Kinder Morgan (NYSE:KMI) Shares Up 1.4% - Should You Buy?

Key Points

• Kinder Morgan shares rose 1.4% to about $32.28, on trading volume roughly 39% above average.
• Analyst sentiment is mixed, with eight Buy ratings and eleven Holds; the consensus rating is Hold and the average price target is $35.77.
• The company beat quarterly earnings and revenue estimates, while paying a $0.2975 quarterly dividend—an annualized $1.19 and approximately 3.7% yield.

Kinder Morgan, Inc. (NYSE:KMI - Get Free Report)'s stock price shot up 1.4% on Thursday. The stock traded as high as $32.43 and last traded at $32.2790. 16,921,890 shares traded hands during mid-day trading, an increase of 39% from the average session volume of 12,184,978 shares. The stock had previously closed at $31.82.

Wall Street Analyst Weigh In

KMI has been the topic of several analyst reports. Citigroup reaffirmed a "neutral" rating on shares of Kinder Morgan in a research report on Wednesday, July 29th. Morgan Stanley set a $33.00 price objective on shares of Kinder Morgan in a research note on Thursday, September 17th. Capital One Financial started coverage on shares of Kinder Morgan in a report on Tuesday, September 22nd. They issued an "equal weight" rating and a $36.00 target price on the stock. Weiss Ratings reiterated a "buy (b+)" rating on shares of Kinder Morgan in a report on Friday, September 18th. Finally, The Goldman Sachs Group reissued a "buy" rating on shares of Kinder Morgan in a research report on Wednesday, June 10th. Eight equities research analysts have rated the stock with a Buy rating and eleven have assigned a Hold rating to the company's stock. According to MarketBeat, the company has an average rating of "Hold" and a consensus target price of $35.77.

Kinder Morgan Price Performance

The company has a market capitalization of $71.88 billion, a P/E ratio of 20.69, a price-to-earnings-growth ratio of 2.26 and a beta of 0.59. The company has a debt-to-equity ratio of 0.91, a current ratio of 0.46 and a quick ratio of 0.36. The company's 50-day moving average price is $31.46 and its two-hundred day moving average price is $32.05.

Kinder Morgan (NYSE:KMI - Get Free Report) last announced its quarterly earnings results on Wednesday, July 22nd. The pipeline company reported $0.37 EPS for the quarter, beating analysts' consensus estimates of $0.31 by $0.06. The business had revenue of $4.48 billion for the quarter, compared to analyst estimates of $4.22 billion. Kinder Morgan had a net margin of 19.31% and a return on equity of 10.46%. Kinder Morgan's quarterly revenue was up 10.8% on a year-over-year basis. During the same quarter in the prior year, the business earned $0.28 EPS. Kinder Morgan has set its FY 2026 guidance at 1.360-1.360 EPS. As a group, sell-side analysts expect that Kinder Morgan, Inc. will post 1.55 EPS for the current year.

Kinder Morgan Dividend Announcement

The company also recently announced a quarterly dividend, which was paid on Monday, August 17th. Stockholders of record on Monday, August 3rd were paid a dividend of $0.2975 per share. The ex-dividend date was Monday, August 3rd. This represents a $1.19 dividend on an annualized basis and a dividend yield of 3.7%. Kinder Morgan's dividend payout ratio (DPR) is 76.28%.

Insiders Place Their Bets

In related news, VP Michael Garthwaite sold 1,550 shares of the business's stock in a transaction on Wednesday, September 16th. The stock was sold at an average price of $30.80, for a total value of $47,740.00. Following the completion of the sale, the vice president directly owned 48,863 shares in the company, valued at $1,504,980.40. The trade was a 3.07% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is available through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders own 12.72% of the company's stock.

Institutional Investors Weigh In On Kinder Morgan

Institutional investors have recently modified their holdings of the business. Klingman & Associates LLC boosted its position in Kinder Morgan by 3.9% during the first quarter. Klingman & Associates LLC now owns 8,498 shares of the pipeline company's stock valued at $285,000 after purchasing an additional 319 shares during the last quarter. TD Capital Management LLC increased its position in shares of Kinder Morgan by 36.0% during the 4th quarter. TD Capital Management LLC now owns 1,220 shares of the pipeline company's stock worth $34,000 after purchasing an additional 323 shares during the last quarter. Transamerica Financial Advisors LLC raised its stake in shares of Kinder Morgan by 72.9% during the 2nd quarter. Transamerica Financial Advisors LLC now owns 778 shares of the pipeline company's stock worth $25,000 after purchasing an additional 328 shares in the last quarter. Abel Hall LLC raised its stake in shares of Kinder Morgan by 4.0% during the 1st quarter. Abel Hall LLC now owns 8,588 shares of the pipeline company's stock worth $288,000 after purchasing an additional 330 shares in the last quarter. Finally, Thurston Springer Miller Herd & Titak Inc. boosted its holdings in shares of Kinder Morgan by 5.8% in the 2nd quarter. Thurston Springer Miller Herd & Titak Inc. now owns 6,540 shares of the pipeline company's stock valued at $209,000 after buying an additional 356 shares during the last quarter. Institutional investors own 62.52% of the company's stock.

Kinder Morgan Company Profile

Kinder Morgan, Inc NYSE: KMI is an energy infrastructure company that owns and operates pipelines, terminals, and storage facilities. Its assets primarily transport and store natural gas, crude oil, refined petroleum products, and carbon dioxide, supporting energy producers, utilities, refiners, industrial companies, and other customers.

The company's natural gas business includes interstate and intrastate pipelines, gathering and processing systems, and underground storage facilities.

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