KMI announced 10/21 a quarterly dividend increase from $0.49 to $0.51 per share that’s payable November 13, 2015 to holders of record November 2, 2015. This represents a 15% increase from the same quarter last year.
This good news doesn’t come without some bad news. Here’s a quote from Richard Kinder; “While we are largely insulated from commodity price impacts due to our predominately take-or-pay supported cash flows, we are not totally immune.” They are also projecting a 6-10% increase in 2016 to the dividend over the 2015 dividend. This is lower guidance than previously mentioned.
KMI’s stock price was down on the news. Even Kinder Morgan is not immune to these low oil prices. However, I believe they stand to benefit the most in the midstream sector as prices start to recover and they are insulated a lot more from oil prices than your standard integrated oil companies. KMI is currently my largest position and I don’t plan to sell any shares.
This is KMI’s 15th quarterly dividend raise since they went public in February 2011.
KMI is currently the largest position in my portfolio and I’m currently holding.
Since I own 526.46 shares this will increase my yearly dividends by $42.12.