Hi Bob! Interesting your post about Natural Gas and Data centers in the Big Dog thread.
Gas pipelines are hot! Here in Kenya, we can connect data centers to readily available 90% renewable energy, but in the US it is tough. Your data center site needs to be served by a gas pipeline to generate on-site electricity.
Pipeline Firms are in Talks With Data Centers About Gas Supply
Companies Running Data Centers. , They Want to Ensure Gas Will Be Available — and Quickly Obtainable — When They Need It.
Williams Cos. CEO, Alan Armstrong, said on a call with analysts this week. “We, frankly, are kind of overwhelmed with the number of requests that we’re dealing with, and we are trying to make sense of those projects,”
https://www.ttnews.com/articles/pipeline-data-centers-gas
Kinder Morgan, Inc. (NYSE: KMI)Number of Hedge Fund Holders: 41
Duquesne Capital's Stake: $134,185,000
Kinder Morgan, Inc. (NYSE:KMI) operates as an energy infrastructure company primarily in North America. Many investors are focusing on the nuclear aspect of AI data center power needs.
However, natural gas is also expected to play an important role in the generation of new electricity that is needed for data centers of the future.
The company has a solid financial profile with an impressive dividend history. The firm is in prime position to capitalize on the AI data center boom as it controls more than 66,000 miles of natural gas pipelines that move 40% of the natural gas throughout the United States.
Last month, Argus analyst Bill Selesky upgraded Kinder Morgan, Inc. (NYSE:KMI) stock to Buy from Hold with a $24 price target. In an investor note, the analyst detailed that the Q2 EPS growth of the firm reflected increased earnings results from the Natural Gas Pipelines, Products Pipelines, and Terminals segments.
He further added that the company was positioned for accelerating growth in the near term as demand for natural gas continued to increase in consumer, commercial, manufacturing and industrial applications.
Overall KMI ranks 8th on our list of stocks Billionaire Stan Druckenmiller is betting on. While we acknowledge the potential of KMI as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns, and doing so within a shorter timeframe.
If you are looking for an AI stock that is more promising than KMI but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock. |
