Cambiar Investors LLC has decreased its stake in Williams Companies, Inc. (NYSE: WMB) by 16.9% during the second quarter of this year, as detailed in its latest filing with the Securities and Exchange Commission (SEC). The investment firm now holds 9,503 shares of the pipeline company’s stock, following the sale of 1,927 shares in the period. As of the latest SEC filing, Cambiar’s investment in Williams Companies is valued at approximately $597,000.
Several other institutional investors have adjusted their holdings in Williams Companies recently. Welch & Forbes LLC increased its position by 4.2%, now owning 7,509 shares worth $472,000 after acquiring an additional 300 shares. Similarly, Sumitomo Life Insurance Co. raised its stake by 4.1%, bringing its total to 71,020 shares valued at $4,461,000 after purchasing 2,793 shares in the last quarter. Other notable investors, including Great Lakes Retirement Inc. and Linscomb Wealth Inc., also reported increases in their holdings.
Insider activity at Williams Companies includes recent sales by key executives. On August 11, COO Larry C. Larsen sold 4,500 shares at an average price of $58.47, netting a total of $263,115. This sale reduced his holdings to 77,612 shares, valued at approximately $4,537,973.64. Additionally, SVP Terrance Lane Wilson sold 2,000 shares on September 4, 2023, at an average price of $57.62, resulting in a total transaction of $115,240. Following this transaction, Wilson owns 311,645 shares, valued at about $17,956,984.90. Currently, insiders hold 0.44% of the company’s stock.
Financial Performance and Future Outlook
Williams Companies reported its quarterly earnings on August 4, 2023, revealing earnings per share (EPS) of $0.46, which fell short of analysts’ expectations of $0.49. The company achieved a net margin of 21.63% and a return on equity of 16.23%. Revenue totaled $2.78 billion, below the expected $2.90 billion. Despite this, Williams Companies experienced a 19.0% increase in revenue compared to the same quarter last year, when it reported an EPS of $0.43. The company has projected its fiscal year 2025 guidance at $2.010-$2.190 EPS.
In a recent announcement, Williams Companies declared a quarterly dividend of $0.50, payable on December 29, 2023, to investors on record as of December 12, 2023. This dividend represents an annualized payout of $2.00, translating to a yield of 3.4%. The dividend payout ratio currently stands at 100.50%.
Analyst Ratings and Market Sentiment
Market analysts have issued various ratings on Williams Companies. BMO Capital Markets initiated coverage with an “outperform” rating and a target price of $66.00. Jefferies Financial Group also began coverage, setting a “buy” rating and a target price of $72.00. In addition, UBS Group increased their target from $74.00 to $78.00, maintaining a “buy” rating.
As it stands, the consensus among analysts is moderately positive, with two analysts rating the stock as a Strong Buy, eleven as Buy, five as Hold, and one as Sell. According to data from MarketBeat, the consensus price target for Williams Companies is currently $66.73.
Williams Companies operates primarily in the energy infrastructure sector within the United States, with segments dedicated to natural gas pipelines, gathering, processing, and crude oil handling. The company remains a significant player in the energy market, balancing institutional investments and insider activities amidst fluctuating market conditions.
