Cheniere Energy (LNG) Upgraded to Hold by Zacks Investment Research
Zacks Investment Research upgraded shares of Cheniere Energy (NYSEAMERICAN:LNG) from a strong sell rating to a hold rating in a research report sent to investors on Monday morning.
According to Zacks, “Cheniere Energy – with its first-mover advantage in exporting liquefied natural gas from the U.S. – is primed for significant revenue and earnings growth. The company is the only LNG exporter of the U.S. and plans to turn the natural gas glut into export revolution, currently exporting to over 20 countries. Further, Cheniere Energy's long term contracts protect its future income and lowers exposure to commodity price fluctuations, while offering excellent cash flow visibility. The company's recent gas supply deals with Poland, Lithuania and South Korea is likely to boost its revenue growth trajectory in the coming years. However, setting up natural gas liquefaction plants is a costly affair that requires high capital spending. This has translated into a huge debt burden for the company, thereby deteriorating its leverage and credit metrics. Therefore, we take a cautious stance on the prospects of the stock.”
LNG has been the topic of a number of other reports. BidaskClub raised shares of Cheniere Energy from a sell rating to a hold rating in a research note on Saturday, November 4th. Scotiabank reaffirmed a buy rating and issued a $52.00 price objective on shares of Cheniere Energy in a research note on Wednesday, October 25th. Citigroup upped their price objective on shares of Cheniere Energy from $57.00 to $59.00 and gave the company a buy rating in a research note on Thursday, November 16th. BMO Capital Markets began coverage on shares of Cheniere Energy in a research note on Monday, September 25th. They issued an outperform rating and a $60.00 price objective on the stock. Finally, Cowen began coverage on shares of Cheniere Energy in a research note on Friday, November 17th. They issued a market perform rating and a $56.00 price objective on the stock. One equities research analyst has rated the stock with a sell rating, four have issued a hold rating and nine have given a buy rating to the company. The company has a consensus rating of Buy and a consensus price target of $54.46.
Cheniere Energy (LNG) traded down $0.06 on Monday, reaching $53.88. 2,373,400 shares of the company’s stock were exchanged, compared to its average volume of 2,349,443. Cheniere Energy has a 52-week low of $40.36 and a 52-week high of $56.14. The company has a market cap of $13,120.00, a price-to-earnings ratio of -30.61 and a beta of 1.81.
Cheniere Energy (NYSEAMERICAN:LNG) last posted its quarterly earnings data on Tuesday, November 14th. The energy company reported ($1.24) EPS for the quarter, missing the Zacks’ consensus estimate of ($0.16) by ($1.08). The firm had revenue of $1.40 billion for the quarter, compared to the consensus estimate of $1.27 billion. During the same quarter in the prior year, the company posted ($0.41) earnings per share. The business’s revenue was up 201.7% on a year-over-year basis.
In other news, Director Vicky A. Bailey sold 5,800 shares of the company’s stock in a transaction on Tuesday, January 2nd. The shares were sold at an average price of $54.44, for a total value of $315,752.00. Following the completion of the sale, the director now owns 35,765 shares in the company, valued at approximately $1,947,046.60. The transaction was disclosed in a document filed with the SEC, which is accessible through this hyperlink. Also, Director Nuno Brandolini sold 20,000 shares of the stock in a transaction dated Friday, December 15th. The shares were sold at an average price of $50.02, for a total transaction of $1,000,400.00. Following the transaction, the director now owns 232,271 shares of the company’s stock, valued at approximately $11,618,195.42. The disclosure for this sale can be found here. In the last 90 days, insiders have sold 45,800 shares of company stock worth $2,299,152.
Institutional investors and hedge funds have recently bought and sold shares of the stock. Point72 Asset Management L.P. grew its position in Cheniere Energy by 899.3% during the third quarter. Point72 Asset Management L.P. now owns 1,050,944 shares of the energy company’s stock valued at $47,335,000 after buying an additional 945,777 shares during the period. Janus Henderson Group PLC grew its position in Cheniere Energy by 22.1% during the second quarter. Janus Henderson Group PLC now owns 42,389 shares of the energy company’s stock valued at $2,065,000 after buying an additional 7,667 shares during the period. Brookfield Asset Management Inc. grew its position in Cheniere Energy by 43.3% during the second quarter. Brookfield Asset Management Inc. now owns 1,873,390 shares of the energy company’s stock valued at $91,253,000 after buying an additional 566,100 shares during the period. Hennessy Advisors Inc. grew its position in Cheniere Energy by 6.5% during the third quarter. Hennessy Advisors Inc. now owns 1,600,417 shares of the energy company’s stock valued at $72,083,000 after buying an additional 98,000 shares during the period. Finally, Asset Management One Co. Ltd. grew its position in Cheniere Energy by 1.2% during the third quarter. Asset Management One Co. Ltd. now owns 368,680 shares of the energy company’s stock valued at $16,582,000 after buying an additional 4,247 shares during the period.
Cheniere Energy Company Profile
Cheniere Energy, Inc (Cheniere) is an energy company primarily engaged in liquefied natural gas (LNG)-related businesses. The Company operates through two segments: LNG terminal business, and LNG and natural gas marketing business. Its LNG terminal segment consists of the Sabine Pass and Corpus Christi LNG terminals.
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