KMI vs TPL: Correlation
Kinder Morgan (KMI) and Texas Pacific Land Corporation (TPL) show a moderate relationship: their 3-year correlation of weekly returns is 0.48.
Data as of 2026-08-27 · refreshed every trading day · weekly returns · methodology
How correlated are KMI and TPL?
Across a 3-year window, the weekly returns of KMI and TPL correlate at 0.48, moderate. Little has changed lately, as the 1-year reading of 0.46 lands near the 3-year figure. Stretching to 5 years gives 0.50, with an annualized covariance of 529.1 %².
Within KMI's tracked universe of 33 assets, TPL comes in at #21 by 3-year correlation. Twelve-month performance is nearly a tie, at +22.3% for KMI and +22.8% for TPL. This link changes with the market regime, having swung between 0.14 and 0.65 on a rolling one-year basis. Note the risk asymmetry: TPL runs 2.3 times the annualized volatility of the other leg, so equal-weighting the two is not an equal-risk position.
How is this computed?
Pearson correlation on weekly returns: ρ(A,B) = cov(rA, rB) / (σA · σB), over windows of 52, 156 and 260 weeks. Covariance is annualized (×52) and expressed in %². Full definitions on the methodology page.
KMI vs TPL: side by side
| KMI (Kinder Morgan) | TPL (Texas Pacific Land Corporation) | |
|---|---|---|
| 1-year return | +22.3% | +22.8% |
| 5-year return | +153.0% | +149.6% |
| Volatility (ann.) | 22.1% | 50.0% |
| Beta vs S&P 500 | 0.29 | 0.62 |
| Max drawdown (3Y) | -18.4% | -52.2% |
| Market cap | $70.2B | $25.5B |
| P/E (trailing) | 20.6 | 47.2 |
| Dividend yield | 3.69% | 0.61% |
| Sector / category | Energy | Energy |
Year-by-year returns
| Year | KMI | TPL |
|---|---|---|
| 2022 | +21.2% | +91.3% |
| 2023 | +4.1% | -32.4% |
| 2024 | +64.4% | +115.3% |
| 2025 | +4.8% | -21.6% |
| 2026 | +18.0% | +29.1% |
Calendar-year price returns; the current year is year-to-date as of the data date above.
Are KMI and TPL good diversifiers for each other?
Yes, to a useful degree: a correlation of 0.48 leaves real independence between the two, which historically damped combined volatility.
FAQ
What is the correlation between KMI and TPL?
As of 2026-08-27, the correlation of weekly returns between KMI and TPL is 0.48 over 3 years, 0.46 over 1 year and 0.50 over 5 years.
Is TPL a good diversifier for KMI?
Yes, to a useful degree: a correlation of 0.48 leaves real independence between the two, which historically damped combined volatility.
What does a correlation of 0.48 mean?
Correlation ranges from −1 to +1. Values near +1 mean two assets move together, near 0 that they move independently, and negative values that they tend to move in opposite directions. It measures co-movement, not performance.
Use this data
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Related comparisons
Hubs: KMI correlations · TPL correlations
