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Kinder Morgan (KMI) Rises But Trails Market: What Investors Should Know
ZACKS· 2025-01-18 00:05
Stock Performance - Kinder Morgan (KMI) closed at $30 31 with a +0 83% daily movement, underperforming the S&P 500 (+1%), Dow (+0 78%), and Nasdaq (+1 51%) [1] - Over the past month, KMI shares gained 14 56%, outperforming the Oils-Energy sector (-3 79%) and the S&P 500 (-2 14%) [1] Earnings and Revenue Projections - KMI is set to report earnings on January 22, 2025, with projected earnings of $0 33 per share, representing a 17 86% year-over-year growth [2] - Revenue is expected to reach $4 09 billion, up 1 28% from the previous year [2] Analyst Forecasts and Revisions - Positive revisions to analyst forecasts indicate optimism about KMI's business outlook [3] - The Zacks Consensus EPS estimate for KMI has increased by 1 97% over the past month [5] Valuation Metrics - KMI's Forward P/E ratio is 24 48, higher than the industry average of 15 03 [6] - KMI's PEG ratio is 4 16, compared to the industry average of 3 23 [7] Industry Overview - The Oil and Gas - Production and Pipelines industry is part of the Oils-Energy sector and has a Zacks Industry Rank of 157, placing it in the bottom 38% of all industries [8] - Industries in the top 50% of the Zacks Industry Rank outperform the bottom half by a factor of 2 to 1 [8]
Flyscan Systems Announces that Kinder Morgan Joins its Strategic Investor Group alongside Marathon Petroleum, Enbridge and Hatch
Prnewswire· 2025-01-14 15:12
Company Overview - Kinder Morgan Inc (KMI) is one of the largest energy infrastructure companies in North America, operating approximately 79,000 miles of pipelines, 139 terminals, and 702 billion cubic feet of working natural gas storage capacity [1] - The company has renewable natural gas generation capacity of approximately 6.1 Bcf per year with an additional 0.8 Bcf in development [1] - KMI's pipelines transport natural gas, refined petroleum products, crude oil, condensate, CO2, renewable fuels, and other products [1] - The company's terminals store and handle various commodities including gasoline, diesel fuel, jet fuel, chemicals, metals, petroleum coke, ethanol, and other renewable fuels and feedstocks [1] Strategic Partnerships - KMI has joined Flyscan Systems' strategic investors, including Marathon Petroleum, Enbridge, and Hatch, to support the company's advancement and growth [3] - The partnership will enable Flyscan to accelerate commercialization and scale-up of its operations, including entry into the Natural Gas detection and quantification market [3] - KMI's Chief Operating Officer, James Holland, stated that Flyscan's technologies are state-of-the-art for pipeline leak detection and right-of-way damage prevention [4] Industry Impact - KMI is recognized as an industry leader with a strategic footprint across multiple fuel types and a significant presence in the US market [2] - The company's involvement with Flyscan Systems is expected to bring key expertise, best practices, and development of new capabilities to accelerate market growth [3] - Flyscan Systems, a spin-off from Canada's National Optics Institute, is the first company to enable detection of liquid hydrocarbons and automation of Right-of-Way visual inspection using remote sensing and artificial intelligence [4] Environmental and Safety Commitment - KMI is committed to providing energy transportation and storage services in a safe, efficient, and environmentally responsible manner [1] - The company aims to protect employees, the environment, and the communities in which it operates through partnerships like the one with Flyscan Systems [4]
3 Natural Gas Stocks Set to Thrive in This Winter's Freeze
MarketBeat· 2025-01-11 12:16
Industry Overview - The current winter in the United States has been particularly cold, creating a favorable environment for investing in natural gas stocks [1] - Natural gas futures are projected to increase by 12% year-over-year as of January 9, 2025, with the U.S. Energy Information Administration (EIA) forecasting LNG prices to average $3.00 in 2025 [2][3] Company Analysis: Kinder Morgan - Kinder Morgan operates a vast network of 79,000 miles and is responsible for transporting approximately 40% of the natural gas produced in the U.S. [4] - The company is expected to see high single-digit earnings growth in 2025, driven by increasing demand for natural gas, particularly from data centers supporting AI applications [5] - Kinder Morgan has a dividend yield of 4.08% and is expected to increase its dividend by 1.7% to $1.17 per share, marking eight consecutive years of increases [6] Company Analysis: ONEOK - ONEOK operates over 50,000 miles of pipelines and specializes in natural gas and natural gas liquids [7] - The company has achieved a 14% year-over-year growth in earnings per share over the past three years, with analysts forecasting a 17% growth in the next year [8] - Recent price action suggests a buying opportunity, with a consensus price target of around $115, indicating an 11% potential stock price gain alongside a dividend yield of 3.86% [8] Company Analysis: NGL Energy Partners - NGL Energy Partners operates a network of midstream pipelines and storage facilities, managing natural gas, water pipelines, and crude oil [10] - Despite a lighter earnings report, NGL stock has risen approximately 28% since the earnings report, with analysts projecting positive earnings of 11 cents for the full year [11]
Kinder Morgan (KMI) Earnings Expected to Grow: What to Know Ahead of Q4 Release
ZACKS· 2025-01-08 16:06
Core Viewpoint - The market anticipates Kinder Morgan (KMI) will report a year-over-year increase in earnings driven by higher revenues in its upcoming earnings report for the quarter ended December 2024 [1] Earnings Expectations - Kinder Morgan is expected to post quarterly earnings of $0.33 per share, reflecting a year-over-year increase of +17.9% [3] - Revenues are projected to reach $4.09 billion, which is a 1.3% increase from the same quarter last year [3] Estimate Revisions - The consensus EPS estimate has remained unchanged over the last 30 days, indicating that analysts have not significantly altered their initial estimates during this period [4] - A positive Earnings ESP of +0.76% suggests that analysts have recently become more optimistic about Kinder Morgan's earnings prospects [10] Historical Performance - In the last reported quarter, Kinder Morgan was expected to earn $0.27 per share but only achieved $0.25, resulting in a surprise of -7.41% [12] - Over the past four quarters, the company has only beaten consensus EPS estimates once [13] Predictive Indicators - A positive Earnings ESP is a strong predictor of an earnings beat, especially when combined with a Zacks Rank of 1 (Strong Buy), 2 (Buy), or 3 (Hold) [8] - Kinder Morgan currently holds a Zacks Rank of 3, indicating a likelihood of beating the consensus EPS estimate [11]
The Best Dividend Stocks to Buy in 2025
The Motley Fool· 2025-01-04 16:32
The best dividend stocks can provide you with bountiful streams of passive income. With their lower risk and volatility profiles, these stalwart stocks should also help you protect your wealth while adding ballast to your diversified investment portfolio.To aid your search for these wealth builders, here are two top dividend stocks set to deliver strong returns to their investors in the year ahead.Dividend stock to buy No. 1: AT&TAT&T (T -0.70%) wants to provide its customers with a simpler solution for the ...
KMI's Tennessee Gas Pipeline Greenlights Mississippi Crossing Project
ZACKS· 2025-01-03 17:00
Core Insights - Kinder Morgan Inc. (KMI) has made a final investment decision to proceed with the Mississippi Crossing Project (MSX Project), which involves constructing a pipeline network of approximately 2.6 miles and two new compressor stations to transport up to 1.5 billion cubic feet per day (Bcf/d) of natural gas at an estimated cost of nearly $1.4 billion [1] Economic and Regional Benefits of the Project - The decision to proceed was based on securing long-term, binding transportation contracts with customers for the entire capacity of the project, which is expected to enhance access to natural gas in the Southeast region and diversify supply sources, thereby lowering costs and meeting rising energy demand [2] - The incremental supply from the project is anticipated to create new residential and industrial opportunities for other energy providers [2] Capacity Expansion - Advanced discussions are ongoing with KMI's customers to secure additional long-term commitments that could add 0.4 Bcf/d to the project's total capacity, necessitating increased capital for more horsepower [3] Key Features of the MSX Project - The MSX Project will start near Greenville, MS, and end near Butler, AL, connecting to TGP's existing pipeline system and third-party pipelines, which will provide access to critical gas supplies from multiple basins, reducing dependence on a single supply source [4] Project Timeline - The project is pending necessary permits and clearances, with operations expected to commence by November 2028 upon receiving approvals [5] KMI's Outlook & Strategic Investments - KMI maintains a positive outlook for the natural gas market, anticipating significant growth in LNG exports and power generation over the next five years, along with increased exports to Mexico [6] - The company has committed $3.1 billion in expansion capital towards the SNG South System 4 Expansion and the MSX Project [6]
3 Midstream Stocks to Monitor in a Volatile Energy Market
ZACKS· 2025-01-03 15:20
Core Viewpoint - The midstream energy sector presents a more stable investment opportunity compared to upstream oil and gas producers, as midstream companies generate fee-based revenues that are less exposed to commodity price volatility [3][4]. Group 1: Oil Price Trends - During the pandemic's initial phase, crude oil prices fell dramatically to a negative $36.98 per barrel on April 20, 2020, due to uncertainties and lack of vaccines [1] - The rollout of vaccines led to a recovery in oil prices, with West Texas Intermediate (WTI) crude reaching $123.64 per barrel by March 8, 2022 [1] - Currently, WTI crude oil is trading at over $70 per barrel, indicating ongoing volatility in commodity prices [2] Group 2: Midstream Companies Overview - Midstream companies like Kinder Morgan, MPLX, and The Williams Companies are highlighted as potential investment opportunities due to their lower exposure to commodity price fluctuations [2][3] - Midstream players benefit from stable fee-based revenues as their transportation and storage assets are contracted for the long term, making their business model relatively low-risk [3] Group 3: Company-Specific Insights - **Kinder Morgan (KMI)**: Operates a vast network of oil and gas pipelines spanning 83,000 miles, primarily earning from take-or-pay contracts, which provide stable revenues. The company is expected to grow due to its resilient business model [5][6] - **MPLX**: Focuses on midstream energy infrastructure and logistics, generating stable cash flow. The company plans to return capital to unit holders and anticipates earnings and sales growth of 2.4% and 4.5% respectively in 2025 [7] - **The Williams Companies (WMB)**: Engaged in transporting and processing natural gas, the company is well-positioned to meet the increasing demand for clean energy. Its pipeline network covers over 30,000 miles and can supply 30% of the nation's natural gas consumption [8][9]
Kinder Morgan (KMI) Ascends But Remains Behind Market: Some Facts to Note
ZACKS· 2024-12-24 23:51
In the latest trading session, Kinder Morgan (KMI) closed at $27.33, marking a +1.04% move from the previous day. This change lagged the S&P 500's 1.1% gain on the day. Elsewhere, the Dow saw an upswing of 0.91%, while the tech-heavy Nasdaq appreciated by 1.35%.Prior to today's trading, shares of the oil and natural gas pipeline and storage company had lost 2.87% over the past month. This has was narrower than the Oils-Energy sector's loss of 10.32% and lagged the S&P 500's gain of 0.22% in that time.The in ...
Why Kinder Morgan (KMI) Outpaced the Stock Market Today
ZACKS· 2024-12-24 00:05
Core Insights - Kinder Morgan's stock closed at $27.05, reflecting a +0.74% increase, outperforming the S&P 500's gain of 0.73% [1] - The upcoming earnings report is expected to show an EPS of $0.33, a 17.86% increase year-over-year, with projected revenue of $4.09 billion, up 1.28% from the previous year [2] - For the fiscal year, earnings are projected at $1.17 per share and revenue at $15.28 billion, indicating a +9.35% change in earnings but a -0.38% change in revenue from the prior year [3] Company Performance - Kinder Morgan's shares have decreased by 5.76% over the past month, outperforming the Oils-Energy sector's decline of 9.2% but lagging behind the S&P 500's gain of 0.34% [6] - The Zacks Rank for Kinder Morgan is currently 3 (Hold), with a recent 0.51% decrease in the consensus EPS estimate over the last 30 days [7] Valuation Metrics - Kinder Morgan has a PEG ratio of 3.88, compared to the industry average of 3.35, indicating a higher valuation relative to projected earnings growth [8] - The company holds a Forward P/E ratio of 22.87, which is a premium compared to the industry average Forward P/E of 15.89 [10] Industry Context - The Oil and Gas - Production and Pipelines industry is currently ranked 188 in the Zacks Industry Rank, placing it in the bottom 26% of over 250 industries [11]
Kinder Morgan (KMI) Laps the Stock Market: Here's Why
ZACKS· 2024-11-21 23:51
Company Performance - Kinder Morgan (KMI) closed at $28.54, reflecting a +1.93% change from the previous day, outperforming the S&P 500's daily gain of 0.53% [1] - The stock has gained 13.04% over the past month, surpassing the Oils-Energy sector's gain of 3.73% and the S&P 500's gain of 1.02% [1] Earnings Projections - The upcoming EPS for Kinder Morgan is projected at $0.33, indicating a 17.86% increase compared to the same quarter last year [2] - Revenue is estimated at $3.97 billion, reflecting a 1.7% decline from the equivalent quarter last year [2] Annual Forecast - Zacks Consensus Estimates forecast earnings of $1.17 per share and revenue of $15.15 billion for the year, showing changes of +9.35% and -1.17% respectively compared to the previous year [3] Analyst Estimates - Recent adjustments to analyst estimates for Kinder Morgan are important as they reflect short-term business trends and analysts' confidence in the company's performance [4] - Positive revisions in estimates are correlated with near-term share price momentum [5] Zacks Rank and Valuation - Kinder Morgan currently holds a Zacks Rank of 3 (Hold), with the Zacks Consensus EPS estimate having decreased by 1.12% in the past month [6] - The company is trading at a Forward P/E ratio of 23.85, which is a premium compared to the industry average of 17.31 [7] PEG Ratio - Kinder Morgan has a PEG ratio of 3.88, higher than the industry average PEG ratio of 3.22 [8] Industry Context - The Oil and Gas - Production and Pipelines industry, part of the Oils-Energy sector, holds a Zacks Industry Rank of 163, placing it in the bottom 36% of over 250 industries [9]