Kinder Morgan (NYSE:KMI) Posts Quarterly Earnings Results, Beats Estimates By $0.02 EPS

Kinder Morgan (NYSE:KMI) posted its quarterly earnings results on Wednesday. The pipeline company reported $0.35 EPS for the quarter, beating analysts’ consensus estimates of $0.33 by $0.02, Zacks reports. The company had revenue of $4.53 billion during the quarter, compared to analyst estimates of $4.37 billion. Kinder Morgan had a net margin of 19.64% and a return on equity of 10.84%. The firm’s revenue was up 9.3% compared to the same quarter last year. During the same period in the prior year, the business posted $0.29 EPS.

Here are the key takeaways from Kinder Morgan’s conference call:

• Positive Sentiment: Kinder Morgan reported strong third-quarter results, with adjusted EPS up 21% year over year, adjusted EBITDA up 9% to $2.18 billion, and all four business segments contributing to growth. Management now expects full-year adjusted EPS to exceed budget by more than 13% and EBITDA by more than 6%.
• Positive Sentiment: The project backlog expanded from $9.6 billion to a record $14.4 billion, including the Southeast Connector and Permian Link. KMI’s share of the two projects is approximately $4.7 billion, backed by at least 20-year take-or-pay contracts, extending the company’s visible growth runway into 2030–2032.
• Positive Sentiment: Natural gas demand and network utilization remained strong, with transport volumes up 3% and gathering volumes up 14%, led by a 40% increase on KinderHawk in the Haynesville. Management cited LNG exports, power generation, hyperscaler demand, and Southeast load growth as major drivers of additional infrastructure opportunities.
• Neutral Sentiment: KMI ended the quarter with leverage of approximately 3.5x debt to EBITDA and roughly $3 billion of annual cash flow available for expansion capital, while indicating a likely capital-spending run rate of about $4 billion for the next several years. However, management noted that roughly $225 million of 2026 outperformance came from potentially nonrecurring items, including severe weather, a contract buyout, a FERC true-up, and favorable regional gas spreads.
• Negative Sentiment: Products pipeline volumes declined, with refined products down 3% and crude and condensate volumes down 11% year over year. Management also cautioned that growth will not be even each year and that some 2026 benefits, including favorable commodity prices, may not repeat in 2027.

Kinder Morgan Stock Performance

NYSE:KMI opened at $34.47 on Friday. The firm’s fifty day simple moving average is $31.88 and its 200 day simple moving average is $32.05. Kinder Morgan has a twelve month low of $25.60 and a twelve month high of $34.81. The stock has a market cap of $76.77 billion, a P/E ratio of 21.28, a price-to-earnings-growth ratio of 2.31 and a beta of 0.59. The company has a quick ratio of 0.36, a current ratio of 0.67 and a debt-to-equity ratio of 0.95.

Kinder Morgan Announces Dividend

The firm also recently disclosed a quarterly dividend, which will be paid on Monday, November 16th. Stockholders of record on Monday, November 2nd will be given a $0.2975 dividend. This represents a $1.19 dividend on an annualized basis and a dividend yield of 3.5%. The ex-dividend date is Monday, November 2nd. Kinder Morgan’s dividend payout ratio (DPR) is currently 73.46%.

More Kinder Morgan News

Here are the key news stories impacting Kinder Morgan this week:

• Positive Sentiment: Strong Q3 performance: Kinder Morgan reported $4.53 billion in revenue, up approximately 9% year over year, and adjusted EPS of $0.35 versus the $0.33 consensus estimate. Natural-gas volumes, record EBITDA and higher earnings supported investor confidence. Kinder Morgan Q3 earnings report
• Positive Sentiment: Major growth investments: KMI approved approximately $4.7 billion for the Southeast Connector and Permian Link natural-gas pipeline projects. The projects are expected to benefit from rising demand tied to data centers, power generation and LNG exports. The company also added $5.4 billion to its expansion backlog, bringing the total backlog to a record $14.4 billion. Kinder Morgan pipeline investment report
• Positive Sentiment: Analyst support and income: Freedom Broker upgraded KMI to “buy” with a $39 price target, while Mizuho raised its target to $39 and kept an “outperform” rating. Kinder Morgan also declared a quarterly dividend of $0.2975 per share, representing a 3.5% indicated yield. Kinder Morgan analyst price targets
• Neutral Sentiment: Mixed analyst view: Scotiabank initiated or reiterated a “hold” rating, indicating that the stock’s recent advance and valuation may already reflect much of the near-term improvement. Scotiabank Kinder Morgan rating
• Negative Sentiment: Lower earnings outlook: KMI’s updated FY 2026 adjusted EPS guidance of $1.36 is below the approximately $1.56 analyst consensus, creating a notable counterweight to the earnings beat and backlog expansion. Kinder Morgan 2026 earnings guidance

Analyst Ratings Changes

Several research firms have recently weighed in on KMI. Weiss Ratings downgraded Kinder Morgan from a “buy (b+)” rating to a “buy (b)” rating in a research report on Thursday, October 8th. Mizuho raised their target price on shares of Kinder Morgan from $37.00 to $39.00 and gave the company an “outperform” rating in a report on Thursday. Citigroup boosted their target price on Kinder Morgan from $34.00 to $35.00 and gave the stock a “neutral” rating in a research report on Friday. Argus increased their target price on shares of Kinder Morgan from $36.00 to $38.00 and gave the stock a “buy” rating in a research report on Tuesday, July 28th. Finally, Capital One Financial started coverage on Kinder Morgan in a research note on Tuesday, September 22nd. They issued an “equal weight” rating and a $36.00 target price for the company. Twelve research analysts have rated the stock with a Buy rating and eleven have assigned a Hold rating to the company. According to data from MarketBeat.com, Kinder Morgan presently has an average rating of “Moderate Buy” and an average target price of $36.60.

Insider Activity

In other news, VP Michael Garthwaite sold 1,550 shares of the company’s stock in a transaction that occurred on Friday, October 16th. The stock was sold at an average price of $33.65, for a total transaction of $52,157.50. Following the sale, the vice president directly owned 47,313 shares of the company’s stock, valued at $1,592,082.45. This represents a 3.17% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available at the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. 12.72% of the stock is currently owned by insiders.

About Kinder Morgan

Kinder Morgan, Inc (NYSE: KMI) is an energy infrastructure company that owns and operates pipelines, terminals, and other transportation and storage facilities. Its systems primarily support the movement, processing, and storage of natural gas, crude oil, refined petroleum products, and other energy commodities.

The company’s natural gas business transports and stores natural gas for utilities, power generators, industrial customers, and other energy companies. Kinder Morgan also operates refined products and crude oil pipelines, liquids terminals, and carbon dioxide infrastructure.