WMB PE Ratio 2026

Williams Companies Inc Price to Earnings Analysis

Current P/E Ratio

33.38

Stock Price

$71.45

EPS (TTM)

$2.14

Valuation

Overvalued

PE Ratio Breakdown

Trailing P/E (TTM)

33.38

Based on last 12 months earnings

Energy Industry Avg

20.00

WMB is 67% above industry

PEG Ratio

65.71

Potentially overvalued

What Does WMB P/E Ratio Mean?

Current Valuation

At a P/E ratio of 33.38, investors are paying $33.38 for every $1 of WMB's annual earnings. This high P/E suggests investors expect strong future earnings growth or that the stock is trading at a premium.

Industry Comparison

Compared to the Energy industry average P/E of 20, WMB is trading at a premium. This could be justified by superior growth, profitability, or competitive position.

PE Ratio Calculator

How P/E ratio changes with different stock prices:

At $57.16

P/E: 26.71

20% lower

At $64.31

P/E: 30.05

10% lower

At $78.60

P/E: 36.73

10% higher

At $85.74

P/E: 40.07

20% higher

Get Complete WMB Valuation Analysis

DCF model, comparable companies, and AI-powered insights

Frequently Asked Questions

What is WMB PE ratio?

WMB (Williams Companies Inc) has a price-to-earnings (P/E) ratio of 33.38. This means investors are paying $33.38 for every $1 of WMB's annual earnings. The P/E ratio is a key valuation metric used to assess whether a stock is overvalued or undervalued relative to its earnings.

What is a good PE ratio?

A "good" P/E ratio depends on the industry and growth prospects. Generally, a P/E ratio between 15-25 is considered reasonable for mature companies. Growth stocks often trade at higher P/E ratios (30-50+) due to expected future earnings growth. Value stocks typically have lower P/E ratios (below 15). Compare WMB's P/E of 33.38 to its industry average and historical range.

Is WMB overvalued based on PE ratio?

WMB's P/E ratio of 33.38 is above the Energy industry average of approximately 20. This suggests the stock may be trading at a premium, though high P/E ratios can be justified by strong growth prospects.

What is the difference between forward and trailing PE ratio?

The trailing P/E ratio uses earnings from the past 12 months (historical data), while the forward P/E ratio uses projected earnings for the next 12 months (future estimates). WMB's trailing P/E is 33.38. Forward P/E is often more useful for growth companies as it reflects expected future performance.

How do you calculate PE ratio?

P/E ratio is calculated by dividing the stock price by earnings per share (EPS). Formula: P/E = Stock Price / EPS. For WMB, with a current price of $71.45 and EPS of $2.14, the P/E ratio is 33.39. A higher P/E means investors pay more per dollar of earnings.

What is PEG ratio and how does it relate to PE?

The PEG (Price/Earnings to Growth) ratio adjusts the P/E ratio for earnings growth. It's calculated as P/E / Earnings Growth Rate. WMB's PEG ratio is approximately 65.71. A PEG below 1.0 suggests the stock may be undervalued relative to its growth rate, while above 2.0 may indicate overvaluation.

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