Better Stock Today: Google vs. Kinder Morgan Partners
In the spirit of World Cup competition, we're holding our own tournament in search of the Better Stock Today. We're pitting 32 companies against each other, and you, the reader, will determine the winner.
Google takes on Kinder Morgan Partners for this first round-robin match up in our search for the better stock today.
Fool tech analyst Nathan Hamilton believes the No. 1 reason Google should win this match is global Internet access. Google followers know the company's long-standing intent to provide Internet access to the more than two-thirds of the earth's population that remains without access.
The company is currently working on Project Loon, which involves launching balloons into the stratosphere to provide remote regions a point of Internet access. This project, and technologically driven iterations in future years, will create a much larger pie for all search competitors. And with a dominating 65% share of global search traffic, expanding Internet access over twofold stands to increase Google's top line in the years to come. Investors will want to keep an eye on Google as it expands Internet access globally and continues to take the lion's share of search traffic.
Joel South, energy analyst at The Motley Fool, thinks Kinder Morgan Partners is the better investment because the company is the premier midstream MLP in the world. Kinder Morgan Partners offers a substantial 7.1% distribution yield, but more importantly, the large pipeline operator continues to grow its payments by strict capital discipline and structuring its contracts so 93% of all revenue is absent commodity risk. With $641 billion expected to be spent in the North American midstream market in the next 20 years, Kinder Morgan Partners could outperform the broad market year in and year out.
Warren Buffett vs. his worst nightmare
Warren Buffett just called this emerging technology a "real threat" to his biggest cash cow. While Buffett shakes in his billionaire boots, only a few investors are embracing this new market, which experts say will be worth over $2 trillion. It won't be long before everyone on Wall Street wises up, and that's why The Motley Fool is releasing this timely investor alert. Click here to learn more about what's keeping Buffett up at night and the one public company we're calling the brains behind the technology.
Vote here to determine the winner of this match, and sound off in the comments. Check back to Fool.com to see who advances in the tournament.
The article Better Stock Today: Google vs. Kinder Morgan Partners originally appeared on Fool.com.Joel South and Nathan Hamilton have no position in any stocks mentioned. The Motley Fool recommends and owns shares of Google (A and C shares). Try any of our Foolish newsletter services free for 30 days. We Fools don't 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.
Copyright © 1995 - 2014 The Motley Fool, LLC. All rights reserved. The Motley Fool has a disclosure policy.