ONEOK vs Targa Resources
US natural gas infrastructure company with pipeline network vs Natural gas infrastructure company for US energy sector. Which is the better buy for your portfolio in July 2026? Plain-English answer below.
ONEOK made a transformative bet by acquiring Magellan Midstream, creating one of the largest and most diversified midstream networks in North America spanning natural gas liquids, crude oil, and refined products pipelines, while Targa Resources runs a growing NGL gathering and processing franchise in the Permian Basin that's been a prime beneficiary of the relentless drilling activity in the most prolific oil basin in the world. Both companies generate fee-based cash flows that support growing dividends, and both have benefited from the structural underinvestment in midstream infrastructure following the 2020 collapse. ONEOK vs Targa Resources determines which midstream platform has the better organic growth backlog and which offers more distribution coverage comfort heading into the next capex cycle.
ONEOK made a transformative bet by acquiring Magellan Midstream, creating one of the largest and most diversified midstream networks in North America spanning natural gas liquids, crude oil, and refin...
Why It’s Moving
Analysts lock in a Buy consensus for OKE as 2026 price targets suggest modest upside amid steady energy sector demand
- The consensus among covering analysts remains firmly positive, with a majority recommending Buy or Strong Buy ratings while holding to a median price target near $95, signaling sustained confidence in the midstream energy sector.
- Price target ranges span from approximately $72 to $113, highlighting divergent views on future growth potential while the average expectation points to a modest upside from current trading levels.
- In the absence of major macroeconomic shifts or new earnings releases in the last seven days, investor sentiment is driven by the broader trend of energy sector resilience and the company's consistent dividend history.
Analysts slash TRGP price targets, warning of a looming 13% plunge amid energy sector volatility
- Multiple analysts downgraded TRGP, highlighting a 13% potential decline driven by weak demand signals and elevated operational costs.
- Energy sector volatility has intensified, with broader macro events squeezing margins for midstream companies like Targa Resources.
- Recent earnings reports revealed revenue shortfalls relative to expectations, signaling weaker-than-anticipated growth in the natural gas segment.
Analysts lock in a Buy consensus for OKE as 2026 price targets suggest modest upside amid steady energy sector demand
- The consensus among covering analysts remains firmly positive, with a majority recommending Buy or Strong Buy ratings while holding to a median price target near $95, signaling sustained confidence in the midstream energy sector.
- Price target ranges span from approximately $72 to $113, highlighting divergent views on future growth potential while the average expectation points to a modest upside from current trading levels.
- In the absence of major macroeconomic shifts or new earnings releases in the last seven days, investor sentiment is driven by the broader trend of energy sector resilience and the company's consistent dividend history.
Analysts slash TRGP price targets, warning of a looming 13% plunge amid energy sector volatility
- Multiple analysts downgraded TRGP, highlighting a 13% potential decline driven by weak demand signals and elevated operational costs.
- Energy sector volatility has intensified, with broader macro events squeezing margins for midstream companies like Targa Resources.
- Recent earnings reports revealed revenue shortfalls relative to expectations, signaling weaker-than-anticipated growth in the natural gas segment.
Investment Analysis
ONEOK
OKE
Pros
- ONEOK is considered undervalued by analysts with a discounted cash flow suggesting a 52.4% upside.
- The company demonstrated strong Q3 2025 earnings with increased EBITDA driven by acquisitions and volume growth in key regions.
- ONEOK has a robust dividend yield of about 6.0%, showing commitment to returning capital to shareholders.
Considerations
- ONEOK's stock price has experienced significant declines recently, down about 36.8% year-to-date, reflecting market challenges.
- The company has a relatively high debt-to-equity ratio and a low quick ratio (0.46), indicating potential liquidity concerns.
- Regulatory changes and shifting energy demand trends pose execution and operational risks to its midstream pipeline business.
Targa Resources
TRGP
Pros
- Targa Resources operates a diversified midstream energy portfolio, supporting resilience across market cycles.
- The company has a lower valuation multiple with a P/E ratio expected to decline from 17.8x in 2025 to 15.3x in 2026, potentially signaling value.
- Targa Resources maintains a stable free-float at 89% and offers a growing dividend yield forecasted to rise to 3.28% next year.
Considerations
- Targa Resources’ stock exhibits higher volatility compared to ONEOK, implying greater price fluctuations and investment risk.
- The company’s stock price has declined about 17.58% year-to-date, reflecting some market and operational headwinds.
- Targa faces commodity price sensitivity and execution risks tied to midstream infrastructure investments and regulatory environment.
ONEOK (OKE) Next Earnings Date
ONEOK (OKE) is estimated to release its next earnings report covering Q2 2026 between August 3, 2026 and August 7, 2026, though the company has not yet confirmed an official date. This historical timeframe aligns with the company's typical reporting schedule for the second quarter. While analyst consensus and price targets vary, I cannot provide financial advice or specific recommendations regarding buy, sell, or hold decisions. Investors should monitor the company's official announcements for the precise conference call date and time.
Targa Resources (TRGP) Next Earnings Date
Targa Resources (TRGP) is expected to release its next earnings report for the second quarter (Q2) of 2026 on August 6, 2026. This date aligns with the company's historical reporting pattern, although the firm has not yet officially confirmed the exact publication timeline. Investors should anticipate the announcement to occur before the market opens, reflecting the standard schedule for midstream energy companies. Please note that this projected date is an estimate based on past schedules and may be subject to revision upon official confirmation.
ONEOK (OKE) Next Earnings Date
ONEOK (OKE) is estimated to release its next earnings report covering Q2 2026 between August 3, 2026 and August 7, 2026, though the company has not yet confirmed an official date. This historical timeframe aligns with the company's typical reporting schedule for the second quarter. While analyst consensus and price targets vary, I cannot provide financial advice or specific recommendations regarding buy, sell, or hold decisions. Investors should monitor the company's official announcements for the precise conference call date and time.
Targa Resources (TRGP) Next Earnings Date
Targa Resources (TRGP) is expected to release its next earnings report for the second quarter (Q2) of 2026 on August 6, 2026. This date aligns with the company's historical reporting pattern, although the firm has not yet officially confirmed the exact publication timeline. Investors should anticipate the announcement to occur before the market opens, reflecting the standard schedule for midstream energy companies. Please note that this projected date is an estimate based on past schedules and may be subject to revision upon official confirmation.
Buy OKE or TRGP in Nemo
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