In the latest close session, Kinder Morgan (KMI) was down 1.17% at $27.80. This change lagged the S&P 500's 0.61% gain on the day. Meanwhile, the Dow gained 0.49%, and the Nasdaq, a tech-heavy index, added 0.95%.
Heading into today, shares of the oil and natural gas pipeline and storage company had gained 2.74% over the past month, lagging the Oils-Energy sector's gain of 5.17% and the S&P 500's gain of 3.85%.
Market participants will be closely following the financial results of Kinder Morgan in its upcoming release. The company's earnings per share (EPS) are projected to be $0.27, reflecting a 8% increase from the same quarter last year. Alongside, our most recent consensus estimate is anticipating revenue of $3.88 billion, indicating a 8.69% upward movement from the same quarter last year.
Regarding the entire year, the Zacks Consensus Estimates forecast earnings of $1.26 per share and revenue of $16.52 billion, indicating changes of +9.57% and +9.37%, respectively, compared to the previous year.
It is also important to note the recent changes to analyst estimates for Kinder Morgan. These revisions help to show the ever-changing nature of near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has remained steady. Kinder Morgan is currently sporting a Zacks Rank of #3 (Hold).
Investors should also note Kinder Morgan's current valuation metrics, including its Forward P/E ratio of 22.29. This indicates a premium in contrast to its industry's Forward P/E of 16.68.
It is also worth noting that KMI currently has a PEG ratio of 3.09. The PEG ratio is akin to the commonly utilized P/E ratio, but this measure also incorporates the company's anticipated earnings growth rate. The Oil and Gas - Production and Pipelines was holding an average PEG ratio of 2.63 at yesterday's closing price.
The Oil and Gas - Production and Pipelines industry is part of the Oils-Energy sector. At present, this industry carries a Zacks Industry Rank of 36, placing it within the top 15% of over 250 industries.
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.
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
Kinder Morgan, Inc. (KMI): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
Zacks Investment Research
