Kinder Morgan (KMI) AI Stock Analysis

• Market Cap: $62.31B
• Dividend Yield: 4.13%
• Average Volume (3M): 14.82M
• Price to Earnings (P/E): 23.2
• Beta (1Y): 0.55
• Revenue Growth: 3.95%
• EPS Growth: 11.32%
• Country: US
• Employees: 10,933
• Sector: Energy
• Sector Strength: 52
• Industry: Oil & Gas Midstream
• EPS (TTM): 0.28
• Shares Outstanding: 2,222,077,600
• 10 Day Avg. Volume: 16,501,882
• 30 Day Avg. Volume: 14,819,772
• PEG Ratio: N/A
• Price to Book (P/B): 0.00
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 0.00
• Enterprise Value/Market Cap: 1.59
• Enterprise Value/Revenue: 6.21
• Enterprise Value/Gross Profit: 12.65
• Enterprise Value/Ebitda: 13.91
• 1Y Price Target: $31.92
• Price Target Upside: 13.84% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 13

• Rating: 69 Neutral
• Price Target: $31.00 ▲(10.56% Upside)

Kinder Morgan's stock score is driven by a solid financial performance and a positive outlook from the latest earnings call, highlighting strong financial growth and strategic project expansions. However, the technical indicators suggest neutral momentum, and the valuation indicates a balanced market perspective, limiting the overall score. The absence of significant corporate events keeps the focus on core operations and strategic initiatives.

Positive Factors

Financial Performance

KMI reiterates its FY25 EBITDA guidance should exceed annual budgeted levels, highlighting strong financial performance expectations.

Market Confidence

Analyst recommends a Buy rating for Kinder Morgan, reflecting confidence in future backlog growth and company performance.

Project Development

The company increased its backlog by $1.3B, reflecting strong project development and future revenue potential.

Negative Factors

CO2 Business Segment

CO2 business segment earnings, which include Energy Transition Ventures, were down due to lower CO2 and D3 RIN prices.

Competitive Growth

Growth should inflect in 2027, making 2026 EBITDA growth less competitive relative to peers.

Tariff and Regulatory Challenges

The changing tariff landscape has created challenges for shippers on the Copper State Connector project due to complex agreements.

Kinder Morgan Business Overview & Revenue Model

Company Description

Kinder Morgan, Inc. (KMI) is one of the largest energy infrastructure companies in North America. The company operates primarily in the sectors of natural gas, petroleum products, and carbon dioxide (CO2) transport and storage. Its core services include owning and controlling pipelines and terminals that facilitate the transportation of natural gas, refined petroleum products, crude oil, and CO2, as well as the storage and handling of various energy products. With a vast network of pipelines and storage facilities, Kinder Morgan plays a critical role in the energy supply chain, connecting energy producers with consumers across the continent.

How the Company Makes Money

Kinder Morgan primarily generates revenue through the fees it charges for transporting and storing energy products. The company's extensive network of pipelines and terminals allows it to charge transportation fees to energy producers for moving natural gas, oil, and refined products from production sites to refineries, distribution centers, and end consumers. Additionally, Kinder Morgan earns money from storage fees by providing storage capacity for energy products at its terminals. The company also engages in long-term contracts and take-or-pay agreements, which provide stable and predictable revenue streams. Key revenue streams include transportation fees from natural gas pipelines, refined petroleum pipelines, and CO2 transport, as well as terminal fees for storage and handling. Significant partnerships with energy producers and utility companies further enhance Kinder Morgan's revenue generation by ensuring a steady demand for its infrastructure services.

Kinder Morgan Financial Statement Overview

Summary

Kinder Morgan demonstrates solid financial health with strong profitability and efficient operations. The company shows a strong gross profit margin and a healthy net profit margin, but faces challenges with modest revenue growth and declining free cash flow. Despite moderate leverage, its stable capital structure and effective equity management support resilience.

Income Statement

Kinder Morgan shows a strong gross profit margin of approximately 49.1% TTM, indicating efficient control over production costs. The net profit margin stands at around 17.1% TTM, reflecting healthy profitability. Revenue has shown modest growth, with a 5.75% increase from the previous year. EBIT and EBITDA margins TTM are robust at about 27.7% and 44.6%, respectively, indicating solid operational performance. However, the revenue growth rate is relatively low, which may pose challenges in the competitive market.

Balance Sheet

The debt-to-equity ratio is approximately 1.06, suggesting a moderate level of leverage, which is typical in the industry but could pose risks in adverse conditions. Return on equity is strong at about 8.86% TTM, indicating effective management of shareholder investments. The equity ratio stands at around 42.5%, showing a stable capital structure. Overall, the balance sheet reflects a balanced approach to leveraging with potential for improved financial stability.

Cash Flow

Operating cash flow covers net income well, with an operating cash flow to net income ratio of 2.04 TTM, indicating strong cash generation ability. Free cash flow shows a decline of 11.2% from the previous year, which could impact future investment capabilities. The free cash flow to net income ratio is healthy at 0.98, suggesting a good capacity to support dividends and debt repayment. Overall, the cash flow situation is stable, but the decline in free cash flow growth rate warrants attention.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	15.10B	15.33B	19.20B	16.61B	11.70B
Gross Profit	8.41B	8.15B	7.76B	7.75B	6.68B
EBITDA	6.74B	6.51B	6.22B	6.67B	5.66B
Net Income	2.61B	2.39B	2.55B	1.78B	119.00M
Balance Sheet
Total Assets	71.41B	71.02B	70.08B	70.42B	71.97B
Cash, Cash Equivalents and Short-Term Investments	88.00M	83.00M	745.00M	1.14B	1.18B
Total Debt	31.67B	31.89B	31.57B	33.21B	34.58B
Total Liabilities	39.54B	39.29B	37.96B	38.49B	39.41B
Stockholders Equity	30.53B	30.31B	30.74B	30.82B	31.44B
Cash Flow
Free Cash Flow	3.01B	4.15B	3.35B	4.43B	2.84B
Operating Cash Flow	5.63B	6.49B	4.97B	5.71B	4.55B
Investing Cash Flow	-2.63B	-4.17B	-2.17B	-2.31B	-911.00M
Financing Cash Flow	-2.89B	-3.01B	-3.15B	-3.46B	-2.64B

Kinder Morgan Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 28.04
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For KMI, the sentiment is Positive. The current price of 28.04 is above the 20-day moving average (MA) of 27.48, above the 50-day MA of 27.69, and above the 200-day MA of 26.74, indicating a bullish trend. The MACD of 0.08 indicates Negative momentum. The RSI at 55.89 is Neutral, neither overbought nor oversold. The STOCH value of 86.44 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for KMI.

Kinder Morgan Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
EPD	79 Outperform	$67.56B	11.64	20.49%	6.96%	-0.30%	―
MPLX	78 Outperform	$51.92B	12.07	31.38%	7.17%	5.53%	11.29%
OKE	78 Outperform	$47.28B	14.76	16.05%	5.17%	40.55%	19.24%
ET	74 Outperform	$60.85B	13.35	13.73%	7.30%	1.04%	22.31%
KMI	69 Neutral	$62.31B	23.20	8.86%	4.13%	3.95%	11.32%
WMB	68 Neutral	$72.05B	30.40	19.64%	3.24%	8.63%	-20.98%
Sector *	45 Neutral	AU$1.32B	-8.62	-15.56%	7.70%	2.10%	-32.50%

Kinder Morgan Corporate Events

Kinder Morgan to Attend Barclays Infrastructure Conference

On June 12, 2025, Kinder Morgan, Inc. announced its participation in the Barclays Global Infrastructure Conference scheduled for June 17, 2025. This engagement is aimed at discussing the company’s business operations and affairs, potentially impacting its industry positioning and providing insights to stakeholders.

The most recent analyst rating on (KMI) stock is a Buy with a $28.00 price target. To see the full list of analyst forecasts on Kinder Morgan stock, see the KMI Stock Forecast page.

Kinder Morgan Holds Annual Stockholders Meeting

On May 15, 2025, Kinder Morgan, Inc. held its Annual Meeting of Stockholders, where 1,942,512,111 shares were represented, forming a quorum. During the meeting, stockholders elected eleven directors to the board, ratified PricewaterhouseCoopers LLP as the independent accounting firm for 2025, and conducted an advisory vote on executive compensation.

The most recent analyst rating on (KMI) stock is a Buy with a $28.00 price target. To see the full list of analyst forecasts on Kinder Morgan stock, see the KMI Stock Forecast page.