In a recent transaction, Amy W. Chronis, a director at Kinder Morgan , Inc. (NYSE:KMI), purchased 2,241 shares of the company's Class P Common Stock. The shares were bought on November 5 at a weighted average price of $24.895 per share, amounting to a total transaction value of $55,789. Following this acquisition, Chronis holds a total of 23,995 shares directly in the company.
This purchase was executed through multiple transactions, with prices ranging from $24.888 to $24.8962 per share. Chronis has committed to providing detailed information about the number of shares bought at each specific price, if requested by the SEC, the issuer, or any security holder of the issuer.
In other recent news, Kinder Morgan has seen a series of target price upgrades from various analysts. Citi raised the target to $25, maintaining a neutral stance, while RBC Capital Markets increased it to $26, keeping a Sector Perform rating. Goldman Sachs also raised its target to $26, maintaining a Conviction Buy rating. CFRA, on the other hand, increased the target to $28, keeping a Buy rating, and BofA Securities initiated coverage with a Buy rating and a $27 target.
These upgrades come in light of recent developments, including a 2% year-over-year increase in EBITDA, stable earnings per share, and the announcement of a $3 billion South System Expansion 4 Project, which signals anticipated growth in natural gas demand. The company's board also declared a quarterly dividend of $0.2875 per share, marking a 2% increase from the previous year.
Despite a slight miss in the third quarter and a downward revision of the full-year 2024 guidance, these developments are seen as positive for Kinder Morgan's future. The company is preparing for a 25 Bcf per day market growth over the next five years, driven by LNG exports, electric generation, and exports to Mexico. Despite the halt of the Cumberland project due to a U.S. court decision, Kinder Morgan is positioned to navigate regulatory hurdles, demonstrating its commitment to growth.
InvestingPro Insights
Amy W. Chronis's recent purchase of Kinder Morgan shares aligns with several positive indicators highlighted by InvestingPro. The company's stock has shown strong performance, with a 67.32% total return over the past year and a 45.17% return in the last six months. This upward trend is further supported by the stock trading near its 52-week high, with its current price at 99.06% of that peak.
InvestingPro Tips reveal that Kinder Morgan has maintained dividend payments for 14 consecutive years and has raised its dividend for 7 consecutive years. This consistent dividend policy may have influenced Chronis's decision to increase her stake in the company. The current dividend yield stands at an attractive 4.36%, which could be appealing to income-focused investors.
While the company's P/E ratio of 23.26 is relatively high compared to its near-term earnings growth, Kinder Morgan's profitability over the last twelve months and analysts' predictions of continued profitability this year suggest a stable financial position. The company's market capitalization of $58.74 billion USD indicates its significant presence in the energy infrastructure sector.
For investors seeking a more comprehensive analysis, InvestingPro offers 13 additional tips for Kinder Morgan, providing a deeper understanding of the company's financial health and market position.
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