ONEOK, Inc. (NYSE:OKE) is a prominent player in the energy sector, primarily focusing on the gathering, processing, storage, and transportation of natural gas. The company is known for its extensive pipeline network and strategic partnerships. It competes with other major energy companies like Enbridge Inc. and MPLX LP, which are also involved in pipeline operations.
On August 26, 2025, Morgan Stanley set a price target of $110 for OKE, suggesting a potential price increase of approximately 48.95% from its current price of $73.85. This optimistic outlook is likely influenced by ONEOK's involvement in the Eiger Express Pipeline project. The pipeline, a joint venture with Enbridge, MPLX, and WhiteWater, is a significant growth opportunity for OKE.
The Eiger Express Pipeline is a 450-mile natural gas pipeline that will transport up to 2.5 billion cubic feet per day from the Permian Basin in West Texas to the Katy area near Houston. This project is expected to be completed by mid-2028 and will enhance ONEOK's operational capabilities and market reach. The pipeline will support the increasing demand from gas-fired power plants and liquefied natural gas facilities along the Gulf Coast.
The decision to proceed with the Eiger Express Pipeline follows the successful securing of firm transportation agreements with primarily investment-grade shippers. This development is part of the existing Matterhorn joint venture, which aims to transport the increasing natural gas production from the Permian Basin to the Gulf Coast region. The pipeline is designed to provide a transportation solution for the growing output from the Permian Basin.
Currently, OKE's stock is priced at $73.49, reflecting a decrease of approximately 1.27%. The stock has experienced a decline of $0.95 today, with a trading range from a low of $73.48 to a high of $74.45. Over the past year, the stock has reached a high of $118.07 and a low of $72.18. OKE has a market capitalization of approximately $46.28 billion, with a trading volume of 491,782 shares.
