Kinder Morgan Forecasts $3.1 Billion Profit and Dividend Hike in 2026 Outlook
Houston, Sunday, 14 December 2025.
Kinder Morgan projects $3.10 billion in 2026 income while targeting a ninth consecutive year of dividend growth, signaling strong confidence in its fee-based infrastructure model.
Projected Earnings and Operational Efficiency
Kinder Morgan (KMI) provided a comprehensive look into its financial future on December 10, 2025, outlining a trajectory of steady growth for the next two fiscal years [1]. The Houston-based infrastructure company forecasts its net income attributable to the company will climb from approximately $2.90 billion in 2025 to $3.10 billion in 2026 [2]. This represents a projected increase of 6.897 percent year-over-year. The guidance underscores the stability of KMI’s fee-based model, even as it navigates the capital-intensive demands of the energy sector [3].
Growth Targets and Leverage Management
Beyond net income, the company anticipates a 4 percent rise in adjusted EBITDA, targeting $8.7 billion for 2026 [1]. This operational growth is expected to trickle down to shareholders through an adjusted earnings per share (EPS) forecast of $1.37, implying an annual growth rate of approximately 8 percent [1]. To maintain financial discipline, Kinder Morgan intends to keep its leverage ratio—defined as net debt to adjusted EBITDA—steady at approximately 3.8, preserving its investment-grade credit profile [1][4].
Capital Allocation: Dividends and Investments
Shareholder returns remain a central pillar of the company’s strategy. Kinder Morgan plans to increase its annualized dividend to $1.19 per share in 2026, marking what would be the ninth consecutive year of dividend growth [1]. This follows an expected payout of $1.17 per share for 2025, offering a competitive yield for income-focused investors [4]. Additionally, the company maintains a $3 billion stock buyback program to return further value to shareholders [4].
Market Performance and Infrastructure Scale
Investors have been watching Kinder Morgan closely following its third-quarter earnings report on October 22, 2025, where the company reported revenue of $4.15 billion—a 12.1 percent year-over-year increase [5]. As of December 14, 2025, shares were trading at $26.73, giving the company a market capitalization of $59.97 billion and a price-to-earnings ratio of 21.91 [2]. The stock has traded within a 52-week range of $23.94 to $31.48, reflecting the broader volatility and opportunity within the energy sector [2].