US Capital Advisors Has Weak Outlook for Kinetik Q4 Earnings

Kinetik Holdings Inc. (NASDAQ:KNTK) – Analysts at US Capital Advisors reduced their Q4 2024 earnings estimates for shares of Kinetik in a research report issued to clients and investors on Tuesday, November 26th. US Capital Advisors analyst J. Carreker now forecasts that the company will post earnings of $0.42 per share for the quarter, down from their previous estimate of $0.48. The consensus estimate for Kinetik’s current full-year earnings is $1.46 per share. US Capital Advisors also issued estimates for Kinetik’s Q1 2025 earnings at $0.44 EPS, Q2 2025 earnings at $0.51 EPS, Q3 2025 earnings at $0.60 EPS, Q4 2025 earnings at $0.64 EPS, FY2025 earnings at $2.19 EPS and FY2026 earnings at $2.88 EPS.

Kinetik (NASDAQ:KNTK) last announced its quarterly earnings results on Wednesday, November 6th. The company reported $0.35 earnings per share (EPS) for the quarter, missing the consensus estimate of $0.45 by ($0.10). The firm had revenue of $396.40 million for the quarter, compared to the consensus estimate of $331.21 million. Kinetik had a net margin of 30.25% and a negative return on equity of 39.48%. The company’s revenue for the quarter was up 20.0% on a year-over-year basis. During the same period in the prior year, the business earned $0.21 earnings per share.

Several other analysts have also recently commented on KNTK. Royal Bank of Canada increased their target price on Kinetik from $46.00 to $52.00 and gave the stock an “outperform” rating in a report on Wednesday, October 16th. Barclays increased their price objective on shares of Kinetik from $43.00 to $47.00 and gave the stock an “equal weight” rating in a report on Monday, October 14th. Finally, Mizuho raised their price objective on shares of Kinetik from $47.00 to $55.00 and gave the company an “outperform” rating in a research report on Thursday, October 24th. Three analysts have rated the stock with a hold rating and four have given a buy rating to the stock. According to data from MarketBeat, Kinetik has an average rating of “Moderate Buy” and an average target price of $45.71.

Kinetik Price Performance

KNTK stock opened at $58.66 on Wednesday. The business has a fifty day moving average price of $51.54 and a 200 day moving average price of $45.28. Kinetik has a fifty-two week low of $31.73 and a fifty-two week high of $62.55. The stock has a market capitalization of $9.24 billion, a price-to-earnings ratio of 21.65, a P/E/G ratio of 2.75 and a beta of 2.91.

Institutional Inflows and Outflows

A number of institutional investors have recently bought and sold shares of the company. Versor Investments LP bought a new stake in shares of Kinetik in the 3rd quarter valued at $543,000. Castleark Management LLC bought a new stake in shares of Kinetik in the first quarter worth about $689,000. Principal Financial Group Inc. bought a new stake in shares of Kinetik in the third quarter worth about $921,000. Eos Management L.P. raised its position in shares of Kinetik by 84.9% during the third quarter. Eos Management L.P. now owns 27,000 shares of the company’s stock worth $1,222,000 after purchasing an additional 12,400 shares during the period. Finally, Janus Henderson Group PLC lifted its holdings in shares of Kinetik by 257.1% during the 1st quarter. Janus Henderson Group PLC now owns 26,642 shares of the company’s stock valued at $1,062,000 after purchasing an additional 19,181 shares in the last quarter. Institutional investors and hedge funds own 21.11% of the company’s stock.

Kinetik Increases Dividend

The business also recently announced a quarterly dividend, which was paid on Thursday, November 7th. Shareholders of record on Monday, October 28th were paid a $0.78 dividend. This is a positive change from Kinetik’s previous quarterly dividend of $0.75. The ex-dividend date of this dividend was Monday, October 28th. This represents a $3.12 annualized dividend and a yield of 5.32%. Kinetik’s dividend payout ratio is presently 115.13%.

Kinetik Company Profile

Kinetik Holdings Inc operates as a midstream company in the Texas Delaware Basin. The company operates through two segments, Midstream Logistics and Pipeline Transportation. It provides gathering, transportation, compression, processing, stabilization, treating, storage, and transportation services for companies that produce natural gas, natural gas liquids, and crude oil; and water gathering and disposal services.