ASX:LNG

Stock Analysis Report

Liquefied Natural Gas

Executive Summary

Liquefied Natural Gas Limited, together with its subsidiaries, engages in the identification and progression of liquefied natural gas (LNG) development projects to facilitate the production and sale of LNG.

Snowflake

Fundamentals

Adequate balance sheet with poor track record.


Similar Companies

Share Price & News

How has Liquefied Natural Gas's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: LNG's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

-12.8%

LNG

-0.06%

AU Oil and Gas

-0.1%

AU Market


1 Year Return

-55.9%

LNG

5.2%

AU Oil and Gas

16.5%

AU Market

Return vs Industry: LNG underperformed the Australian Oil and Gas industry which returned 5.2% over the past year.

Return vs Market: LNG underperformed the Australian Market which returned 16.5% over the past year.


Shareholder returns

LNGIndustryMarket
7 Day-12.8%-0.06%-0.1%
30 Day-8.9%4.2%1.5%
90 Day5.1%7.5%3.5%
1 Year-55.9%-55.9%9.6%5.2%23.2%16.5%
3 Year-68.2%-68.2%21.0%8.4%41.1%21.9%
5 Year-94.4%-94.4%-7.4%-20.6%55.2%20.6%

Price Volatility Vs. Market

How volatile is Liquefied Natural Gas's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Liquefied Natural Gas undervalued compared to its fair value and its price relative to the market?

3.75x

Price to Book (PB) ratio


Share Price vs. Fair Value

Below Fair Value: Insufficient data to calculate LNG's fair value to establish if it is undervalued.

Significantly Below Fair Value: Insufficient data to calculate LNG's fair value to establish if it is undervalued.


Price To Earnings Ratio

PE vs Industry: LNG is unprofitable, so we can't compare its PE Ratio to the Oil and Gas industry average.

PE vs Market: LNG is unprofitable, so we can't compare its PE Ratio to the Australian market.


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate LNG's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: LNG is overvalued based on its PB Ratio (3.7x) compared to the AU Oil and Gas industry average (1.5x).


Next Steps

Future Growth

How is Liquefied Natural Gas forecast to perform in the next 1 to 3 years based on estimates from 1 analyst?

-171.0%

Forecasted annual revenue growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: Insufficient data to determine if LNG's forecast earnings growth is above the savings rate (2.3%).

Earnings vs Market: Insufficient data to determine if LNG's earnings are forecast to grow faster than the Australian market

High Growth Earnings: Insufficient data to determine if earnings are expected to grow significantly over the next 3 years.

Revenue vs Market: LNG is forecast to have no revenue next year.

High Growth Revenue: LNG is forecast to have no revenue next year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: Insufficient data to determine if LNG's Return on Equity is forecast to be high in 3 years time


Next Steps

Past Performance

How has Liquefied Natural Gas performed over the past 5 years?

20.0%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: LNG has high quality earnings.

Growing Profit Margin: LNG is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: LNG is unprofitable, but has reduced losses over the past 5 years at a rate of 20% per year.

Accelerating Growth: Unable to compare LNG's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: LNG is unprofitable, making it difficult to compare its past year earnings growth to the Oil and Gas industry (68.1%).


Return on Equity

High ROE: LNG has a negative Return on Equity (-107.73%), as it is currently unprofitable.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is Liquefied Natural Gas's financial position?


Financial Position Analysis

Short Term Liabilities: LNG's short term assets (A$22.9M) exceeds its short term liabilities (A$3.6M)

Long Term Liabilities: LNG's short term assets (A$22.9M) exceeds its long term liabilities (27.0K)


Debt to Equity History and Analysis

Debt Level: LNG is debt free.

Reducing Debt: LNG had no debt 5 years ago.


Balance Sheet

Inventory Level: LNG has a high level of physical assets or inventory.

Debt Coverage by Assets: Insufficient data to determine if LNG's debt is covered by short term assets.


Cash Runway Analysis

For companies that have on average been loss making in the past we assess whether they have at least 1 year of cash runway.

Stable Cash Runway: LNG has less than a year of cash runway based on its current free cash flow.

Forecast Cash Runway: LNG has less than a year of cash runway if free cash flow continues to grow at historical rates of 54.1% each year.


Next Steps

Dividend

What is Liquefied Natural Gas's current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

companyn/amarketbottom25%2.4%markettop25%5.6%industryaverage4.3%forecastin3Yearsn/a

Current dividend yield vs market & industry

Notable Dividend: Unable to evaluate LNG's dividend yield against the bottom 25% of dividend payers, as the company has not reported any payouts.

High Dividend: Unable to evaluate LNG's dividend yield against the top 25% of dividend payers, as the company has not reported any payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if LNG's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if LNG's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of LNG's dividend in 3 years as they are not forecast to pay a notable one for the Australian market.


Next Steps

Management

What is the CEO of Liquefied Natural Gas's salary, the management and board of directors tenure and is there insider trading?

3.6yrs

Average management tenure


CEO

Greg Vesey (60yo)

3.6yrs

Tenure

AU$1,591,353

Compensation

Mr. Gregory Matthew Vesey, also known as Greg, has been the Chief Executive Officer, Managing Director and Director at Liquefied Natural Gas Limited (LNGL) since April 04, 2016. Mr. Vesey serves as Vice Pr ...


CEO Compensation Analysis

Compensation vs Market: Greg's total compensation ($USD1.09M) is above average for companies of similar size in the Australian market ($USD254.75K).

Compensation vs Earnings: Greg's compensation has increased whilst the company is unprofitable.


Management Age and Tenure

3.6yrs

Average Tenure

58yo

Average Age

Experienced Management: LNG's management team is considered experienced (3.6 years average tenure).


Board Age and Tenure

4.8yrs

Average Tenure

60yo

Average Age

Experienced Board: LNG's board of directors are considered experienced (4.8 years average tenure).


Insider Trading

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

BuyAU$17,058,03615 Nov 19
The Baupost Group, LLC
EntityCompany
Shares3,921,387
Max PriceAU$4.35
SellAU$59,38528 Aug 19
Gregory Vesey
EntityIndividual
Role
Chief Executive Officer
MD, CEO & Director
Shares237,541
Max PriceAU$0.25

Ownership Breakdown

Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 10.4%.


Management Team

  • Greg Vesey (60yo)

    MD, CEO & Director

    • Tenure: 3.6yrs
    • Compensation: AU$1.59m
  • Mike Mott (58yo)

    Chief Financial Officer

    • Tenure: 5.1yrs
    • Compensation: AU$1.11m
  • Lincoln Clark

    Group Engineering & Operations Manager

    • Tenure: 0yrs
  • Kinga Doris (49yo)

    General Counsel & Joint Company Secretary

    • Tenure: 4.2yrs
    • Compensation: AU$924.92k
  • Roy Drew

    General Manager of Operations

    • Tenure: 0yrs
    • Compensation: AU$109.01k
  • John Baguley

    Chief Operating Officer

    • Tenure: 2.4yrs
    • Compensation: AU$1.12m
  • Emma Connor

    Group Financial Controller & Treasurer

    • Tenure: 0yrs
  • Lisa Vassallo

    Vice President of Human Resources

    • Tenure: 4.8yrs
  • Andrew Gould

    Group Development Manager & Joint Company Secretary

    • Tenure: 3.2yrs
  • Joe B'Oris

    Chief Development Officer

    • Tenure: 2yrs
    • Compensation: AU$818.08k

Board Members

  • Mike Steuert (71yo)

    Independent Non-Executive Director

    • Tenure: 4.8yrs
    • Compensation: AU$240.66k
  • Greg Vesey (60yo)

    MD, CEO & Director

    • Tenure: 3.6yrs
    • Compensation: AU$1.59m
  • Richard Beresford

    Independent Non-Executive Director

    • Tenure: 15.8yrs
    • Compensation: AU$168.86k
  • Leeanne Bond (54yo)

    Independent Non-Executive Director

    • Tenure: 10.1yrs
    • Compensation: AU$146.88k
  • Phil Moeller

    Independent Non-Executive Director

    • Tenure: 3.9yrs
    • Compensation: AU$248.66k

Company Information

Liquefied Natural Gas Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Liquefied Natural Gas Limited
  • Ticker: LNG
  • Exchange: ASX
  • Founded:
  • Industry: Oil and Gas Storage and Transportation
  • Sector: Energy
  • Market Cap: AU$120.957m
  • Shares outstanding: 575.99m
  • Website: https://www.lnglimited.com.au

Location

  • Liquefied Natural Gas Limited
  • 1001 McKinney
  • Suite 600
  • Houston
  • Texas
  • 77002
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
LNGASX (Australian Securities Exchange)YesOrdinary SharesAUAUDSep 2004
LNGL.FOTCPK (Pink Sheets LLC)YesOrdinary SharesUSUSDSep 2004
LI5DB (Deutsche Boerse AG)YesOrdinary SharesDEEURSep 2004
LNGCHIA (Chi-X Australia)YesOrdinary SharesAUAUDSep 2004
LNGL.YOTCPK (Pink Sheets LLC)SPONSORED ADRUSUSDFeb 2014

Biography

Liquefied Natural Gas Limited, together with its subsidiaries, engages in the identification and progression of liquefied natural gas (LNG) development projects to facilitate the production and sale of LNG ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/11/19 10:32
End of Day Share Price2019/11/18 00:00
Earnings2019/06/30
Annual Earnings2019/06/30


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.