Jim Cramer’s List of 7 Energy Stocks for the Trump Trade

3. Kinder Morgan, Inc. (NYSE:KMI)

Number of Hedge Fund Holders: 42

Cramer suggested that pipelines could be a strong investment for those anticipating a natural gas boom under Trump, including Kinder Morgan, Inc. (NYSE:KMI),

“Other than the producers, what works if you’re betting on a natural gas renaissance under Trump… How about a pure play on pipelines? Much easier to build these under a Republican administration. There are plenty of good options here. I’ve been consistently bullish on Energy Transfer and Kinder Morgan, they yield 6.8% and 4.0%, respectively.”

Kinder Morgan (NYSE:KMI) is an energy infrastructure company, focusing on the transportation, storage, and processing of natural gas, petroleum products, and other commodities, along with CO2 production and related facilities. The company operates one of the largest natural gas transmission networks in the United States, holding an interest in or managing approximately 79,000 miles of pipelines and 139 terminals.

It also oversees 702 billion cubic feet (Bcf) of working natural gas storage capacity and generates about 6.1 Bcf of renewable natural gas annually, with another 0.8 Bcf in development. Additionally, the company transports more than 40% of the country’s natural gas production. The company has a strong project pipeline, with a backlog valued at $5.1 billion.

According to Kinder Morgan (NYSE:KMI) management, there are considerable growth opportunities in natural gas, particularly in areas such as LNG exports, cross-border exports to Mexico, power generation, and industrial demand. The company is currently involved in discussions about power opportunities that could exceed 5 Bcf a day, and its internal projections suggest an overall growth of approximately 25 Bcf a day in the natural gas market over the next five years.