Houston, Texas-based Kinder Morgan, Inc. (KMI) is an energy infrastructure company that serves as a critical midstream provider of natural gas, refined petroleum products, crude oil, carbon dioxide, and more. Valued at a market cap of $64.2 billion, the company plays a vital role in ensuring the safe, efficient, and reliable transportation and storage of energy across vast distances in North America. It is scheduled to announce its fiscal Q2 earnings for 2025 on Wednesday, Jul. 16.
Ahead of this event, analysts expect this energy infrastructure company to report a profit of $0.27 per share, up 8% from $0.25 per share in the year-ago quarter. The company has missed Wall Street’s earnings estimates in three of the last four quarters, while meeting or surpassing on another occasion. In Q1, KMI’s EPS of $0.34 fell short of the forecasted figure by 2.9%.
For fiscal 2025, analysts expect KMI to report a profit of $1.26 per share, up 9.6% from $1.15 per share in fiscal 2024. Its EPS is expected to further grow 7.9% year-over-year to $1.36 in fiscal 2026.
Kinder Morgan has rallied 46.4% over the past 52 weeks, considerably outpacing both the S&P 500 Index's ($SPX) 12.1% rise, and the Energy Select Sector SPDR Fund’s (XLE) 5.3% downtick over the same time frame.
On Apr. 16, shares of KMI plunged 1% after its Q1 earnings release. Due to a favorable natural gas landscape, reflected by record Q1 U.S. demand, the company’s revenue grew 10.4% year-over-year to $4.2 billion. Furthermore, its project backlog also reflects this strong natural gas demand. It grew to $8.8 billion at the end of Q1 2025, up from $8.1 billion in the previous quarter, with approximately 91% of the backlog tied to natural gas projects. However, on the downside, its adjusted EPS of $0.34 remained flat compared to the year-ago quarter and missed the consensus estimates by a penny. This earnings miss might have dampened investor confidence.
Wall Street analysts are moderately optimistic about KMI’s stock, with a "Moderate Buy" rating overall. Among 17 analysts covering the stock, seven recommend "Strong Buy," one suggests a “Moderate Buy,” and nine indicate “Hold.” The mean price target for KMI is $31.40, which indicates an 8.7% potential upside from the current levels.
