Kinder Morgan Inc (KMI)
Kinder Morgan, Inc. is one of the largest energy infrastructure companies in North America. The company specializes in owning and controlling oil and gas pipelines and terminals.
Stock Price Trends
Stock price trends estimated using linear regression.
Key facts
- The primary trend is increasing.
- The growth rate of the primary trend is 82.26% per annum.
- KMI price at the close of April 1, 2025 was $28.63 and was lower than the bottom border of the primary price channel by $0.12 (0.43%). This indicates a possible reversal in the primary trend direction.
- The secondary trend is increasing.
- The growth rate of the secondary trend is 3.76% per annum.
- KMI price at the close of April 1, 2025 was inside the secondary price channel.
Linear Regression Model
Model equation:
Yi = α + β × Xi + εi
Top border of price channel:
Exp(Yi) = Exp(a + b × Xi + 2 × s)
Bottom border of price channel:
Exp(Yi) = Exp(a + b × Xi – 2 × s)
where:
i - observation number
Yi - natural logarithm of KMI price
Xi - time index, 1 day interval
σ - standard deviation of εi
a - estimator of α
b - estimator of β
s - estimator of σ
Exp() - calculates the exponent of e
Primary Trend
Start date: January 17, 2024
End date: February 10, 2025
a = 0.4411
b = 0.0016
s = 0.0419
Annual growth rate:
Exp(365 × b) – 1
= Exp(365 × 0.0016) – 1
= 82.26%
Price channel spread:
Exp(4 × s) – 1
= Exp(4 × 0.0419) – 1
= 18.23%
January 17, 2024 calculations
Top border of price channel:
Exp(Y953)
= Exp(a + b × X953 + 2 × s)
= Exp(a + b × 1,385 + 2 × s)
= Exp(0.4411 + 0.0016 × 1,385 + 2 × 0.0419)
= Exp(2.8026)
= $16.49
Bottom border of price channel:
Exp(Y953)
= Exp(a + b × X953 – 2 × s)
= Exp(a + b × 1,385 – 2 × s)
= Exp(0.4411 + 0.0016 × 1,385 – 2 × 0.0419)
= Exp(2.6351)
= $13.94
February 10, 2025 calculations
Top border of price channel:
Exp(Y1,220)
= Exp(a + b × X1,220 + 2 × s)
= Exp(a + b × 1,775 + 2 × s)
= Exp(0.4411 + 0.0016 × 1,775 + 2 × 0.0419)
= Exp(3.4440)
= $31.31
Bottom border of price channel:
Exp(Y1,220)
= Exp(a + b × X1,220 – 2 × s)
= Exp(a + b × 1,775 – 2 × s)
= Exp(0.4411 + 0.0016 × 1,775 – 2 × 0.0419)
= Exp(3.2765)
= $26.48
Description
- The primary trend is increasing.
- The growth rate of the primary trend is 82.26% per annum.
- KMI price at the close of April 1, 2025 was $28.63 and was lower than the bottom border of the primary price channel by $0.12 (0.43%). This indicates a possible reversal in the primary trend direction.
Secondary Trend
Start date: November 6, 2024
End date: April 1, 2025
a = 3.1314
b = 0.0001
s = 0.0372
Annual growth rate:
Exp(365 × b) – 1
= Exp(365 × 0.0001) – 1
= 3.76%
Price channel spread:
Exp(4 × s) – 1
= Exp(4 × 0.0372) – 1
= 16.04%
November 6, 2024 calculations
Top border of price channel:
Exp(Y1,157)
= Exp(a + b × X1,157 + 2 × s)
= Exp(a + b × 1,679 + 2 × s)
= Exp(3.1314 + 0.0001 × 1,679 + 2 × 0.0372)
= Exp(3.3757)
= $29.25
Bottom border of price channel:
Exp(Y1,157)
= Exp(a + b × X1,157 – 2 × s)
= Exp(a + b × 1,679 – 2 × s)
= Exp(3.1314 + 0.0001 × 1,679 – 2 × 0.0372)
= Exp(3.2270)
= $25.20
April 1, 2025 calculations
Top border of price channel:
Exp(Y1,255)
= Exp(a + b × X1,255 + 2 × s)
= Exp(a + b × 1,825 + 2 × s)
= Exp(3.1314 + 0.0001 × 1,825 + 2 × 0.0372)
= Exp(3.3905)
= $29.68
Bottom border of price channel:
Exp(Y1,255)
= Exp(a + b × X1,255 – 2 × s)
= Exp(a + b × 1,825 – 2 × s)
= Exp(3.1314 + 0.0001 × 1,825 – 2 × 0.0372)
= Exp(3.2417)
= $25.58
Description
- The secondary trend is increasing.
- The growth rate of the secondary trend is 3.76% per annum.
- KMI price at the close of April 1, 2025 was inside the secondary price channel.