Comparing the Growth Prospects of Williams and Kinder Morgan for Dividend Investors
Thursday, 4 April 2024, 09:37
Comparing the Growth Prospects of Williams and Kinder Morgan for Dividend Investors
If you like Kinder Morgan's 6.1%-yielding dividend, you should check out Williams, a high-yielding rival with faster growth potential.
A slow and steady grower
- Kinder Morgan has struggled to grow over the years, generating flat earnings while reducing leverage and addressing contract rollovers.
- Expected growth drivers include expansion projects and recent acquisitions, but modest dividend increases are likely in the future.
More fuel to grow
- Williams has shown consistent annual growth in earnings and dividend payouts, with plans to invest significantly in expansion projects for future growth.
- With a low leverage ratio and strong financial position, Williams is well-positioned for further acquisitions to support growth initiatives.
Williams' faster growth in earnings and dividends could lead to higher total returns for investors compared to Kinder Morgan.
This article was prepared using information from open sources in accordance with the principles of Ethical Policy. The editorial team is not responsible for absolute accuracy, as it relies on data from the sources referenced.