Dividends and pipeline juggernaut Kinder Morgan (KMI) go hand in hand. Born from the good remnants of defunct Enron, the firm pioneered and popularized the master limited partnership to help it expand and grow into an energy logistics behemoth. Along the way, KMI has managed to push plenty of the cash flows from its pipelines, terminals and other midstream assets back into the hands of its investors. And then things got weird. Not actually weird per se, but still a tad strange.
Kinder isn’t acting much like the KMI of old. Several recent moves by the firm are a tad bit puzzling and could potentially signal that cracks are starting to form in the largest midstream firm’s armor. While calling KMI a “loser” is still a bit of stretch, there plenty of concerns that investors need to be thinking about. So is Kinder Morgan and KMI a lost cause? Not exactly. The firm’s massive array of assets do throw off plenty of cash flows and its coverage ratio is basically 1 — meaning that cash flows cover its current payout. Going forward, however, things may not be as rosy for Kinder as planned. Being forced to use relatively expensive methods of raising cash defeats the whole purpose of swallowing its MLPs in the first place.
Source: InvestorPlace
Related Articles:
- 10 Fun Facts That You Might Not Know About Microsoft
- 5 Dividend Stocks To Beat The Wall Street Giants
- A Disciplined Approach To Dividend Growth Stocks
- 5 Low Beta, Higher Yielding Dividend Stocks For The Next Downturn
- 7 High-Yield REITs With Growing Dividends
Is Dividend Stalwart Kinder Morgan (KMI) Turning Into a Loser?
Posted by D4L | Thursday, November 26, 2015 | ArticleLinks | 0 comments »________________________________________________________________
Subscribe to:
Post Comments (Atom)
Dividend Growth Stocks News
~
Popular Posts Last 30 Days
-
If you're worried about inflation rearing its ugly head next year, you should probably worry about more likely catastrophes, such as bei...
-
As a relatively new blogger, the one thing that has stood out in my mind is the number of Canadian bloggers in the areas that I am most inte...
-
We screened our 24/7 Wall St. dividend equity research database and found 5 stocks that combined can generate over $3,000 of annual passive ...
-
The stock market has been on an upward path of late, with some of the most prominent stocks hitting astronomical highs. The dividend yield o...
-
Dividend growth stocks can be incredibly attractive investments if you crave recurring income. As these types of stocks raise their dividend...
-
Dividends can be a tremendously powerful part of your investing strategy. Not only can they give you a continuing source of cash to reinvest...
-
In my opinion, there are three criteria investors should consider when evaluating a particular stock for their portfolio. The first is histo...
-
The most dependable dividend stocks typically have a long track record of sustaining payouts through different market cycles. Companies with...
-
In this article, we discuss 5 best March dividend stocks to buy. If you want to read our detailed analysis of dividend capture strategy and ...
-
As the broader stock rally broadens to some of the more “boring” corners of the market, it’s the higher-yielding dividend plays that could s...
0 comments
Post a Comment
Post a Comment
Note: Only a member of this blog may post a comment.