KNTK

HOUSTON & MIDLAND, Texas--(BUSINESS WIRE)--Kinetik Holdings Inc. (NYSE: KNTK) (“Kinetik” or the “Company”) today reported financial and operating results for the quarter ended September 30, 2026. Kinetik reported net income including noncontrolling interest of $50.9 million and $168.9 million for the three and nine months ended September 30, 2026, respectively. Kinetik generated Adjusted EBITDA1 of $278.1 million and $810.1 million, Distributable Cash Flow1 of $213.7 million and $589.5 million,.

KINETIK HLDGS (KNTK) might move higher on growing optimism about its earnings prospects, which is reflected by its upgrade to a Zacks Rank #2 (Buy).

Kinetik Holdings is rated a buy, driven by robust Permian Basin positioning and surging energy demand from data center expansion. KNTK achieved 36% YoY revenue growth, 94% YoY EPS growth, and a 2783% YoY FCF increase, supported by higher NGL, condensate, and gas sales. Despite a DCF-derived intrinsic value of $28.50 per share, I expect KNTK to outperform due to data center-driven energy demand and Permian Basin advantages.

Kinetik Holdings is rated Hold with a 12-month price target of $59.90, reflecting limited upside after a strong run on takeover speculation. KNTK's recent outperformance was driven by commodity tailwinds and marketing gains, but future results hinge on curtailed volumes returning and Kings Landing II execution. The dividend yields 5.8% but remains partly debt-funded; material growth is unlikely until Kings Landing II is operational, with free cash flow coverage expected by 2028.

CRD.B, SLG, TFII, KNTK and MAX have been added to the Zacks Rank #1 (Strong Buy) List on September 23rd, 2026.

CURI, KNTK, SLG made it to the Zacks Rank #1 (Strong Buy) income stocks list on September 23rd, 2026.

Here is how Kinetik Holdings Inc. (KNTK) and Sunoco LP (SUN) have performed compared to their sector so far this year.

As noted last week, midstream MLPs and corporations broadly raised full-year financial guidance following a strong second quarter. Looking ahead, the sector's growth runway is accelerating.

Midstream MLPs and corporations generally posted strong second-quarter earnings, benefiting from record volume throughput, strong margins, and robust demand for natural gas and natural gas liquids (NGL) exports. Companies also demonstrated the defensive nature of their fee-based cash flows.

Kinetik Holdings is positioned as a constraint monetization platform in the Delaware Basin, leveraging integrated control across the midstream value chain. Record Q2 results featured 36% revenue growth, 35% Adjusted EBITDA growth, and strong dividend coverage, driven by NGL recoveries and downstream optimization. KNTK's growth outlook is underpinned by expansion projects like Kings Landing II, ECCC Pipeline, and increased Gulf Coast access, supporting multi-year EBITDA growth.