As I have written in my previous post, KMI has sunk in the past few months. The company is in trouble now with their high debt and a low oil price environment. They will definitely need to restructure their company financials to survive this oil crisis. They have already started this by cutting dividends and allocating the extra cash to debt repayment.
Perhaps KMI may recover over the long term, but in the short term I believe that KMI is dead money. Furthermore, since KMI has slashed their dividends, they do not my strategy any more. Therefore, I have decided to sell my KMI shares in the IRA Portfolio, even at a huge loss. I sold all my KMI shares at $15.15 on December 20th. With a purchase price of $29, my gain/loss was 48%. Unfortunately, this loss will add to the damage done to my IRA Portfolio and this will be another tough lesson learned.