With a market cap of $68.9 billion, Kinder Morgan, Inc. (KMI) is a major energy infrastructure company, operating across natural gas pipelines, products pipelines, terminals, and CO₂ segments. It manages an extensive network of pipelines, storage systems, terminals, and processing facilities that transport and handle natural gas, petroleum products, and other commodities across North America.
Shares of the Houston, Texas-based company have underperformed the broader market over the past 52 weeks. KMI stock has returned 17.4% over this time frame, while the broader S&P 500 Index ($SPX) has rallied 29.1%. However, shares of the company are up 15.6% on a YTD basis, outpacing SPX's 4.3% gain.
Looking closer, shares of the U.S. pipeline operator have lagged behind the State Street Energy Select Sector SPDR ETF's (XLE) 39.1% increase over the past 52 weeks.
Kinder Morgan reported better-than-expected Q1 2026 adjusted EPS of $0.48 and $4.83 billion in revenue on Apr. 22, driven by stronger natural gas demand with volumes rising to 49,475 billion Btu/day. The results were supported by geopolitical tensions in the Middle East, increased LNG demand, and rising power needs from data centers, alongside a bullish long-term outlook for U.S. gas demand reaching 150 Bcf/day by 2031. Nevertheless, the stock fell marginally the next day as investors likely focused on weaker refined products volumes, which declined to 1,965 thousand barrels/day.
For the fiscal year ending in December 2026, analysts expect KMI's adjusted EPS to grow 11.5% year-over-year to $1.45. The company's earnings surprise history is promising. It beat or met the consensus estimates in the last four quarters.
Among the 22 analysts covering the stock, the consensus rating is a “Moderate Buy.” That’s based on nine “Strong Buy” ratings, one “Moderate Buy,” and 12 “Holds.”
On Apr. 23, Jefferies cut its price target on Kinder Morgan to $34 while maintaining a “Hold” rating.
The mean price target of $35.65 represents a 12.1% premium to KMI’s current price levels. The Street-high price target of $43 suggests a 35.3% potential upside.
On the date of publication, Sohini Mondal did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy here.
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