From Nasdaq: 2025-01-28 21:23:00

Kinder Morgan (NYSE: KMI) reported strong Q4 results, with a notable increase in project backlog due to rising natural gas demand for LNG exports, power plants, and AI. The company’s backlog grew by 60% to $8.1 billion, with a focus on natural gas projects. EBITDA multiples for these projects are expected to be 5.8 times, providing solid returns. Kinder Morgan also secured key natural gas projects and foresees a 28 BCF/day increase in U.S. natural gas demand by 2030.

Adjusted EPS rose 14% to $0.32, slightly below expectations, while adjusted EBITDA increased 7% to $2.06 billion. The company declared a dividend increase of 2% and forecasts a 4% rise in adjusted EBITDA for 2025. Kinder Morgan plans to boost growth capex to $2.5 billion annually.

Overall, Kinder Morgan’s strong project backlog and growth opportunities in the natural gas sector make it an attractive investment. With a solid position in LNG exports and AI data centers, the company’s valuation at an EV-to-EBITDA ratio of over 11 times indicates potential for growth. Consider Kinder Morgan for a long-term investment strategy.



Read more at Nasdaq: Artificial Intelligence (AI) and More Give Kinder Morgan a Robust Backlog. Is the Stock a Buy?