Kinder Morgan Inc.
Kinder Morgan Energy Partners LP
) released its preliminary 2014 estimates.
EL PASO PIPELIN (EPB): Free Stock Analysis
KINDER MORGAN (KMI): Free Stock Analysis
KINDER MORG ENG (KMP): Free Stock Analysis
SM ENERGY CO (SM): Free Stock Analysis Report
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Per the estimates, strong growth is expected throughout the
Kinder Morgan family of companies, wherein $14.4 billion worth of
projects have been identified in expansion and joint venture
Kinder Morgan Inc. is likely to declare dividends of $1.72 per
share for 2014, up about 10% from its 2013 budget target of $1.57
per share and about 8% from the $1.60 per share dividends it
expects to declare for 2013.
The continued strong performance at Kinder Morgan Energy Partners
and contributions from
El Paso Pipeline Partners, L.P.
) are likely to be the primary growth drivers at Kinder Morgan
Inc. Partial dampeners would be the loss of income from 2013 and
anticipated dropdowns of certain assets to KMP and EPB in 2014.
The assets expected to be dropped down by Kinder Morgan Inc.
include interests of 50% in Ruby Pipeline, 50% in Gulf LNG and
47.5% in Young Gas Storage to EPB during 2014. The dropdowns are
subject to appropriate board approvals.
Kinder Morgan Energy Partners is expected to distribute cash of
$5.58 per unit in 2014, up about 6% from its 2013 budget target
of $5.28 per unit and about 5% from its current expectation of
During 2014, Kinder Morgan Energy Partners is expected to
generate about $6.4 billion in business segment earnings before
DD&A, an increase of around $750 million over the 2013
forecast. The partnership also intends to distribute over $2.5
billion to its limited partners and invest around $3.6 billion in
expansion and small acquisitions.
Both Kinder Morgan Inc. and Kinder Morgan Energy Partners carry a
Zacks Rank #3 (Hold). A better-ranked stock in the oil and gas
SM Energy Company
), which holds a Zacks Rank #1 (Strong Buy).