The 10-second takeaway
For the quarter ended June 30 (Q2), Kinder Morgan whiffed on revenues and missed estimates on earnings per share.
Compared to the prior-year quarter, revenue grew and GAAP earnings per share dropped to a loss.
Gross margins increased, operating margins grew, and net margins dropped.
Kinder Morgan reported revenue of $2.17 billion. The one analyst polled by S&P Capital IQ foresaw net sales of $3.02 billion on the same basis. GAAP reported sales were 6.5% higher than the prior-year quarter's $2.03 billion.
Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures may vary to maintain comparability with estimates.
EPS came in at $0.18. The five earnings estimates compiled by S&P Capital IQ averaged $0.25 per share. GAAP EPS were -$0.15 for Q2 versus $0.17 per share for the prior-year quarter.
Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.
For the quarter, gross margin was 53.0%, 2,000 basis points better than the prior-year quarter. Operating margin was 13.5%, 110 basis points better than the prior-year quarter. Net margin was -5.8%, 1,230 basis points worse than the prior-year quarter.
Next quarter's average estimate for revenue is $3.08 billion. On the bottom line, the average EPS estimate is $0.27.
Next year's average estimate for revenue is $10.59 billion. The average EPS estimate is $1.20.
The stock has a five-star rating (out of five) at Motley Fool CAPS, with 170 members rating the stock outperform and three members rating it underperform. Among 48 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 48 give Kinder Morgan a green thumbs-up, and give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Kinder Morgan is outperform, with an average price target of $38.22.
Can your portfolio provide you with enough income to last through retirement? You'll need more than Kinder Morgan. Learn how to maximize your investment income and "Secure Your Future With 9 Rock-Solid Dividend Stocks." Click here for instant access to this free report.
- Add Kinder Morgan to My Watchlist.
Seth Jayson had no position in any company mentioned here at the time of publication. You can view his stock holdings here. He is co-advisor of Motley Fool Hidden Gems, which provides new small-cap ideas every month, backed by a real-money portfolio. The Motley Fool has a disclosure policy.
We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. Try any of our Foolish newsletter services free for 30 days.