Kinder Morgan (KMI) ended the recent trading session at $27.38, demonstrating a +1.71% change from the preceding day's closing price. The stock's change was more than the S&P 500's daily loss of 0.19%. Meanwhile, the Dow experienced a drop of 0.8%, and the technology-dominated Nasdaq saw a decrease of 0.1%.
The oil and natural gas pipeline and storage company's shares have seen an increase of 0.75% over the last month, surpassing the Oils-Energy sector's gain of 0.24% and falling behind the S&P 500's gain of 2.26%.
The investment community will be closely monitoring the performance of Kinder Morgan in its forthcoming earnings report. The company is forecasted to report an EPS of $0.36, showcasing a 12.5% upward movement from the corresponding quarter of the prior year. In the meantime, our current consensus estimate forecasts the revenue to be $4.42 billion, indicating a 10.91% growth compared to the corresponding quarter of the prior year.
Regarding the entire year, the Zacks Consensus Estimates forecast earnings of $1.28 per share and revenue of $16.85 billion, indicating changes of +11.3% and 0%, respectively, compared to the previous year.
Investors should also pay attention to any latest changes in analyst estimates for Kinder Morgan. Such recent modifications usually signify the changing landscape of near-term business trends. Consequently, upward revisions in estimates express analysts' positivity towards the business operations and its ability to generate profits.
Our research shows that these estimate changes are directly correlated with near-term stock prices. To utilize this, we have created the Zacks Rank, a proprietary model that integrates these estimate changes and provides a functional rating system.
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. The Zacks Consensus EPS estimate has moved 2.65% higher within the past month. Kinder Morgan is holding a Zacks Rank of #3 (Hold) right now.
With respect to valuation, Kinder Morgan is currently being traded at a Forward P/E ratio of 19.89. This valuation marks a premium compared to its industry average Forward P/E of 15.73.
One should further note that KMI currently holds a PEG ratio of 2.22. Comparable to the widely accepted P/E ratio, the PEG ratio also accounts for the company's projected earnings growth. The Oil and Gas - Production and Pipelines industry currently had an average PEG ratio of 1.47 as of yesterday's close.
The Oil and Gas - Production and Pipelines industry is part of the Oils-Energy sector. With its current Zacks Industry Rank of 46, this industry ranks in the top 19% of all industries, numbering over 250.
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.
Remember to apply Zacks.com to follow these and more stock-moving metrics during the upcoming trading sessions.
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Kinder Morgan, Inc. (KMI): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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