Kinder Morgan to boost dividend by 25% in 2020

Kinder Morgan Inc. disclosed Wednesday that it plans a 25% increase to its dividend in 2020, to $1.25 a share from $1.00 a share. That increases the quarterly dividend rate to 31.25 cents from 25.00 cents. Based on Tuesday's stock closing price of $21.46 for the natural gas and oil transport company, the 2020 dividend rate would imply a dividend yield of 5.82%, well above the yield for the SPDR Energy Select Sector ETF of 4.13% and the implied yield for the S&P 500 of 1.80%, according to FactSet. Kinder Morgan's stock, which was still inactive in premarket trading, has gained 6.9% over the past three months, while the energy ETF has dropped 9.5% and the S&P 500 has advanced 8.6%.

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