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KMP
Kinder Morgan Energy Partners L.P - NYSE

4/18/2014, 6:55 PM ET
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  • Kinder Morgan Energy Partners: Why Not Consider This Outstanding Wealth Building Machine?
    Achilles Research Today, 12:06 AM 32 Comments

    Summary

    • Income investors should not look at MLP earnings, but rather cash flow.
    • Kinder Morgan Energy Partners presented respectable y-o-y distributable cash flow growth.
    • KMP remains a top long-term wealth building vehicle benefiting from both organic growth and acquisitions.
  • Kinder Morgan Inc.: A Return To Dividend Growth
    Albert Alfonso Yesterday, 7:29 AM 20 Comments

    Summary

    • Kinder Morgan posts its best dividend coverage ratio since 2012.
    • Guidance for the year is unchanged, with a projected dividend growth rate of 8%.
    • Quarterly dividend was increased by a penny to $0.42.
    • At current prices, Kinder Morgan yield 5.0%.
  • Kinder Morgan Energy Partners: Enjoy Continued Growth
    Seeking Profits Yesterday, 4:43 AM 19 Comments

    Summary

    • KMP increased its distribution by $0.02 from last quarter.
    • DCF per unit came in a robust $1.55 thanks to strong natural gas transportation.
    • With a $14.9 billion backlog, KMP has room to grow its distribution for years.
  • Kinder Morgan Energy Partners: Do Not, Ever, Underestimate The Distribution Yield
    Achilles Research Tue, Apr. 15 51 Comments

    Summary

    • Kinder Morgan Energy Partners' distribution yield accounts for 70% or more of returns that investors can reasonably expect from equities in the long-run.
    • Kinder Morgan Energy Partners investment valuable in times of market volatility.
    • Pipeline company gives extraordinary exposure to business and distribution growth.
  • The Kinder Morgan Conundrums--Part I
    Arthur Paullin Mon, Apr. 14 103 Comments

    Summary

    • Most investors believe KMP's IDR with KMI are responsible for KMP not keeping pace with the market. If true what can be done about it?
    • Many investors, confused by the differences between Limited Partnerships and Limited Liability Companies, arrive at solutions to KM problems that are unattainable and make poor investment decisions.
    • KMR was organized for a very specific purpose but another valuable benefit came out of it.
  • Kinder Morgan Partners Capitalizing On Increased Demand For Midstream Services
    Balanced Investing Sun, Apr. 13 44 Comments

    Summary

    • The construction of the Lobos Pipeline will help the company to meet the growing demand of CO2 and enable the Permian producers to improve oil production.
    • KMCC (Crude and Condensate) pipeline is well positioned to maximize on the benefits from the Eagle Ford shale by expanding the pipeline.
    • The conversion of the Tennessee pipeline project is on track to transport NGLs from the Marcellus and Utica shales to the Gulf Coast.
    • KMP has identified several opportunities to expand the already huge network of pipelines and has allocated investment proceeds of about $13.5 billion.
  • Is Kinder Morgan Too Large To Restructure?
    Albert Alfonso Fri, Apr. 11 41 Comments

    Summary

    • A recent report from Credit Suisse suggested that Kinder Morgan Energy Partners should buyout or merge with its General Partner Kinder Morgan Inc.
    • The rationale behind this move is to eliminate IDR payments, which increase the partnership’s cost of capital and has held down its valuation.
    • However, any such transaction would be extremely expensive and would dilute current unitholders.
    • In addition, there would be complications resulting from Kinder Morgan Inc’s various holdings, including its stake in El Paso and other legacy assets.
  • Kinder Morgan Energy Partners: I Will Not Stop Buying
    Achilles Research Wed, Apr. 9 60 Comments

    Summary

    • Kinder Morgan Energy Partners is a first-class income vehicle.
    • The recent consolidation offers an attractive entry point for long-term investors.
    • Entry- and peer group leading yield of over 7% makes this MLP a Strong BUY.
  • Kinder Morgan: A Merger Is Very Much A Possibility
    Albert Alfonso Mon, Apr. 7 61 Comments

    Summary

    • Unlike what is suggested in a recent SA article, Kinder Morgan Energy Partners may very well merge with its in general partner.
    • When asked a few months ago about a possible merger, Kinder Morgan specifically did not reject the notion of a merger.
    • Instead, the company noted that it would consider its options if returns become lackluster.
    • While any such merger would be expensive, it would also allow the company to trade more inline with its sector peers.
  • A Kinder Morgan Merger Is Not Feasible
    Seeking Profits Mon, Apr. 7 42 Comments

    Summary

    • Credit Suisse suggests there could be a way to merge KMI and KMP to benefit all holders.
    • KMP could offer KMI a 44-47% stake for its IDRs, which is worth up to $27 billion.
    • Any deal that works for KMP would be at a discount to KMI's enterprise value, making it financially impractical.
  • Kinder Morgan: Is It Time For A Merger?
    Albert Alfonso Fri, Apr. 4 88 Comments

    Summary

    • A Credit Suisse analyst recently came out with a note suggesting that Kinder Morgan Energy Partners and Kinder Morgan Inc should reorganize their corporate structure in order to eliminate IDR.
    • Depending on the method used, this move would greatly simplify the overall structure of Kinder Morgan as well as remove the IDR payment overhang.
    • However, any such transaction may result in the issuing of large amounts of Kinder Morgan Energy Partner units and may come under pressure from shareholders of both companies.
  • Kinder Morgan: Who Said That The Growth Story Is Dead?
    Albert Alfonso Mon, Mar. 31 36 Comments

    Summary

    • Kinder Morgan Energy Partners announces plans to build a 213-mile, 16-inch diameter CO2 pipeline.
    • The pipeline will serve to support current and future EOR projects owned by Kinder Morgan and other operators in the Permian Basin.
    • Total costs are expected to be around $1.0 billion, of which $300 million are for the pipeline and $700 million is for the drilling of wells and other infrastructure.
    • Kinder Morgan has recently reaffirmed its financial expectations for 2014.
    • However, a recent Bloomberg article cast doubts on MLPs as growth vehicles.
  • Has The Market Priced Too Much Risk Into Kinder Morgan Energy Partners?
    MLPData Fri, Mar. 28 43 Comments

    Summary

    • Bad news and slower growth prospects have pushed KMP's yield up to 7.4%.
    • Compared to peer MLP yield and growth rates, KMP is 10% to 15% undervalued.
    • The lower KMP unit price can affect the net cash flow results of new capex products due to a higher number of shares sold to raise capital.
  • Kinder Morgan: An Undervalued Stock With High Growth Potential
    Gemstone Equity Research Tue, Mar. 25 37 Comments

    Summary

    • Kinder Morgan Energy Partners LP recently reassured investors that it would reach or possibly go beyond its FY 2014 financial expectations.
    • The company’s strategic moves will aid in taking advantage of the solid tailwinds from an enduring boom in domestic oil and gas production.
    • Despite its future prospects, the stock is currently undervalued with a P/E ratio of 19.54 times compared to the industry average of 22.46 times.
  • Kinder Morgan: Bloomberg Is Too Bearish On MLPs
    Seeking Profits Mon, Mar. 17 62 Comments

    Summary

    • Bloomberg has issued a negative report on MLPs, highlighting concerns of a bubble.
    • High retail ownership is not necessarily problematic.
    • MLPs will profit from growing US production and have sustainable distributions.
    • With a solid distribution, KMP is a buy at current levels.
  • Ukraine Tensions Make This Megatrend Company Stronger
    Efficient Alpha Mon, Mar. 17 22 Comments

    Summary

    • Infrastructure for energy transportation has lagged production leading to transport through the more costly rail option and driving demand for pipeline growth for years to come.
    • A tax-advantaged structure for MLPs and their investors helps drive higher returns for the assets than can be achieved by traditional c-corporations.
    • Tension with Russia may expedite licenses for natural gas exports, opening another opportunity for revenue in the industry.
  • Kinder Morgan: Some Good News And Some Bad News
    Albert Alfonso Mon, Mar. 17 89 Comments

    Summary

    • The Kinder Morgan group sees its FV estimates lowered by Morningstar.
    • However, Kinder Morgan also reaffirmed its distribution and dividend guidance for 2014 for all its various companies.
    • Despite the recent turmoil, the stock remains a long-term buy.
  • Kinder Morgan Energy Partners: Buying When Others Are Fearful?
    Achilles Research Fri, Mar. 14 59 Comments

    Summary

    • Kinder Morgan Energy Partners makes an attractive, long-term value proposition.
    • A Kinder Morgan investment delivers both value and growth.
    • Recent pullback is an interesting opportunity for long-term income investors.
  • Kinder Morgan Energy Partners Addresses Concerns
    Seeking Profits Fri, Mar. 14 36 Comments

    Summary

    • KMP confirms distribution guidance of $5.58.
    • With strong performance, the distribution could exceed guidance.
    • Its $14-billion backlog will power growth for years to come.
    • With a 7.4% yield, KMP is attractive at current levels.
  • Kinder Morgan: Fairly Valued, But Risk-Reward Looks Compelling
    Stock Gamer Thu, Mar. 13 16 Comments

    Summary

    • At $74, units of KMP are fairly priced, as management's 5% distribution growth guidance and 12.5% cost of equity estimate are factored in.
    • Owing to the 7.3% yield, the fair-valued price still provides attractive risk reward.
    • Management's 5% distribution growth guidance appears to be achievable, but meaningful unit price appreciation is possible if KMP can demonstrate its ability to boost distribution growth.
KMP vs. ETF Alternatives
Company Description

Kinder Morgan Energy Partners, L.P. is a pipeline transportation and energy storage company in North America, which owns and manages a portfolio of energy transportation and storage assets.