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

Kinder Morgan (NYSE:KMI) released its quarterly earnings data on Wednesday. The pipeline company reported $0.35 earnings per share for the quarter, beating the consensus estimate of $0.33 by $0.02, Zacks reports. Kinder Morgan had a return on equity of 10.46% and a net margin of 19.31%. The business had revenue of $4.53 billion for the quarter, compared to analysts’ expectations of $4.37 billion. During the same quarter in the previous year, the business posted $0.29 EPS. Kinder Morgan’s revenue for the quarter was up 9.3% on a year-over-year basis.

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 Up 1.2%

KMI stock traded up $0.40 during midday trading on Wednesday, hitting $33.97. The company’s stock had a trading volume of 18,341,970 shares, compared to its average volume of 12,224,654. The company has a debt-to-equity ratio of 0.91, a current ratio of 0.46 and a quick ratio of 0.36. Kinder Morgan has a twelve month low of $25.60 and a twelve month high of $34.81. The company’s fifty day moving average price is $31.82 and its 200 day moving average price is $32.03. The stock has a market capitalization of $75.65 billion, a P/E ratio of 21.78, a PEG ratio of 2.35 and a beta of 0.59.

Trending Headlines about Kinder Morgan

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

• Positive Sentiment: Kinder Morgan reported third-quarter earnings of $0.35 per share, above estimates of $0.32–$0.33 and up from $0.29 a year earlier. Revenue totaled $4.53 billion, exceeding the $4.37 billion consensus estimate. Kinder Morgan Tops Q3 Earnings and Revenue Estimates
• Positive Sentiment: The company described the quarter as a record period, with both reported and adjusted EPS increasing 21% year over year. The earnings beat provides a near-term catalyst and reinforces expectations for full-year earnings of approximately $1.55 per share. Kinder Morgan Reports Record Third Quarter 2026 Financial Results
• Positive Sentiment: Kinder Morgan announced $5.4 billion of additions to its expansion-project backlog, its largest natural-gas project backlog in company history. The increase improves long-term growth visibility for the pipeline operator and could support future cash flow.
• Positive Sentiment: The board approved a quarterly dividend of $0.2975 per share, equivalent to $1.19 annualized, supporting the stock’s appeal to income-focused investors.
• Neutral Sentiment: Analysts maintain a generally constructive view, with a reported average price target of $35.47 and a “Moderate Buy” consensus. However, the target implies more limited upside after the recent advance.
• Negative Sentiment: Vice President Michael Garthwaite sold 1,550 shares worth approximately $52,158. The transaction was conducted under a pre-arranged Rule 10b5-1 plan, reducing its significance as a discretionary bearish signal, but it remains a modest negative sentiment factor. Kinder Morgan VP Sells Stock

Analyst Upgrades and Downgrades

KMI has been the subject of several research reports. Royal Bank Of Canada increased their price objective on shares of Kinder Morgan from $35.00 to $36.00 and gave the stock a “sector perform” rating in a research report on Tuesday, September 22nd. Citigroup reaffirmed a “neutral” rating and issued a $34.00 price objective (up from $33.00) on shares of Kinder Morgan in a research report on Wednesday, July 29th. JPMorgan Chase & Co. boosted their price objective on shares of Kinder Morgan from $34.00 to $36.00 and gave the company a “neutral” rating in a research report on Friday, September 4th. Zacks Research lowered shares of Kinder Morgan from a “strong-buy” rating to a “hold” rating in a research note on Tuesday, June 23rd. Finally, Stifel Nicolaus started coverage on Kinder Morgan in a report on Wednesday, September 9th. They set a “hold” rating and a $35.00 target price for the company. Eleven investment analysts have rated the stock with a Buy rating and eleven have issued a Hold rating to the company. According to data from MarketBeat.com, the company currently has a consensus rating of “Moderate Buy” and an average target price of $35.47.

Insider Buying and Selling

In other news, VP Michael Garthwaite sold 1,550 shares of the stock in a transaction dated Friday, October 16th. The shares were sold at an average price of $33.65, for a total transaction of $52,157.50. Following the completion of the transaction, the vice president directly owned 47,313 shares in the company, valued at $1,592,082.45. This represents a 3.17% decrease in their position. The transaction was disclosed in a filing with the SEC, 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 owned by company insiders.

Kinder Morgan Company Profile

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.