Kinder Morgan IncFee-based, take-or-pay contracts ensure stable revenue despite oil price uncertainty.
Amid ongoing U.S.-Iran tensions and volatile oil markets, three midstream companies—Kinder Morgan, MPLX, and The Williams Companies—are highlighted for their resilient, fee-based business models. With West Texas Intermediate crude trading below $75 per barrel, these pipeline operators benefit from long-term, take-or-pay contracts that generate stable revenues and reduce exposure to commodity price swings. Kinder Morgan operates 78,000 miles of pipelines, while Williams Companies spans over 30,000 miles connecting key U.S. basins to major markets. All three stocks carry a Zacks Rank of 3, or Hold.
Kinder Morgan IncFee-based, take-or-pay contracts ensure stable revenue despite oil price uncertainty.
Williams Companies IncFee-based business model with take-or-pay contracts ensures resilient revenue.
MPLX LPLong-term contracts provide stable cash flows, reducing exposure to oil price swings.