Kinetik Holdings Inc.

Kinetik Holdings Inc.

KNTK·NASDAQ

$36.45

-3.2%
EnergyOil & Gas Midstream

Kinetik Holdings Inc. operates as a midstream company in the Texas Delaware Basin. It provides gathering, transportation, compression, processing, and treating services for companies that produce natural gas, natural gas liquids, crude oil, and water. The company is headquartered in Midland, Texas.

At a Glance

Live Snapshot
Market Cap$2.22B
EPS1.0300
P/E Ratio13.77
Earnings Date02/25/2026

Intrinsic Alpha Methodology

Thesis Lenses

Signal · Driver · Risk

Signal

High confidence

Valuation multiple is compressed (P/E 13.8).

Valuation inputs: P/E 13.8, earnings yield +7.3%, momentum -3.2%.

If multiples stay elevated while momentum fades, downside repricing risk rises.

Driver

High confidence

Return profile is soft (ROE -8.2%, ROIC +2.5%).

Profitability stack: net margin +16.5%, ROE -8.2%, ROIC +2.5%.

Quality deterioration often appears in margins before it shows up in headline EPS.

Risk

High confidence

Downside profile looks controlled across current risk inputs.

Risk factors: liabilities/assets +56.3%, momentum -3.2%, net margin +16.5%.

Higher leverage with weak momentum and thin margins can amplify drawdown severity.

kntk

Kinetik Holdings Inc. Market vs Earnings Trajectory

KNTK · NASDAQ

Loading price and EPS data...

Kinetik Holdings Inc.

Kinetik Holdings Inc. Fair Value Envelope

KNTK · NASDAQ

Our analysis suggests that KNTK has a fair value of HIDDEN per share in the Base Case projection. With shares currently trading at $36.45, this represents a potential HIDDEN relative to our calculated worth for Kinetik Holdings Inc..

Intrinsic Value
Current Price: $36.45
3Y+2528.0%
5Y-127.0%
10Y-
3Y+124.0%
5Y+292.0%
10Y-
3Y+16380.0%
5Y-269.0%
10Y-10279267.0%
3Y+171.0%
5Y+1327.0%
10Y-73711.0%
3Y+136.0%
5Y-216.0%
10Y-41849.0%
3Y+92.0%
5Y+58.0%
10Y+14901149.0%
Kinetik Holdings Inc.

Kinetik Holdings Inc. Profit Bridge

KNTK · NASDAQ
Revenue1.48B
Cost of Goods Sold (944.82M)
Gross Profit538.11M
Operating Expenses (358.88M)
Operating Income179.23M
Interest Expense (209.80M)
Other Income/Expense88.03M
Pretax Income267.27M
Income Tax (23.04M)
Net Income244.23M
Net Income
244.23M

Profitability Analysis

Gross Margin

36.3%

Strong gross margins indicate healthy pricing and efficient production or service delivery.

Operating Margin

12.1%

Acceptable margins but limited operational leverage. Operating expense control is important.

Net Profit Margin

16.5%

Strong net margins indicate efficient operations and favorable tax/interest management.

Effective Tax Rate

8.6%

Below-average tax rate suggests effective tax planning, favorable jurisdictions, or tax credits.

Profitability Insight

Efficient profit conversion: Minimal margin compression from gross to net indicates lean operations and favorable tax/interest environment.

36.29%
Gross Profit Margin
-1%
3Y+30.0%
5Y+30.0%
10Y-
12.09%
Operating Profit Margin
-5%
3Y+50.0%
5Y-479.0%
10Y-
16.47%
Net Profit Margin
-46%
3Y+7256.0%
5Y-117.0%
10Y-
-8.21%
Return on Equity
-89%
3Y-100.0%
5Y-80.0%
10Y-22.0%
3.58%
Return on Assets
-40%
3Y+8494.0%
5Y-142.0%
10Y-169.0%
2.50%
Return on Invested Capital
-61%
3Y+258.0%
5Y-932.0%
10Y-145.0%
KNTK

Kinetik Holdings Inc. Cash Conversion Engine

KNTK · NASDAQ
Net Income244.23M
Depreciation & Amortization324.20M
Stock-Based Compensation76.54M
Change in Working Capital-43.40M
Others16.28M
Capital Expenditures-275.87M
Free Cash Flow361.47M

Cash Flow Quality Analysis

FCF Conversion Rate

148.0%

Excellent cash generation. The company converts earnings to cash at or above 100%, indicating high-quality earnings.

CapEx Intensity

43.3%

Capital-intensive operations require significant reinvestment. Monitor whether CapEx is maintenance or growth-oriented.

FCF Growth Trend

+41.8%

Strong FCF growth demonstrates improving cash generation and business momentum. Positive signal for sustainability.

Working Capital Impact

-$43.40M

Minimal working capital impact on FCF. Changes in operating assets and liabilities well-managed.

Cash Flow Quality Insight

Exceptional cash generation: High-quality earnings converting to growing free cash flow. The company demonstrates strong pricing power, efficient operations, and disciplined capital allocation.

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Kinetik Holdings Inc. Funding & Solvency Profile

KNTK · NASDAQ
Cash & Cash Equivalents7.74M
Net Receivables0.00
Inventory0.00
Other Current Assets0.00
Total Current Assets8 M
Property, Plant & Equipment0.00
Goodwill & Intangible Assets0.00
Long-Term Investments0.00
Other Non-Current Assets0.00
Total Non-Current Assets0
Total Assets
7.74M

Financial Health Analysis

Current Ratio

0.04x

Warning: Liquidity concerns. Current assets may not be sufficient to cover short-term obligations.

Working Capital

-170863000

Negative working capital indicates short-term liabilities exceed short-term assets—potential liquidity stress.

Asset Composition

100% Current

Asset-light business model with high liquidity. Majority of assets are easily convertible to cash.

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Kinetik Holdings Inc. Street Expectations Map

KNTK · NASDAQ

Wall Street analysts project that KNTK stock may rise significantly over the coming 12 months. The consensus 1-year price target stands at 45.17, with estimates ranging from a low of 41.00 to a high of 51.00.

Lowest Target
41.00
12.48%
Consensus Target
45.17
23.92%
Highest Target
51.00
39.92%

The consensus 1-year price target stands at 45.17, with estimates ranging from a low of 41.00 to a high of 51.00.

Analyst Consensus Analysis

Upside Potential

+23.9%

Strong upside potential. Consensus indicates attractive return opportunity with favorable risk-reward profile.

Analyst Agreement

22.1% spread

Good consensus alignment. Moderate target spread reflects general agreement on value drivers with some variance in assumptions.

Analyst Conviction

Very High

Strong buy conviction: High upside with tight consensus suggests compelling investment opportunity backed by analyst confidence.

Market Sentiment Insight

Rare opportunity: Exceptional upside potential with strong analyst consensus creates a compelling setup. The combination of significant price target premium and tight agreement suggests high-conviction undervaluation that may attract institutional capital.

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Kinetik Holdings Inc. Insider Positioning

KNTK · NASDAQ

During the last 12 months, insiders have purchased $277K worth of KNTK shares, with no selling activity reported.

3 Months

Bought

0

0.00

Sold

0

0.00

Net Activity

+0

+$0

3-6 Months

Bought

0

0.00

Sold

0

0.00

Net Activity

+0

+$0

6-9 Months

Bought

8.0K

276.56K

Sold

0

0.00

Net Activity

+277K

+$277K

9-12 Months

Bought

0

0.00

Sold

0

0.00

Net Activity

+0

+$0

Top Buyers

1
WJ

Welch Jamie

Director, Officer: See Remarks

8.0K shares1 transactions

$277K

Top Sellers

No selling activity

Insider Activity Analysis

Net Insider Sentiment

Bullish

Strong bullish signal with $277K net buying. Insiders are aggressively accumulating shares, suggesting significant confidence in future prospects.

Buy/Sell Ratio

∞:1

Perfect buy/sell ratio. Only buying activity with zero selling—the most bullish possible insider signal.

Insider Participation

High Buying

1 insider buyers vs. 0 sellers. Broad-based buying across management team suggests widespread confidence.

Insider Activity Insight

Unanimous insider buying: Zero selling combined with active buying is rare and typically very bullish. Insiders appear to see significant upside with limited downside risk.

1.73%
Dividend Yield
15%
3Y+77.0%
5Y-
10Y-
 

kntk Dividend History

KNTK
10Y CAGR +0%
Latest $0.78
Annual $3.9
Stable dividend payments
Last Period: +0%