Kinder Morgan, the Energy sector company, was revisited by a Wall Street analyst today. Analyst Michael Blum from Wells Fargo maintained a Buy rating on the stock and has a $34.00 price target.
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Michael Blum has given his Buy rating due to a combination of factors that highlight Kinder Morgan’s strong financial position and growth potential. The company has maintained its guidance for 2025, which aligns with expectations, and has added significant projects worth $1.3 billion, including gas pipelines. This expansion is expected to contribute positively to the company’s future earnings.
Furthermore, the recent passage of OBBA provides Kinder Morgan with cash tax benefits, delaying material cash taxes until 2028, which enhances the company’s financial outlook. Additionally, the company is exploring innovative projects like the behind-the-meter data center development, which could open new revenue streams. The Copper State Connector project, with a disclosed cost of $4-5 billion, is another potential catalyst for growth. These strategic moves, along with improved project timelines and a forecasted EBITDA of $10 billion by 2029, underpin Blum’s optimistic outlook for Kinder Morgan.
In another report released today, Barclays also maintained a Buy rating on the stock with a $32.00 price target.