian for $4.425 billion in cash. The deal is expected to more than double ONEOK's Midland Basin processing capacity and add roughly $80 million in annual synergies. To help fund the transaction, Apollo-managed funds will make a $9 billion non-voting minority equity investment, with a portion earmarked to reduce debt and target leverage of about 3.25 times debt-to-EBITDA.
Supporting the broader outlook is rising demand for U.S. natural gas and NGL infrastructure, driven in part by growing electricity needs, LNG (liquefied natural gas) export capacity, and petrochemical feedstock demand. ONEOK's fee-based model and 22-year streak of dividend increases also give income-oriented investors a reason to hold the stock through volatility.
Several obstacles stand between ONEOK and $120. First, the Brazos acquisition and Apollo financing substantially reshape the company's capital structure, adding integration, governance, and execution risk. The non-voting minority stake also means a portion of future cash flow will be attributable to Apollo's interest, which some analysts note could dilute free cash flow per share in the near term. Second, higher leverage limits financial flexibility at a time when management is balancing growth spending against dividend increases and share repurchases. Finally, any sustained decline in NGL or natural gas volumes across the Permian and Bakken basins would pressure the fee-based revenue that underpins the stock.
Wall Street's outlook is constructive but cautious. The consensus rating is generally "Buy" or "Moderate Buy," with an average 12-month price target near $97 and a high end around $111 to $113. Recent actions include JPMorgan raising its target to $106, UBS at $108, and Morgan Stanley at $105, while Goldman Sachs sits at the low end near $89. The takeaway is clear: $120 sits above nearly every published analyst target, meaning the stock would need to deliver earnings growth and valuation expansion beyond what the Street currently models to reach that level.
From a technical analysis standpoint, the stock's 52-week high near $98 is the immediate resistance level that must be cleared first. Beyond that, the prior all-time high around $118 represents the final supply zone before the $120 target. On the downside, the $88–$91 zone — which has served as an area of prior support — is a key level to watch, with the 52-week low near $64 acting as a longer-term floor. A sustained move above the 52-week high on strong conviction would be an important first signal that the path toward $120 is opening.
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ONEOK reaching $120 is ambitious but not implausible. The company has credible growth drivers in the Permian acquisition, supportive demand for gas and NGL infrastructure, and a resilient fee-based business model. However, the target requires the stock to climb roughly 25% from current levels and surpass its prior all-time high — outcomes that exceed the current analyst consensus and depend on successful deal integration, disciplined deleveraging, and sustained volume growth. Investors should monitor progress on the Brazos acquisition, the company's leverage trajectory, and whether the stock can first hold above its 52-week high near $98 before $120 becomes a realistic near-term objective.
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A.I.dvisor indicates that over the last year, OKE has been closely correlated with TRGP. These tickers have moved in lockstep 73% of the time. This A.I.-generated data suggests there is a high statistical probability that if OKE jumps, then TRGP could also see price increases.
| Ticker / NAME | Correlation To OKE | 1D Price Change % | ||
|---|---|---|---|---|
| OKE | 100% | -2.13% | ||
| TRGP - OKE | 73% Closely correlated | -0.32% | ||
| KMI - OKE | 70% Closely correlated | -0.13% | ||
| ET - OKE | 61% Loosely correlated | -1.03% | ||
| PAGP - OKE | 61% Loosely correlated | -0.57% | ||
| PBA - OKE | 61% Loosely correlated | -0.36% | ||
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