Weekly Wrap-Up: Kinder Morgan Fell Marginally Last Week



KMI’s performance last week

Kinder Morgan (KMI) stock fell 0.3% in the week that ended on June 8. In comparison, peers Enterprise Products Partners (EPD) and ONEOK (OKE) fell 0.5% and 0.1%, respectively, in the week.

The Energy Select Sector SPDR ETF (XLE) rose 0.7% during the week. Crude oil closed relatively flat in the week. Learn about the factors driving crude oil prices in These Catalysts Could Increase the Downside Momentum in Oil.

Kinder Morgan is trading 5% above its 50-day moving average and 3% below its 200-day moving average. KMI’s 200-day average may act as a resistance for the stock in the near term.

Learn what institutional investors are doing with their KMI holdings in Gauging Institutional Investors’ Interest in Kinder Morgan.

Analysts’ recommendations

Of the analysts covering Kinder Morgan, 64% have called it a “buy,” and 36% have called it a “hold.” Kinder Morgan offers an upside potential of 22% based on its median price target of $20.50. The stock is currently trading at $16.85.

Of the analysts surveyed by Reuters, 30% have rated Kinder Morgan Canada Limited (KML.TO) as a “buy,” 60% have rated it as a “hold,” and 10% have rated it as a “sell.” The median target price for the stock is 17 Canadian dollars. Currently, its shares are trading at 16.17 Canadian dollars. The median target price implies an upside of 5% from Kinder Morgan Canada’s current price over the next year.

On May 30, the National Bank of Canada cut its price target for Kinder Morgan Canada from 19 Canadian dollars to 17 Canadian dollars. On the same day, CIBC cut its price target on Kinder Morgan Canada from 22 Canadian dollars to 17 Canadian dollars.

Next, let’s take a look at Kinder Morgan’s current valuation to see if it’s attractive.

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