ONE Gas Inc. Common Stock (OGS)

FairStock Score: 51/100 — MIXED

Key Financials

Strengths

• Attractive 3.1% dividend yield providing steady income returns

Concerns

• Altman Z-Score of 0.8 places it in the financial distress zone—elevated bankruptcy risk

AI Analysis

ONE Gas Inc. Common Stock is a small-cap utilities company valued at $5.5 billion. The business generates $2.4 billion in annual revenue with a 3.6% net margin. From a quality standpoint, ONE shows solid Piotroski F-Score of 6/9 and distressed Altman Z-Score of 0.8 warrants caution. On valuation, the stock is reasonably priced at 20.3x earnings, with trades above its Graham Number with a negative 20% margin. Growth dynamics show revenue growing at 9.3% and profit growth of 12.1%. The 3.1% dividend yield adds an income component for patient holders. Our composite FairStock Score of 51/100 reflects mixed fundamentals overall. Investors should weigh the business quality against the current price and their own margin of safety requirements.

Bull Case

Improving fundamentals and sector tailwinds could drive meaningful earnings growth, compressing the effective multiple for patient investors. Operational leverage in the business model means incremental revenue growth could disproportionately boost bottom-line profitability.

Bear Case

Macro headwinds or sector-specific disruption could pressure margins, particularly if competitive intensity increases in the utilities space. Regulatory changes, input cost inflation, or demand normalization represent underappreciated risks that could materially impact forward estimates.

Data from SEC filings. AI analysis is for educational purposes only — not investment advice. Scoring methodology · Disclaimer