In the latest trading session, Kinder Morgan (KMI - Free Report) closed at $15.36, marking a -1.85% move from the previous day. This move lagged the S&P 500's daily loss of 0.78%. At the same time, the Dow lost 0.41%, and the tech-heavy Nasdaq lost 0.97%.
Investors will be hoping for strength from KMI as it approaches its next earnings release. The company is expected to report EPS of $0.17, down 22.73% from the prior-year quarter. Meanwhile, our latest consensus estimate is calling for revenue of $2.86 billion, down 11.06% from the prior-year quarter.
For the full year, our Zacks Consensus Estimates are projecting earnings of $0.72 per share and revenue of $12.25 billion, which would represent changes of -24.21% and -7.25%, respectively, from the prior year.
Any recent changes to analyst estimates for KMI should also be noted by investors. These revisions typically reflect the latest short-term business trends, which can change frequently. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. 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, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection has moved 17.92% lower. KMI currently has a Zacks Rank of #3 (Hold).
Looking at its valuation, KMI is holding a Forward P/E ratio of 21.82. For comparison, its industry has an average Forward P/E of 17.19, which means KMI is trading at a premium to the group.
Also, we should mention that KMI has a PEG ratio of 7.27. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. KMI's industry had an average PEG ratio of 3.77 as of yesterday's close.
The Oil and Gas - Production and Pipelines industry is part of the Oils-Energy sector. This industry currently has a Zacks Industry Rank of 42, which puts it in the top 17% 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.
Make sure to utilize Zacks. Com to follow all of these stock-moving metrics, and more, in the coming trading sessions.