Is Kinder Morgan, Inc. overvalued or undervalued?

As of 16 July 2025, the valuation grade for Kinder Morgan, Inc. has moved from very expensive to expensive, indicating a shift in perception regarding its valuation. Based on the current metrics, the company appears to be overvalued. The P/E ratio stands at 22, which is higher than the peer average of approximately 20.69 for Kinder Morgan, while the EV to EBITDA ratio of 13.99 also exceeds the peer average of 13.31.
In comparison to its peers, Enterprise Products Partners LP is considered very attractive with a P/E of 12.41 and an EV to EBITDA of 11.13, while Energy Transfer LP also shows strong valuation metrics with a P/E of 10.06 and an EV to EBITDA of 8.26. These comparisons highlight that Kinder Morgan, Inc. is trading at a premium relative to its more attractively valued peers. Despite this, Kinder Morgan has outperformed the S&P 500 over the past year with a return of 28.04% compared to 17.14%, suggesting some investor confidence, albeit not enough to justify its current valuation.