It's Showtime for Kinder Morgan Energy Partners

Seth Jayson, The Motley Fool
Updated

Kinder Morgan Energy Partners (NYS: KMP) is expected to report Q2 earnings around July 16. Here's what Wall Street wants to see:

The 10-second takeaway
 Comparing the upcoming quarter to the prior-year quarter, average analyst estimates predict Kinder Morgan Energy Partners's revenues will expand 45.0% and EPS will grow 64.9%.

The average estimate for revenue is $2.68 billion. On the bottom line, the average EPS estimate is $0.61.


Revenue details
 Last quarter, Kinder Morgan Energy Partners booked revenue of $2.66 billion. GAAP reported sales were 44% higher than the prior-year quarter's $1.85 billion.

Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures may vary to maintain comparability with estimates.

EPS details
 Last quarter, non-GAAP EPS came in at $0.66. GAAP EPS were $0.97 for Q1 against -$0.34 per share for the prior-year quarter.

Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.

Recent performance
 For the preceding quarter, gross margin was 49.6%, 250 basis points worse than the prior-year quarter. Operating margin was 29.5%, 110 basis points worse than the prior-year quarter. Net margin was 29.4%, much better than the prior-year quarter.

Looking ahead

The full year's average estimate for revenue is $10.82 billion. The average EPS estimate is $2.67.

Investor sentiment
 The stock has a five-star rating (out of five) at Motley Fool CAPS, with 1,508 members out of 1,561 rating the stock outperform, and 53 members rating it underperform. Among 394 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 381 give Kinder Morgan Energy Partners a green thumbs-up, and 13 give it a red thumbs-down.

Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Kinder Morgan Energy Partners is hold, with an average price target of $90.36.

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The article It's Showtime for Kinder Morgan Energy Partners originally appeared on Fool.com.

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 ofMotley Fool Hidden Gems, which provides new small-cap ideas every month, backed by a real-money portfolio. The Motley Fool has no position in any of the stocks mentioned. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.

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