Williams Companies falls 6.4% as energy sector slides amid results and acquisition news

What happened

Williams Companies (WMB) fell 6.4% on November 4, 2026, as the energy sector slid and investors weighed the company’s third-quarter results and a $5.5 billion acquisition.

The stock closed at $67.86 after opening 1.5% below the previous close, and trading volume was 2.5 times its 20-day average.

The S&P 500 rose 1.6% while the energy sector median fell 4.1%, leaving the stock 2.2 percentage points worse than the sector median.

How big was the move

The one-day decline of 6.4% equated to 3.1 times a typical daily move for the stock and the shares fell 8.6% over the last five sessions. Volume was elevated at 2.5 times its 20-day average, signaling heavier trading than usual.

The session largely tracked the sector, so company news provided background but did not appear to be the sole driver.

The technical picture

The stock closed 6.0% below its 20-day moving average and 6.0% below its 50-day moving average. It was 6.5% below its 200-day moving average, and the 50-day average is below the 200-day average, a sign of a weak longer-term trend.

The Relative Strength Index (14 days) was 39, inside a neutral range between 30 and 70. The shares were 15.3% below their 52-week high and had fallen 6.3% over one month and 5.4% over three months.

Short-term volatility was unusually high, at 33% annualized over 60 days and higher than 93% of its own readings over five years, indicating elevated short-term swings. Over one year the stock rose 15.0%, 2.7 percentage points ahead of the S&P 500.

Fundamentals and valuation

For the four quarters through September 30, 2026, Williams reported revenue of $12.50 billion, up 8.9% from a year earlier, and diluted earnings per share of $2.55, which rose 30.8% year-over-year. Gross margin was 61.3%, compared with 59.9% a year earlier, and operating margin was 39.6%, versus 33.8% a year earlier.

Free-cash-flow margin was 13.5% and return on invested capital was 6.6%. The balance sheet showed net debt of 4.1 times EBITDA and the share count increased by 1.4% over one year.

On valuation, the stock traded at 26.6 times trailing earnings and 27.6 times expected earnings, with a free-cash-flow yield of 1.9%. The price to trailing earnings figure was higher than 52% of its own readings over the past five years, where the five-year median was 26.4 times earnings.

Earnings and analyst expectations

Williams last reported on November 2, 2026, posting earnings per share of $0.54 against $0.54 expected, 0.2% above estimates. That report marked one consecutive quarter beating estimates and an average surprise of 2.7% above estimates over the last four reports.

Management said the company is tracking toward the upper half of its 2026 Adjusted EBITDA range and reiterated multi-year growth targets. Analysts covering the stock numbered 34, with a consensus rating of Buy and 79% assigning a Buy or Strong Buy. The consensus price target was $87.00, which is 28.2% above the closing price on November 4.

What to watch

• February 9, 2027: next scheduled earnings report
• Completion of integration metrics and volume growth following the $5.5 billion Momentum Midstream acquisition
• Management commentary on progress toward the upper half of 2026 Adjusted EBITDA guidance
• Any updates on modular gas-fired power projects, including the Socrates project second phase
• Changes in net debt leverage relative to EBITDA as the company reports subsequent quarterly results