Kinder Morgan (NYSE: KMI): Jefferies Maintains Hold Amidst Stable Cash Flows and Growth Prospects

Font: Financial Modeling Prep  • Sep 17, 2026

• Jefferies maintained a "Hold" rating for Kinder Morgan, lowering its price target to $33.00 from $35.00, though still above the stock's price of $31.31.
• Kinder Morgan's financial model exhibits strong stability, with 96% of cash flows secured by fee-based or hedged "take-or-pay" contracts.
• The company is poised for growth, driven by increasing natural gas demand from AI data centers, projecting a 13.79% year-over-year increase in EPS to $0.33.

Kinder Morgan (NYSE: KMI) is a major energy infrastructure company in North America. It operates an extensive network of pipelines and terminals for transporting and storing natural gas, crude oil, and other products. With a market capitalization of approximately $69.72 billion, Kinder Morgan is a significant player in the midstream sector, competing with firms like MPLX LP and The Williams Companies, Inc.

On September 17, 2026, the analyst firm Jefferies maintained its Hold rating for Kinder Morgan. A "Hold" rating suggests that analysts believe the stock is likely to perform in line with the market. It advises current shareholders to neither buy additional shares nor sell their existing ones at the current price.

Alongside the rating, Jefferies lowered its price target for Kinder Morgan to $33.00 from a previous target of $35.00. A price target represents an analyst's estimate of a stock's future value. While the target was reduced, it remained above the stock's price of $31.31 at the time the rating was published.

The company's financial model provides stability, which may support the Hold rating. About 96% of Kinder Morgan's cash flows are secured through fee-based or hedged contracts. Many of these are "take-or-pay" agreements, which require customers to pay for reserved pipeline capacity whether they use it or not, ensuring consistent revenue for Kinder Morgan.

This stability is important amid market volatility caused by global conflicts, as highlighted by Zacks Investment Research. Furthermore, Kinder Morgan is positioned for growth from increasing natural gas demand, partly driven by the buildout of AI data centers. The company projects a 13.79% year-over-year increase in earnings per share (EPS) to $0.33 in its upcoming report.