BMO Capital Markets Initiates Coverage on Kinder Morgan (NYSE:KMI)

Key Points

• BMO Capital Markets has initiated coverage on Kinder Morgan (NYSE:KMI) with an "outperform" rating and a price target of $32.00, indicating a potential upside of 15.61% from its current price.
• Kinder Morgan reported $4.04 billion in revenue for the last quarter, exceeding consensus estimates and showing a 13.2% year-over-year growth.
• Insider sales were noted, with EVP Dax Sanders and CFO David Patrick Michels selling significant shares, resulting in a 9.35% and 20.06% decrease in their respective holdings.

BMO Capital Markets started coverage on shares of Kinder Morgan (NYSE:KMI - Free Report) in a research report sent to investors on Friday morning, Marketbeat.com reports. The brokerage issued an outperform rating and a $32.00 price objective on the pipeline company's stock.

KMI has been the topic of a number of other research reports. Wells Fargo & Company increased their price objective on shares of Kinder Morgan from $33.00 to $34.00 and gave the company an "overweight" rating in a research report on Thursday, July 17th. Wolfe Research raised Kinder Morgan from a "peer perform" rating to an "outperform" rating and set a $31.00 target price on the stock in a research report on Friday, July 25th. Scotiabank raised their price objective on shares of Kinder Morgan from $27.00 to $28.00 and gave the stock a "sector perform" rating in a report on Friday, July 18th. TD Cowen started coverage on Kinder Morgan in a research report on Monday, July 7th. They set a "buy" rating and a $34.00 target price on the stock. Finally, Stifel Nicolaus raised their price objective on shares of Kinder Morgan from $28.00 to $29.00 and gave the company a "hold" rating in a research report on Thursday, August 14th. Ten analysts have rated the stock with a Buy rating and six have assigned a Hold rating to the company's stock. Based on data from MarketBeat.com, the stock currently has an average rating of "Moderate Buy" and a consensus target price of $31.06.

Kinder Morgan Stock Down 0.8%

KMI traded down $0.23 during trading on Friday, hitting $27.20. 9,821,454 shares of the company's stock traded hands, compared to its average volume of 14,311,205. Kinder Morgan has a 12-month low of $21.61 and a 12-month high of $31.48. The company's 50 day simple moving average is $27.17 and its two-hundred day simple moving average is $27.39. The company has a current ratio of 0.68, a quick ratio of 0.53 and a debt-to-equity ratio of 0.99. The stock has a market capitalization of $60.43 billion, a price-to-earnings ratio of 22.29, a PEG ratio of 3.22 and a beta of 0.81.

Kinder Morgan (NYSE:KMI - Get Free Report) last released its quarterly earnings data on Wednesday, July 16th. The pipeline company reported $0.28 EPS for the quarter, meeting the consensus estimate of $0.28. The company had revenue of $4.04 billion for the quarter, compared to analysts' expectations of $3.75 billion. Kinder Morgan had a return on equity of 8.31% and a net margin of 17.06%.Kinder Morgan's revenue was up 13.2% compared to the same quarter last year. During the same period last year, the firm posted $0.26 earnings per share. Kinder Morgan has set its FY 2025 guidance at 1.270-1.270 EPS. Analysts predict that Kinder Morgan will post 1.25 earnings per share for the current fiscal year.

Kinder Morgan Announces Dividend

The firm also recently disclosed a quarterly dividend, which was paid on Friday, August 15th. Shareholders of record on Thursday, July 31st were paid a $0.2925 dividend. This represents a $1.17 dividend on an annualized basis and a dividend yield of 4.3%. The ex-dividend date of this dividend was Thursday, July 31st. Kinder Morgan's dividend payout ratio (DPR) is presently 95.90%.

Insider Transactions at Kinder Morgan

In related news, CFO David Patrick Michels sold 40,000 shares of the stock in a transaction dated Monday, August 4th. The shares were sold at an average price of $28.19, for a total value of $1,127,600.00. Following the completion of the transaction, the chief financial officer owned 159,428 shares of the company's stock, valued at approximately $4,494,275.32. This trade represents a 20.06% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, VP Sital K. Mody sold 45,549 shares of Kinder Morgan stock in a transaction dated Friday, August 1st. The stock was sold at an average price of $27.96, for a total value of $1,273,550.04. The disclosure for this sale can be found here. Over the last 90 days, insiders sold 128,008 shares of company stock worth $3,553,982. 12.73% of the stock is currently owned by corporate insiders.

Institutional Inflows and Outflows

Hedge funds have recently bought and sold shares of the company. Sierra Ocean LLC lifted its holdings in shares of Kinder Morgan by 927.1% in the 1st quarter. Sierra Ocean LLC now owns 873 shares of the pipeline company's stock worth $25,000 after acquiring an additional 788 shares during the last quarter. LFA Lugano Financial Advisors SA bought a new position in shares of Kinder Morgan during the second quarter valued at approximately $26,000. Fourth Dimension Wealth LLC purchased a new stake in shares of Kinder Morgan in the fourth quarter worth approximately $26,000. JNBA Financial Advisors lifted its stake in shares of Kinder Morgan by 669.2% during the 1st quarter. JNBA Financial Advisors now owns 1,000 shares of the pipeline company's stock worth $29,000 after acquiring an additional 870 shares during the last quarter. Finally, Heck Capital Advisors LLC purchased a new position in Kinder Morgan during the 4th quarter valued at $29,000. Institutional investors own 62.52% of the company's stock.

Kinder Morgan Company Profile

Kinder Morgan, Inc operates as an energy infrastructure company primarily in North America. The company operates through Natural Gas Pipelines, Products Pipelines, Terminals, and CO2 segments. The Natural Gas Pipelines segment owns and operates interstate and intrastate natural gas pipeline, and storage systems; natural gas gathering systems and natural gas processing and treating facilities; natural gas liquids fractionation facilities and transportation systems; and liquefied natural gas gasification, liquefaction, and storage facilities.