Kinder Morgan (KMI) AI Stock Analysis

• Market Cap: $59.15B
• Dividend Yield: 4.32%
• Average Volume (3M): 16.53M
• Price to Earnings (P/E): 21.7
• Beta (1Y): 0.52
• Revenue Growth: 3.95%
• EPS Growth: 11.32%
• Country: US
• Employees: 10,933
• Sector: Energy
• Sector Strength: 56
• Industry: Oil & Gas Midstream
• EPS (TTM): 0.28
• Shares Outstanding: 2,222,077,600
• 10 Day Avg. Volume: 13,323,074
• 30 Day Avg. Volume: 16,526,337
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• Enterprise Value/Market Cap: 1.68
• Enterprise Value/Revenue: 6.22
• Enterprise Value/Gross Profit: 17.36
• Enterprise Value/Ebitda: 12.84
• 1Y Price Target: $32.00
• Price Target Upside: 19.27% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 13

• Rating: 70 Outperform
• Price Target: $29.00 ▲(8.09% Upside)

Kinder Morgan's overall stock score is driven by strong financial performance and a positive earnings call outlook, despite technical indicators suggesting caution. The company's strategic investments and attractive dividend yield support its resilience, though modest revenue growth and declining free cash flow pose challenges.

Positive Factors

Backlog and Project Development

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

Financial Performance

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

Regulatory Environment

A streamlined federal process could reduce the permitting to construction time by 5 months, accelerating project timelines.

Negative Factors

Growth Comparison

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

Regulatory Challenges

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

Tax and Financial Outlook

The company now expects to not be a significant taxpayer in 2026 or 2027 due to accelerated depreciation in the recent US tax bill.

Kinder Morgan Business Overview & Revenue Model

Company Description

Kinder Morgan, Inc. operates as an energy infrastructure company in North America. The company operates through four segments: Natural Gas Pipelines, Products Pipelines, Terminals, and CO2. The Natural Gas Pipelines segment owns and operates interstate and intrastate natural gas pipeline, and underground 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 liquefaction and storage facilities. The Products Pipelines segment owns and operates refined petroleum products, and crude oil and condensate pipelines; and associated product terminals and petroleum pipeline transmix facilities. The Terminals segment owns and/or operates liquids and bulk terminals that stores and handles various commodities, including gasoline, diesel fuel, chemicals, ethanol, metals, and petroleum coke; and owns tankers. The CO2 segment produces, transports, and markets CO2 to recovery and production crude oil from mature oil fields; owns interests in/or operates oil fields and gasoline processing plants; and operates a crude oil pipeline system in West Texas, as well as owns and operates RNG and LNG facilities. It owns and operates approximately 83,000 miles of pipelines and 143 terminals. The company was formerly known as Kinder Morgan Holdco LLC and changed its name to Kinder Morgan, Inc. in February 2011. Kinder Morgan, Inc. was founded in 1936 and is headquartered in Houston, Texas.

How the Company Makes Money

Kinder Morgan generates revenue primarily through its fee-based business model, which comprises several key revenue streams. The Natural Gas Pipelines segment is the largest contributor, earning money by charging customers for the transportation of natural gas through its extensive pipeline network. The CO2 segment generates revenue through the sale of carbon dioxide used for enhanced oil recovery. The Terminals segment earns income by providing storage and handling services for various liquid and dry products. Additionally, the Products Pipelines segment contributes revenue through the transportation of refined products. Kinder Morgan also benefits from long-term contracts with customers, which provide stable cash flows. Strategic partnerships and joint ventures with other companies in the energy sector further enhance its earnings potential.

Kinder Morgan Financial Statement Overview

Summary

Kinder Morgan demonstrates solid financial health with strong profitability and efficient operations. The company has a strong gross profit margin and robust EBIT and EBITDA margins. However, challenges include modest revenue growth and a decline in free cash flow, which may impact long-term strategic initiatives.

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	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	15.94B	15.07B	15.16B	19.55B	17.53B	11.48B
Gross Profit	5.71B	5.53B	5.13B	5.50B	6.37B	4.28B
EBITDA	7.72B	7.63B	7.25B	7.03B	5.85B	4.41B
Net Income	2.72B	2.61B	2.39B	2.55B	1.78B	119.00M
Balance Sheet
Total Assets	72.37B	71.41B	71.02B	70.08B	70.42B	71.97B
Cash, Cash Equivalents and Short-Term Investments	82.00M	88.00M	83.00M	745.00M	1.14B	1.18B
Total Debt	32.55B	31.67B	31.89B	31.57B	33.21B	34.58B
Total Liabilities	40.29B	39.54B	39.29B	37.96B	38.49B	39.41B
Stockholders Equity	30.77B	30.53B	30.31B	30.74B	30.82B	31.44B
Cash Flow
Free Cash Flow	2.72B	3.01B	4.15B	3.35B	4.43B	2.84B
Operating Cash Flow	5.57B	5.63B	6.49B	4.97B	5.71B	4.55B
Investing Cash Flow	-3.50B	-2.63B	-4.17B	-2.17B	-2.31B	-911.00M
Financing Cash Flow	-2.00B	-2.89B	-3.01B	-3.15B	-3.46B	-2.64B

Kinder Morgan Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 26.83
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For KMI, the sentiment is Neutral. The current price of 26.83 is below the 20-day moving average (MA) of 26.97, below the 50-day MA of 27.39, and below the 200-day MA of 26.97, indicating a bearish trend. The MACD of -0.22 indicates Negative momentum. The RSI at 47.92 is Neutral, neither overbought nor oversold. The STOCH value of 60.45 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for KMI.

Kinder Morgan Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
EPD	80 Outperform	$68.60B	11.84	20.43%	6.77%	-0.55%	2.14%
ET	75 Outperform	$60.38B	13.52	13.73%	7.43%	-3.65%	9.69%
MPLX	75 Outperform	$51.74B	11.94	31.38%	7.65%	4.67%	2.07%
OKE	73 Outperform	$46.87B	14.51	16.05%	5.43%	47.00%	11.86%
KMI	70 Outperform	$59.15B	21.73	8.86%	4.32%	3.95%	11.32%
WMB	68 Neutral	$69.77B	28.67	19.64%	3.39%	10.57%	-14.22%
Sector *	65 Neutral	$15.26B	7.31	3.02%	5.32%	4.27%	-62.52%

Kinder Morgan Corporate Events

Kinder Morgan to Attend Citi Natural Resources Conference

On August 6, 2025, Kinder Morgan announced its participation in the Citi 2025 Natural Resources Conference scheduled for August 12-13, 2025. This participation is aimed at discussing the company’s business and affairs, with materials to be made available on their website prior to the event, highlighting its proactive engagement with stakeholders and potential impact on its market positioning.

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 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.