Key Considerations Before Investing in KMI Stock

By Ken Smith • Friday, September 06 15:08 • Permanent Link

Large-cap Utilities company Kinder Morgan has moved -1.8% so far today on a volume of 7,095,990, compared to its average of 14,242,803. In contrast, the S&P 500 index moved -2.0%.

Kinder Morgan trades -5.36% away from its average analyst target price of $22.29 per share. The 14 analysts following the stock have set target prices ranging from $19.0 to $24.0, and on average have given Kinder Morgan a rating of buy.

Anyone interested in buying KMI should be aware of the facts below:

Kinder Morgan's current price is 17.3% above its Graham number of $17.99, which implies that at its current valuation it does not offer a margin of safety
Kinder Morgan has moved 27.9% over the last year, and the S&P 500 logged a change of 23.5%
Based on its trailing earnings per share of 1.09, Kinder Morgan has a trailing 12 month Price to Earnings (P/E) ratio of 19.4 while the S&P 500 average is 28.21
KMI has a forward P/E ratio of 16.7 based on its forward 12 month price to earnings (EPS) of $1.26 per share
The company has a price to earnings growth (PEG) ratio of 2.31 — a number near or below 1 signifying that Kinder Morgan is fairly valued compared to its estimated growth potential
Its Price to Book (P/B) ratio is 1.54 compared to its sector average of 2.25
Kinder Morgan, Inc. operates as an energy infrastructure company primarily in North America.
Based in Houston, the company has 10,891 full time employees and a market cap of $46.82 Billion. Kinder Morgan currently returns an annual dividend yield of 5.3%.

The above analysis is intended for educational purposes only and was performed on the basis of publicly available data. It is not to be construed as a recommendation to buy or sell any security. Any buy, sell, or other recommendations mentioned in the article are direct quotations of consensus recommendations from the analysts covering the stock, and do not represent the opinions of Market Inference or its writers. Past performance, accounting data, and inferences about market position and corporate valuation are not reliable indicators of future price movements. Market Inference does not provide financial advice. Investors should conduct their own review and analysis of any company of interest before making an investment decision.