To: Johnny Canuck who wrote (64704 ) 7/23/2025 3:39:54 AM From: Johnny Canuck Read Replies (1) | Respond to Buy Kinder Morgan Stock. Natural Gas and AI Are a Potent Combination. barrons.com “Buy Kinder Morgan Stock. Natural Gas and AI Are a Potent Combination.” MarketWatch+7Barron's+7Barron's+7 : Rising demand driven by LNG exports and expanding data-center/AI growth is benefiting pipeline operators like Kinder Morgan. Barron’s notes that natural gas is having a moment , making Kinder Morgan a strategic pick for investors. Barron's+5Barron's+5Reuters+5 Finviz ?? 2. Strategic Infrastructure in Prime Locations Kinder Morgan's existing pipelines, especially in Texas and Arizona , align with booming data-center hubs. The company enjoys a monopoly-like presence —its size and regional footprint are not easily replicated. Barron's+1Investors+1 ??? 3. Supportive Policy Environment The current U.S. administration has reversed LNG export permit restrictions , facilitating infrastructure expansion. Despite U.S.–China trade tensions, global LNG demand remains strong , particularly in Europe and Asia. Barron's+1Reuters+1 ?? 4. Solid Financials Analysts expect EPS growth >10% in 2025 , targeting roughly $1.27 per share . Kinder Morgan operates primarily on fee-based contracts , limiting its exposure to commodity price swings (around 5% EBITDA exposure). It maintains a strong balance sheet able to fund $3.2?billion capex and $2.6?billion in dividends . MarketWatch+6Barron's+6Reuters+6 ?? 5. Attractive Yield & Valuation The stock currently yields ~4.1% , supported by consistent cash flow and dividends. Barron’s points out that Kinder Morgan is reasonably priced and trading favorably compared to its January highs. Reuters+5Barron's+5MarketWatch+5 ?? 6. Analyst Support & Price Targets Analysts have lifted price targets to around $32 as 2025 growth expectations increase. Consensus calls Kinder Morgan a “Buy” in the midstream energy space. Barron's+1Finviz+1 ??? 7. Macro Risks, But Well-Positioned Barron’s acknowledges tariffs and policy uncertainty could affect the broader energy sector but suggests Kinder Morgan is largely insulated due to its fee-based model and diversified demand sources. Barron's+1Reuters+1 ??? Summary Table Demand drivers LNG export growth + AI/data centers Infrastructure advantage Monopoly-like reach in key regions Policy tailwind LNG permit relaxations, global demand Financial strength >10% EPS growth, solid cash flow, ~4.1% yield Market sentiment Strong analyst support, $32 target Risk profile Stable contracts, limited commodity exposure
Bottom line: growing natural-gas demand , significantly amplified by the expansion of AI and data-center infrastructure . With robust financials, supportive policy, and a compelling dividend, analysts are bullish—though macro risks remain on the radar.
