Top Rated Stock| 3 Undervalued Cash Cows Ready to Explode

While the Magnificent Seven tech giants swing wildly on AI hype and rate-cut uncertainty, three old-school industry titans just posted Q3 numbers that scream “the torch is passing”: one quietly controls the pipes feeding America’s power grid, one is swimming in the ultimate crisis-proof asset, and one holds the keys to the world’s drilling engines… yet the crowd is still asleep.

HERE ARE OUR PICKS FOR THIS WEEK!

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Kinder Morgan Inc (KMI): Steady Dividend Powerhouse in Energy Infrastructure

Kinder Morgan, North America's premier energy infrastructure operator, reported solid Q3 2025 results that underscore its defensive, fee-based business model amid fluctuating commodity prices. Revenue reached $4.15 billion, with adjusted EBITDA climbing 6% year-over-year to $1.991 billion, driven primarily by the Natural Gas Pipelines segment's 10.4% EBDA growth to $1.4 billion from surging LNG feedgas demand and power generation volumes.

Net income attributable to KMI stood at $628 million ($0.28 per share), while adjusted net income rose 16% to $648 million. The company achieved its leverage target of 3.9x net debt-to-adjusted EBITDA ahead of schedule, enhancing financial flexibility for its record $9.3 billion project backlog—90% natural gas-focused with an attractive 5.7x EBITDA multiple.

Management raised the annual dividend 2% to $1.17 per share (current yield ~4.3%), payable November 17, 2025, marking consistent growth supported by visible cash flows.

Despite softer crude volumes and seasonal natural gas pressures, KMI expects to exceed its 2025 adjusted EBITDA guidance of $8.3 billion, fueled by data center power needs, renewable natural gas, and U.S. export growth.

Outlook:

With insider confidence, a fortified balance sheet, and multi-year visibility into mid-single-digit growth, KMI remains a cornerstone for income-oriented investors in the energy transition era. Shares offer compelling value, with analyst targets implying 15%+ upside to $31-32, plus high-single-digit total returns through 2027.

Newmont Corporation (NEM): Premier Gold Miner Capitalizing on Elevated Prices

Newmont delivered exceptional Q3 2025 performance, leveraging record gold prices averaging $3,539 per realized ounce to generate revenue of $5.52 billion (up 20% YoY) and a quarterly record $1.6 billion in free cash flow—the fourth straight quarter above $1 billion. Attributable gold production was 1.42 million ounces at an all-in sustaining cost (AISC) of $1,566 per ounce, with adjusted EBITDA soaring to $3.3 billion and adjusted net income reaching $1.9 billion ($1.71 per share), more than doubling year-over-year. Net income hit $1.8 billion, bolstered by operational efficiencies post-Newcrest integration and disciplined cost management.

The company returned $823 million to shareholders via dividends ($0.25 per share) and buybacks, while retiring $2 billion in debt to achieve near-zero net debt and $9.6 billion in liquidity. Asset divestitures added $640 million in proceeds, advancing the portfolio optimization program. Newmont tightened 2025 guidance, maintaining 5.9 million ounces of attributable production while improving cost and capital metrics.

Outlook:

In an environment of persistent geopolitical risks, central bank buying, and potential currency pressures sustaining gold above $3,500, Newmont's Tier 1 asset base positions it for continued margin expansion. Analysts project EPS growth into 2026, supported by copper by-product credits and synergy realization. Trading at attractive multiples with substantial leverage to gold, NEM is a core holding for precious metals exposure. Expect shares to reach $100-110 by end-2026, delivering 20%+ total returns including dividends.

Halliburton Company (HAL): Oilfield Services Leader Positioned for International Rebound

Halliburton navigated a mixed Q3 2025 with total revenue of $5.6 billion (up 2% sequentially), beating estimates despite North American headwinds from producer caution and lower crude prices. Completion & Production segment revenue rose to $3.2 billion (+2% QoQ) with 16% margins, while Drilling & Evaluation contributed $2.4 billion (+2% QoQ) at 15% margins. North America revenue grew 5% to $2.4 billion on stronger stimulation and tools sales, but international remained flat at $3.2 billion amid regional variances. Adjusted net income was $496 million ($0.58 per share), exceeding consensus, though reported net income reflected $284 million in impairments and severance charges for efficiency measures yielding $100 million quarterly savings starting 2026.

Free cash flow reached $276 million, supporting dividends (~2.5% yield) and buybacks. Management idled underperforming equipment and reset 2026 capex lower, enhancing liquidity by $800 million. International markets, especially Middle East offshore and Latin America drilling, provide offsets to domestic softness.

Outlook:

As global upstream spending rebounds 3-5% annually post-2025 and energy demand endures, Halliburton's technological leadership in electric fracturing, digital tools, and carbon solutions positions it for margin recovery. Consensus targets near $35 suggest 30% upside, with potential for $40+ by 2027 on normalized rig counts and crude above $70. A high-conviction cyclical opportunity for patient energy investors.