Kinder Morgan (NYSE: KMI ) has returned more than 9% so far this year, but as we all know, past performances are not indicative of future returns. That's why�I created a�premium report on Kinder Morgan -- to help investors examine its future and decide if the company is still right for their portfolios.
The following is an excerpt from the report, which focuses on the main risks facing the company. It's just a sample of one section, but we hope you enjoy.
Risks
Opposition to pipeline construction�and expansion may affect Kinder Morgan's growth. The company is already experiencing this with its Trans Mountain line. The 300,000 barrel per day pipeline connects Alberta's oil sands to British Columbia. KMP is currently trying to more than double capacity on the line, which is frequently oversubscribed, but it is running into a bit of opposition from environmental groups and local citizenry. One of North Vancouver's First Nation tribes has already signed a legal declaration banning oil sands pipelines on its land. Kinder Morgan has received long-term customer commitments to bring contracted capacity up to 700,000 barrels per day, targeting an eventual capacity of 890,000 bpd. Realistically, the company will probably have to spend some time in court if the expansion is to be realized. Commodity risk�is a concern as well. Kinder Morgan's CO2 segment includes oil and natural gas liquids production. Though operations are going well -- the partnership is setting NGL production records -- prices have plummeted over the past year and it is impacting earnings in this segment. Additionally, though Kinder Morgan doesn't take possession of its natural gas, and therefore isn't on the hook when prices drop, the low price environment means that producers have been pulling rigs out of dry gas plays in favor of producing other commodities like oil and NGLs. As a result, Kinder Morgan systems devoted to dry gas, like KinderHawk in the Haynesville Shale, have experienced lower volumes, and subsequently, lower revenue. Declining demand�for refined products, coal, and steel could cause problems. Recently, Kinder Morgan has been able to buck the national trend of declining demand, as the partnership's refined products volumes increased slightly. But the Energy Information Administration is reporting a 1.2% decline in demand nationwide, so this is a segment that may have tough times ahead. Domestic demand for coal continues to fall, impacting the partnership's terminals segment. That business unit is also affected by soft demand for steel. If and when the economy rebounds, steel demand will likely rise as well. What will happen with domestic coal demand remains to be seen.Looking for more guidance?
That was just a sample of our new premium report on Kinder Morgan. If you're weighing whether the company�is a�buy or sell, the report is an essential resource for investors seeking more information on the company. Not only that, but the report also comes with updated quarterly guidance and dives into upcoming catalysts on the horizon. To get started, simply�click here now.
Top 5 Low Price Companies To Own In Right Now: Abcourt Mines Inc. (ABI.V)
Abcourt Mines Inc. engages in the acquisition, exploration, and development of mining properties in Canada. It explores for gold, siver, copper, and zinc ores. The company owns 100% interests in the Elder and Tagami mine project that consists of 34 claims and a mining concession covering an area of 876 hectares located near Rouyn-Noranda, Quebec; the Abcourt-Barvue property, which comprises 139 claims and 2 mining concessions covering 5,865 hectares located to the north of the mining community of Val-d�Or, Quebec; and the Vendome property that includes 59 claims covering 2,546 hectares located to the north of Val-d�Or, Quebec. It also holds a 100% interest in the Aldermac property that covers 303 hectares located in Beauchastel township near Rouyn-Noranda, Quebec; and interests in the Vezza property consisting of 85 claims and 19 cells covering 2,233 hectares in Vezza township, Quebec. The company is headquartered in Mont-St-Hilaire, Canada.
Top 5 Low Price Companies To Own In Right Now: Aetrium Incorporated(ATRM)
Aetrium Incorporated designs, manufactures, and markets electromechanical equipment for the semiconductor industry to handle and test integrated circuits (ICs). The company provides test handler products, which incorporates thermal conditioning, contacting, and automated handling technologies to provide automated handling of ICs during production of test cycles; change kits to adapt test handlers to various IC package configurations or to upgrade installed equipment; and gravity feed test handlers. It also offers reliability test equipment, which provides structural performance data to aid in the evaluation and improvement of IC designs and manufacturing processes. The company sells its products to semiconductor manufacturers, and their assembly and test subcontractors through direct salespeople, independent sales representatives, and distributors in the United States, the United Kingdom, France, Germany, Italy, Korea, Japan, Taiwan, China, Thailand, Malaysia, Singapore, a nd the Philippines. Aetrium Incorporated was founded in 1982 and is based in North St. Paul, Minnesota.
10 Best Insurance Stocks To Watch For 2014: Cornerstone Therapeutics Inc.(CRTX)
Cornerstone Therapeutics Inc., a specialty pharmaceutical company, engages in the acquisition, development, and commercialization of prescription pharmaceutical drugs for the hospital, niche respiratory, and related specialty markets. The company offers CUROSURF, a natural lung surfactant used for the treatment of respiratory distress syndrome in premature infants; and ZYFLO CR and ZYFLO, which are leukotriene synthesis inhibitor drugs used for the prevention and chronic treatment of asthma in adults and children. It also provides anti-infective products, such as FACTIVE, a fluoroquinolone antibiotic used for the treatment of acute bacterial exacerbation of chronic bronchitis (ABECB) and community-acquired pneumonia (CAP) of mild to moderate severity; and SPECTRACEF, a antibiotic used for the treatment of respiratory tract infections, pharyngitis and tonsillitis, uncomplicated skin and skin-structure infections, ABECB, and CAP. In addition, the company?s pipeline products include CRTX 080, a vasopressin receptor 2 antagonist lixivaptan used for the treatment of hyponatremia; CRTX 073, an anti-asthma product candidate used for the treatment of asthma; and CRTX 067, a cough/cold product candidate for the treatment of cough and cold. It serves drug wholesalers, retail drug stores, mass merchandisers, and grocery store pharmacies in the United States. The company was formerly known as Critical Therapeutics, Inc. and changed its name to Cornerstone Therapeutics Inc. as a result of its merger with Cornerstone BioPharma Holdings, Inc. in October 2008. Cornerstone Therapeutics Inc. was founded in 2000 and is headquartered in Cary, North Carolina.
Top 5 Low Price Companies To Own In Right Now: Mission NewEnergy Limited(MNEL)
Mission NewEnergy Limited, a renewable energy company, owns and operates biodiesel refinery plants. It produces biodiesel a clean alternative energy substitute for diesel. The company also engages in the cultivation and supply of Jatropha Curcas, an inedible biofuel feedstock. As of October 31, 2011, it had approximately 234,587 acres of Jatropha Curcas under contract farming agreements. In addition, the company owns and operates two wind energy turbines. It has operations in Asia, Australia, Europe, and North America. The company, formerly known as Mission Biofuels Limited, was incorporated in 2005 and is headquartered Osborne Park, Australia.
Top 5 Low Price Companies To Own In Right Now: Core Laboratories N.V. (CLB)
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Advisors' Opinion:- [By Joel South and Taylor Muckerman]
In the following video, Motley Fool energy analysts Joel South and Taylor Muckerman take a close look at one energy services company reporting earnings next week, Core Laboratories (NYSE: CLB ) . Joel gives us some of the particulars on why this company, which helps exploration and production companies maximize production from their wells, is a particular favorite of his, what investors should be looking for in the earnings report next week, and what he thinks of the stock today.
- [By Louis Navellier]
Oil companies are finding it increasingly difficult to extract gas from traditional deposits and are now being forced to look to alternative sources and methods of extraction. And Core Laboratories (CLB) is a Netherlands-based company that provides the technology that oil producers use to develop their oil and gas properties��ncluding reservoir description, production enhancement and reservoir management services. Here’s a quick rundown of those services:
- [By Dan Caplinger]
On Wednesday, Core Labs (NYSE: CLB ) will release its latest quarterly results. The key to making smart investment decisions on stocks reporting earnings is to anticipate how they'll do before they announce results, leaving you fully prepared to respond quickly to whatever inevitable surprises arise. That way, you'll be less likely to make an uninformed knee-jerk reaction to news that turns out to be exactly the wrong move.
- [By GuruFocus]
Added: Core Laboratories N.V. (CLB)
Tom Gayner added to his holdings in Core Laboratories N.V. by 200%. His purchase prices were between $126.24 and $153.63, with an estimated average price of $141.69. The impact to his portfolio due to this purchase was 0.02%. His holdings were 6,000 shares as of 06/30/2013.
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