KMI

Kinder Morgan Energy Partners’ 2014 Outlook Reveals Distribution Growth

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On Tuesday, Kinder Morgan Energy Partners (KMP), one of the largest midstream (pipeline) energy companies in North America and a core Dividend Growth portfolio holding, announced expectations for 2014. Kinder Morgan Energy Partners expects to: Declare cash distributions of $5.58 per unit for 2014, an approximate 6 percent increase over its 2013 budget target of $5.28 per unit and an approximate 5 percent increase above its current expectation of $5.33. Generate approximately $6.4 billion in business segment earnings before DD&A (adding back KMP’s share of joint venture DD&A), an increase of approximately $750 million over the 2013 forecast. Distribute over $2.5 billion to its limited partners. Invest approximately $3.6 billion in expansions (including contributions to joint ventures) and small acquisitions. … Read more

Kinder Morgan Energy Partners Increases Quarterly Distribution

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On Wednesday, Dividend Growth portfolio holding Kinder Morgan Energy Partners (KMP) increased its quarterly cash distribution per common unit to $1.35 ($5.40 annualized). The increase represents a 7% jump over the payout during last year’s quarter and a three penny bump from the second quarter of this year. We continue to be huge fans of the consistency of distribution increases at Kinder Morgan Energy Partners, where existing management has increased the distribution 49 times since early 1997. We expect to update our dividend report on the pipeline transportation master limited partnership shortly and continue to believe Kinder Morgan Energy Partners represents a core position in the portfolio of our Dividend Growth Newsletter. Though we note that the MLP is significantly … Read more

Energy Transfer Partners’ Distribution Growth Could Return

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Wednesday afternoon, Dividend Growth Newsletter portfolio holding Energy Transfer Partners (click ticker for report: ) announced solid second quarter results marked by nice growth in distributable cash flow (DCF). Because of its many acquisitions, revenue was significantly higher than the prior-year period at $11.6 billion, in-line with consensus expectations. Earnings per share were also significantly higher year-over-year at $0.53, which is also far better than consensus estimates. Ultimately, for a yield instrument like Energy Transfer Partners, cash flow metrics are far more important than headline numbers. After the Linn Energy (click ticker for report: ) distributable cash flow debacle, ETP has improved its distributable cash flow reporting, providing investors with DCF attributable to the partners of ETP. This excludes DCF … Read more

Firms Raising Their Dividend In the Week Ending July 19 Included Kinder Morgan and Omega Healthcare

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Below we provide a list of firms that increased/decreased their dividends for the week ending July 19. The dividend reports of covered firms on this list will be updated shortly with the new information. To access our dividend reports, please click here. Increases Amphenol (APH): now $0.20 per share quarterly dividend, was $0.105. Bassett Furniture (BSET): now $0.06 per share quarterly dividend, was $0.05. CARBO Ceramics (CRR): now $0.30 per share quarterly dividend, was $0.27. Education Realty (EDR): now $0.11 per share quarterly dividend, was $0.10. El Paso Pipeline Partners (EPB): now 0.63 per share quarterly distribution, was $0.62. First Community Corporation (FCCO): now $0.06 per share quarterly dividend, was $0.05. Home Loan Servicing Solutions (HLSS) declares quarterly dividend of $0.15 per … Read more

Linn Energy: SEC Sees Smoke…Is There Fire?

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Controversial independent oil and gas company Linn Energy (click ticker for report: ) announced Tuesday morning that the SEC has launched an informal inquiry into Linn and LinnCo (LNCO). As we previously outlined June 3, we have no interest in adding the company to the portfolio of our Dividend Growth Newsletter given the cloud of questions, poor internally-generated cash flow, and numerous downside risks. We’re retaining the firm on the watch list of our Dividend Growth Newsletter, however, as we continue to monitor developments closely. As always, our best dividend growth ideas are included in our Dividend Growth portfolio. We give credit to Linn’s management team for revealing the explicit details of the inquiry, stating in the press release: “The SEC … Read more

Firms Raising Their Dividends In The Week Ending April 19

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Quite a few firms raised their dividends during the week ending April 19. Firms Raising Their Dividends This Week: Allison Transmission Holdings (ALSN): now $0.12 per share quarterly dividend, was $0.06. A.O. Smith (AOS): now $0.24 per share quarterly dividend, was $0.20. Cardinal Financial (CFNL): now $0.06 per share quarterly dividend, was $0.05. CSX (CSX): now $0.15 per share quarterly dividend, was $0.14. Discover Financial Services (DFS): now $0.20 per share quarterly dividend, was $0.14. Donegal Group (DGICA): now $0.1275 per share quarterly dividend, was $0.1225. El Paso Pipeline Partners (EPB): now $0.62 per share quarterly dividend, was $0.61. First Republic Bank (FRC): now $0.12 per share quarterly dividend, was $0.10. Kinder Morgan (KMI): now $0.38 per share quarterly dividend, … Read more

Kinder Morgan Posts Strong Results and Raises Distribution

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Dividend Growth Newsletter portfolio holding Kinder Morgan Partners (click ticker for report: ) reported excellent third quarter results Wednesday after the market close. Revenue grew 10% year-over-year to $2.3 billion, which was slightly better than consensus expectations. Net income per unit, when excluding special items, surged 30% year-over-year to $0.57, roughly in-line with consensus estimates. More importantly, distributable cash flow per unit grew nearly 8% year-over-year to $1.28, and the firm subsequently raised its distribution for the quarter to $1.26. Year-to-date, the firm has accumulated $3.72 per unit versus a payout of $3.69, leaving the company with $8 million of distribution coverage year-to-date. We plan to update our dividend report on the firm soon. The Natural Gas Pipelines segment performed particularly … Read more

How to Think About Corporate Tax Reform

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8 Announcements and Top Research You May Have Missed

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8 Announcements. This article was sent to members via email March 27. By Brian Nelson, CFA Hi everyone, Brian here. Trust you are doing great! Here are eight announcements I want you to be aware of: Everything we do is for our members. We’re very proud of the outperformance of the Best Ideas Newsletter portfolio, that we’ve never had a dividend cut in the Dividend Growth Newsletter portfolio, that our high-yield ideas are holding up very well, and the success rates of the Exclusive capital-appreciation ideas and short-idea considerations are running at approximately 80%. We’re proud to be your research partner. The odds of a Fed rate cut are going up as yield-curve inversion continues to threaten. The risks are more behavioral in … Read more

Why Natural Gas Prices are So Low and Will Likely Remain So for Some Time

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