UBS increased its price target for Williams Companies (NYSE:WMB) to $89 from $78 and maintained a Buy rating, citing the midstream operator’s exposure to natural gas demand from power generation and data center projects. The new target sits well above Williams’ most recent share price of $71.97 and follows a period in which the stock has climbed 31.24% over the last year.
In updating the view, UBS named Williams as one of the stronger midstream companies set to benefit from rising power-related gas demand through its Power Innovation business. The firm noted Williams’ sizable market capitalization of $87.84 billion as context for its standing in the energy infrastructure sector.
At a recent analyst event, Williams disclosed that its power generation backlog has increased to roughly $7.3 billion. Management expects that backlog to underpin approximately $1.4 billion of annual EBITDA by 2029. The company also said it has about 1.9 gigawatts of power opportunities in execution by 2028, and that its broader backlog covers around 6 gigawatts spanning 2027 to 2031.
The UBS note carrying the revised target was issued by analyst Manav Gupta on Monday. UBS also reiterated its Buy rating while pointing to progress on the Northeast Supply Enhancement project, which the firm said is moving through regulatory hurdles.
Williams’ recent developments have prompted other brokerages to revisit their views. Wells Fargo raised its price target to $80, attributing the move in part to a strong Analyst Day presentation and projecting an EBITDA growth rate above 10% between 2025 and 2030. Mizuho lifted its target to $73 ahead of Williams’ upcoming fourth-quarter earnings report and Analyst Day.
Goldman Sachs also nudged its target higher to $64, expressing expectations that Williams will report fourth-quarter 2025 EBITDA of $2,046 million, a figure the firm described as slightly above consensus.
On the corporate returns front, Williams announced a 5% increase to its quarterly dividend, raising it to $0.525 per share. That dividend is scheduled to be paid on March 30, 2026, a move the company characterized as a continued commitment to returning value to shareholders.
Taken together, the analyst updates, backlog disclosures and the dividend increase sketch a picture of a company positioning to capture a portion of power and data center-related gas demand while navigating regulatory and execution milestones. Market participants will be watching the company’s upcoming fourth-quarter earnings report and the progress of the Northeast Supply Enhancement project for further signals on execution and regulatory timing.