Back to top

Image: Bigstock

Kinder Morgan (KMI) Advances While Market Declines: Some Information for Investors

Read MoreHide Full Article

Kinder Morgan (KMI - Free Report) ended the recent trading session at $32.54, demonstrating a +1.06% change from the preceding day's closing price. This move outpaced the S&P 500's daily loss of 0.51%. At the same time, the Dow lost 0.2%, and the tech-heavy Nasdaq lost 1.47%.

The oil and natural gas pipeline and storage company's stock has climbed by 2.78% in the past month, exceeding the Oils-Energy sector's gain of 0.92% and the S&P 500's gain of 0.53%.

The investment community will be closely monitoring the performance of Kinder Morgan in its forthcoming earnings report. The company is scheduled to release its earnings on July 22, 2026. The company is predicted to post an EPS of $0.31, indicating a 10.71% growth compared to the equivalent quarter last year. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $4.29 billion, up 6.16% from the year-ago period.

For the annual period, the Zacks Consensus Estimates anticipate earnings of $1.49 per share and a revenue of $18.17 billion, signifying shifts of +14.62% and +7.27%, respectively, from the last year.

Additionally, investors should keep an eye on any recent revisions to analyst forecasts for Kinder Morgan. Such recent modifications usually signify the changing landscape of near-term business trends. As a result, upbeat changes in estimates indicate analysts' favorable outlook on the business health and profitability.

Empirical research indicates that these revisions in estimates have a direct correlation with impending stock price performance. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.

The Zacks Rank system, ranging from #1 (Strong Buy) to #5 (Strong Sell), possesses a remarkable history of outdoing, externally audited, with #1 stocks returning an average annual gain of +25% since 1988. Over the past month, there's been no change in the Zacks Consensus EPS estimate. Kinder Morgan is holding a Zacks Rank of #3 (Hold) right now.

From a valuation perspective, Kinder Morgan is currently exchanging hands at a Forward P/E ratio of 21.57. Its industry sports an average Forward P/E of 20.36, so one might conclude that Kinder Morgan is trading at a premium comparatively.

We can also see that KMI currently has a PEG ratio of 2.68. The PEG ratio bears resemblance to the frequently used P/E ratio, but this parameter also includes the company's expected earnings growth trajectory. The average PEG ratio for the Oil and Gas - Production and Pipelines industry stood at 1.89 at the close of the market yesterday.

The Oil and Gas - Production and Pipelines industry is part of the Oils-Energy sector. This group has a Zacks Industry Rank of 190, putting it in the bottom 23% of all 250+ industries.

The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Keep in mind to rely on Zacks.com to watch all these stock-impacting metrics, and more, in the succeeding trading sessions.

Published in