Kinder Morgan reported Q1 2024 adjusted earnings per share of 34 cents, beating estimates, with increased contributions from its Natural Gas Pipelines, Products Pipelines, and Terminals business segments. The company also announced a 2% dividend hike. Despite missing revenue estimates, the company's strong quarterly performance was driven by reduced costs and expenses. Kinder Morgan projects a 15% increase in net income for 2024 and aims for 8% growth in distributable cash flow and adjusted EBITDA.
Three stocks that could potentially boost their dividends soon are Target, Realty Income, and Kinder Morgan. Target, a Dividend King, has been making a comeback and is expected to maintain its streak of dividend raises. Realty Income, a real estate investment trust, has a monthly payout and a long history of quarterly dividend increases. Kinder Morgan has indicated a likely modest increase in its dividend based on its expected distributable cash flow growth, focusing on sustainable cash flows to its shareholders.
Three potential dividend-boosting stocks to consider are Target, Realty Income, and Kinder Morgan. Target, a Dividend King, has shown signs of recovery and potential for maintaining its streak of dividend raises. Realty Income, a real estate investment trust, has a strong track record of increasing dividends every quarter and operates in resilient industries. Kinder Morgan has indicated a likely modest dividend increase based on its expected distributable cash flow growth, focusing on sustainable cash flows and a reasonable balance sheet. Investors looking for dividend growth opportunities may find these stocks appealing.
The recent bull market has left behind some stocks that may be worth buying, including Pfizer, Confluent, and Kinder Morgan. Pfizer, despite a decline in COVID-related revenues, still has a solid lineup of blockbuster drugs and a robust pipeline, making it a potential bargain with a forward P/E barely over 12 and a high dividend yield. Confluent, a leader in data streaming, experienced a stock price drop due to market overreaction, but its growth story remains intact with strong customer growth and improving margins. Kinder Morgan, a pipeline company, has solid prospects for decades to come, yet its shares look cheap enough to be worth considering at the moment.
Kinder Morgan maintains a positive outlook on natural gas demand, citing increased demand from LNG export facilities and exports to Mexico. Despite weakness in its natural gas pipeline operations, the company sees a bright future for U.S. natural gas and anticipates new projects driven by rising demand. With a significant project backlog associated with natural gas, Kinder Morgan aims to expand its capacity and bring more natural gas supply into the southeast market.
Kinder Morgan, a US pipeline operator, has announced its acquisition of NextEra Energy Partners' gas pipelines in South Texas for $1.82 billion. The deal comes as the oil and gas pipeline industry experiences increased consolidation due to growing US production and challenges in obtaining permits for new pipelines. NextEra Energy Partners' Texas natural gas pipeline portfolio, STX Midstream, consists of seven pipelines that supply natural gas to Mexico, power producers, and municipalities in South Texas. The transaction is expected to be funded with cash on hand and short-term borrowings and is set to close in the first quarter of 2024.
Clearway Energy, Crown Castle, and Kinder Morgan are three dividend stocks that offer yields above 6% and have a track record of steady dividend growth. Clearway Energy, one of the largest renewable energy producers in the US, expects to grow its dividend in the upper end of its 5% to 8% annual target range through 2026. Crown Castle, a REIT focused on telecommunications infrastructure, benefits from strong and growing demand driven by 5G technology. Kinder Morgan, a pipeline company, generates durable cash flows and has a portfolio of expansion projects that should support future dividend increases. These stocks provide investors with the opportunity to lock in attractive and growing passive income streams.
Chevron has evacuated staff from three Gulf of Mexico oil production platforms, while Kinder Morgan plans to shut down a petroleum pipeline as Hurricane Idalia strengthens over the Gulf of Mexico. The storm is expected to hit Florida's Gulf Coast on Wednesday, prompting evacuations in low-lying coastal areas. Chevron's Blind Faith and Petronius platforms have had non-essential personnel withdrawn, and all staff has been removed from the Genesis platform. Kinder Morgan has shut down several terminals and plans to close its Tampa refined products terminal and Central Florida Pipeline System.
Energy Transfer and Kinder Morgan are two high-yield dividend stocks in the oil and gas sector that are worth considering. Energy Transfer, a midstream company, offers a nearly 10% yield and has a strong financial footing, making its dividend appear safe. Kinder Morgan, another midstream company, has a dividend yield of 6.8% and is poised for growth due to rising American natural gas exports. Both stocks have attractive valuations and potential for investment returns.
The author plans to buy dividend stocks in July to grow their passive investment income. Enbridge, Energy Transfer, and Kinder Morgan are their top picks. Enbridge offers an attractive yield and visible growth with a massive expansion project backlog. Energy Transfer has a generous yield and a strong financial profile, allowing it to invest in new projects and acquisitions. Kinder Morgan has an already high-yielding dividend and ample financial flexibility for growth. All three companies are expected to continue growing their dividends while expanding their energy infrastructure operations.
