Kinder Morgan Is Doing Well, But Not Well Enough For An Upgrade

Kinder Morgan remains a 'hold' as upside appears limited despite strong operational performance and a $10B project backlog. KMI's Q1 2026 saw revenue up 13.8% and adjusted operating cash flow rise to $1.83B, with robust growth in Natural Gas Pipelines. Relative valuation is middling; KMI trades at higher multiples than most peers but boasts one of the lowest net leverage ratios. Management prioritizes growth over yield, allocating $3.85B to expansion in 2026, with distributions lower than most comparables.