Kinder Morgan’s Market Performance in Line with Midstream Sector
Kinder Morgan to Release 2Q15 Earnings July 16: What to Expect?
Market performance
Kinder Morgan (KMI) is expected to release its 2Q15 earnings on July 16, 2015. In this series, we’ll talk about KMI’s 2Q estimates, its exposure to commodity prices, each segment’s contribution to 2Q earnings, dividend guidance, and analyst recommendations for KMI. But first, let’s analyze KMI’s recent market performance.
Kinder Morgan has generated a total return of -3.2% since the start of this year. Over the same time, KMI peers Williams Companies (WMB) and Spectra Energy Corp (SE) have returned ~11.0% and -7.1%, respectively. The United States Oil Fund, LP (USO) has gained 2.0% since the beginning of 2015. USO tracks movements in WTI (West Texas Intermediate) crude oil prices.
KMI’s MLP counterparts Energy Transfer Partners (ETP), Sunoco Logistics Partners (SXL), and Enterprise Products Partners (EPD) returned -10.5%, -6.3%, and -10.0%, respectively, during the same time frame. ETP, SXL, and EPD together constitute ~22.4% of the Alerian MLP ETF (AMLP).
About Kinder Morgan
Kinder Morgan became the largest midstream energy company in the United States after its consolidation with Kinder Morgan Partners, EL Paso Pipeline Partners, and Kinder Morgan Management in late 2014.
As a midstream company, KMI owns and operates approximately 84,000 miles of pipelines and 165 terminals. Its pipelines transport natural gas, refined petroleum products, crude oil, and CO2 (carbon dioxide). Its terminals help store and handle a variety of products and materials such as gasoline, jet fuel, ethanol, coal, petroleum coke, and steel. Apart from this, KMI is also involved in CO2-based enhanced crude oil recovery (or EOR). KMI consists of the following five business segments:
Natural Gas Pipelines
CO2
Products Pipelines
Terminals
Kinder Morgan Canada
In the next article, we’ll take a look at KMI’s 2Q15 revenue estimates.
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