Citi Lifts Kinetik Holdings (KNTK) Target Following Earnings Beat and Positive Outlook

Kinetik Holdings Inc. (NYSE:KNTK) is included among the 14 Best Dividend Stocks to Invest in Under $50.

On March 2, Citi raised its price recommendation on Kinetik Holdings Inc. (NYSE:KNTK) to $51 from $46. It reiterated a Buy rating on the stock. The firm pointed to the company’s recent earnings beat and what it described as a “constructive” growth outlook when explaining the higher target.

During the company’s Q4 2025 earnings call, President and CEO Jamie Welch said Kings Landing had been running at a very high level. The facility achieved a 99.8% run time. He added that ethane recoveries remained strong and that operations stayed reliable even during the recent Winter Storm Fern. Welch also said construction on the ECCC Pipeline was moving forward as expected. The project remains on schedule and is set for completion next quarter.

He also noted that the company reached a final investment decision on its first behind-the-meter gas-fired power generation project at Diamond Cryo. The project will include a 40-megawatt gas turbine. It is expected to begin service in late 2026 and should require less than $25 million in capital. Welch also highlighted updated gas gathering and processing agreements with the company’s two largest legacy Durango Midstream customers. He explained that the amended contracts now run into the mid-2030s. The new terms rely on fixed-fee structures, which improve visibility into long-term cash flows.

Kinetik Holdings Inc. (NYSE:KNTK) operates as an integrated Permian-to-Gulf Coast midstream company with a presence in the Delaware Basin. The company provides gathering, transportation, compression, processing, and treating services for producers of natural gas, natural gas liquids, crude oil, and water.

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