KMI is likely to report a Q2 earnings beat on the back of strong gas prices, rising throughput and disciplined cost controls.
Kinder Morgan offers stable, fee-based revenues with 90% decoupled from commodity prices, making it a reliable cash flow generator. Strategic investments in renewable natural gas and hydrogen, plus a robust project backlog, position Kinder Morgan for steady, not explosive growth. In this earnings preview, I want to highlight some possible tailwinds that will benefit Kinder Morgan, one of which could be the result of the US-EU trade talks.
Morgan Stanley's stock fully recovered from the market turmoil, reaching an all-time high with a 36% appreciation in 2024. Consensus expects Q2 revenue of $16.03 billion and EPS of $2.02, reflecting solid YoY growth despite recent downward revisions. Given continued momentum and favorable market conditions, I am upgrading my rating on Morgan Stanley from "hold" to "buy."
Does GS outpace MS with stronger earnings, deeper M&A strength and a more attractive valuation profile? Let us find out.
MSDL has shown resilience and quality amid sector headwinds, with solid fundamentals, low non-accruals, and modest NAV decline despite economic uncertainty. Dividend coverage has tightened due to lower net investment income, but spillover income and a well-diversified portfolio help support near-term payout safety. MSDL trades at an attractive discount to NAV, offering value for income investors, yet economic uncertainty and potential rate cuts warrant caution.
Morgan Stanley: A 7% Yield On The Preferred Shares
When investors look for some of the best indicators pointing to a stock moving higher in the short—to medium-term timeline, there aren't many indicators as powerful as a company buying back its own stock in bulk. Stock buyback programs are a tax-free and efficient way to reward shareholders, unlike dividend payments or other methods commonly used in today's market.
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The demand for energy continues to grow and as more data centers come online more energy will be needed to power them which is bullish for KMI. KMI is building out over $8 billion worth of infrastructure over the next several years which will be accreditive to its cash from operations and Adjusted EBITDA. As the risk-free rate of return declines KMI's dividend which exceeds 4% and has established a growth trend once again will look attractive as capital flows into the market.
Morgan Stanley's strong CET1 ratio of 15.9% in the 2025 Fed stress test highlights its robust capital position. The strong score, when combined with its latest business developments (especially its trading operations), provides an attractive total return potential. Ongoing business improvements, acquisitions, and tech investments position Morgan Stanley for continued growth and market expansion.
Regulatory relief on SLR will unlock significant capital returns for Morgan Stanley, positioning it as a disproportionate beneficiary versus peers. Morgan Stanley's wealth and asset management focus drives recurring, resilient earnings, with Q3 revenue set to accelerate on higher market levels. Trading operations should deliver another strong quarter, offsetting temporary softness in wealth management and muted M&A advisory fees.
If you are looking at Kinder Morgan (KMI 0.26%) and its 4.1% dividend yield, you should also consider Enterprise Products Partners (EPD -0.06%) and its 6.8% distribution yield. But the reason for preferring Enterprise over Kinder Morgan is only partly to do with the yield, particularly if you are a dividend-focused investor.