AMEX:LNG

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Executive Summary

Cheniere Energy, Inc., an energy company, engages in the liquefied natural gas (LNG) related businesses in the United States.


Snowflake Analysis

Solid track record and fair value.


Similar Companies

Share Price & News

How has Cheniere Energy'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

-0.4%

LNG

-4.4%

US Oil and Gas

2.3%

US Market


1 Year Return

-30.1%

LNG

-43.6%

US Oil and Gas

6.7%

US Market

Return vs Industry: LNG exceeded the US Oil and Gas industry which returned -43.6% over the past year.

Return vs Market: LNG underperformed the US Market which returned 6.7% over the past year.


Shareholder returns

LNGIndustryMarket
7 Day-0.4%-4.4%2.3%
30 Day5.3%-7.4%7.4%
90 Day25.9%5.3%17.9%
1 Year-30.1%-30.1%-41.0%-43.6%9.0%6.7%
3 Year1.0%1.0%-35.4%-42.3%36.6%27.7%
5 Year-26.4%-26.4%-38.5%-48.6%64.2%46.1%

Price Volatility Vs. Market

How volatile is Cheniere Energy's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Cheniere Energy undervalued compared to its fair value and its price relative to the market?

40.0%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: LNG ($48.59) is trading below our estimate of fair value ($81.05)

Significantly Below Fair Value: LNG is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: LNG is poor value based on its PE Ratio (14.1x) compared to the US Oil and Gas industry average (7.7x).

PE vs Market: LNG is good value based on its PE Ratio (14.1x) compared to the US market (16.2x).


Price to Earnings Growth Ratio

PEG Ratio: LNG is poor value based on its PEG Ratio (1.1x)


Price to Book Ratio

PB vs Industry: LNG is overvalued based on its PB Ratio (62.5x) compared to the US Oil and Gas industry average (0.7x).


Next Steps

Future Growth

How is Cheniere Energy forecast to perform in the next 1 to 3 years based on estimates from 13 analysts?

13.2%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: LNG's forecast earnings growth (13.2% per year) is above the savings rate (2.2%).

Earnings vs Market: LNG's earnings (13.2% per year) are forecast to grow slower than the US market (22.9% per year).

High Growth Earnings: LNG's earnings are forecast to grow, but not significantly.

Revenue vs Market: LNG's revenue (11.3% per year) is forecast to grow faster than the US market (9.4% per year).

High Growth Revenue: LNG's revenue (11.3% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: LNG's Return on Equity is forecast to be very high in 3 years time (51%).


Next Steps

Past Performance

How has Cheniere Energy performed over the past 5 years?

60.6%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: LNG has high quality earnings.

Growing Profit Margin: LNG's current net profit margins (9.1%) are higher than last year (3.2%).


Past Earnings Growth Analysis

Earnings Trend: LNG has become profitable over the past 5 years, growing earnings by 60.6% per year.

Accelerating Growth: LNG's earnings growth over the past year (247.3%) exceeds its 5-year average (60.6% per year).

Earnings vs Industry: LNG earnings growth over the past year (247.3%) exceeded the Oil and Gas industry -19.8%.


Return on Equity

High ROE: Whilst LNG's Return on Equity (55.09%) is outstanding, this metric is skewed due to their high level of debt.


Next Steps

Financial Health

How is Cheniere Energy's financial position?


Financial Position Analysis

Short Term Liabilities: LNG's short term assets ($3.9B) exceed its short term liabilities ($3.7B).

Long Term Liabilities: LNG's short term assets ($3.9B) do not cover its long term liabilities ($29.4B).


Debt to Equity History and Analysis

Debt Level: LNG's debt to equity ratio (1153.6%) is considered high.

Reducing Debt: LNG's debt to equity ratio has increased from 522.2% to 1153.6% over the past 5 years.

Debt Coverage: LNG's debt is not well covered by operating cash flow (6.4%).

Interest Coverage: LNG's interest payments on its debt are not well covered by EBIT (1.6x coverage).


Balance Sheet


Next Steps

Dividend

What is Cheniere Energy current dividend yield, its reliability and sustainability?

1.47%

Forecast Dividend Yield


Dividend Yield vs Market

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

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


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

4.1yrs

Average management tenure


CEO

Jack Fusco (58yo)

4.17yrs

Tenure

US$16,789,520

Compensation

Mr. Jack A. Fusco has been the Chief Executive Officer and President at Cheniere Energy, Inc. and Cheniere Energy Partners LP Holdings, LLC since May 12, 2016. He serves as the Chief Executive Officer of S ...


CEO Compensation Analysis

Compensation vs Market: Jack's total compensation ($USD16.79M) is above average for companies of similar size in the US market ($USD11.50M).

Compensation vs Earnings: Jack's compensation has been consistent with company performance over the past year.


Leadership Team

NamePositionTenureCompensationOwnership
Jack Fusco
President4.17yrsUS$16.79m0.29% $36.0m
Michael Wortley
Executive VP & CFO6.5yrsUS$5.86m0.18% $22.3m
Aaron Stephenson
Senior Vice President of Operations0.67yrUS$3.42m0.0089% $1.1m
Sean Markowitz
Executive VP4.08yrsUS$3.18m0.017% $2.0m
Anatol Feygin
Executive VP & Chief Commercial Officer3.83yrsUS$4.69m0.052% $6.4m
Leonard Travis
Senior VP & Chief Accounting Officer6.5yrsno data0.018% $2.2m
Randy Bhatia
Vice President of Investor Relationsno datano datano data
Deanna Newcomb
Chief Compliance & Ethics Officer and VP of Internal Auditno datano datano data
Christopher Smith
Senior Vice President of Policy2.67yrsno datano data
Oliver Tuckerman
Vice President of Corporate Development & Strategyno datano datano data

4.1yrs

Average Tenure

54.5yo

Average Age

Experienced Management: LNG's management team is considered experienced (4.1 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Jack Fusco
President4.17yrsUS$16.79m0.29% $36.0m
David Foley
Director7.92yrsUS$290.02kno data
Nuno Brandolini
Independent Director20.5yrsUS$290.02k0.093% $11.4m
Gary Botta
Independent Chairman of the Board4.58yrsUS$478.78k0.026% $3.2m
David Kilpatrick
Independent Director17.5yrsUS$290.02k0.036% $4.4m
Donald Robillard
Independent Director5.83yrsUS$325.01k0.015% $1.8m
Vicky Bailey
Independent Director14.33yrsUS$290.02k0.015% $1.9m
Neal Shear
Independent Director6.08yrsUS$315.05k0.013% $1.6m
Courtney Mather
Independent Director2.17yrsUS$295.04k0.0059% $719.1k
Andrew Langham
Independent Director2.92yrsUS$295.04k0.0080% $983.7k

6.0yrs

Average Tenure

65.5yo

Average Age

Experienced Board: LNG's board of directors are considered experienced (6 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

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


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Cheniere Energy, Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Cheniere Energy, Inc.
  • Ticker: LNG
  • Exchange: AMEX
  • Founded: 1983
  • Industry: Oil and Gas Storage and Transportation
  • Sector: Energy
  • Market Cap: US$12.250b
  • Shares outstanding: 252.11m
  • Website: https://www.cheniere.com

Number of Employees


Location

  • Cheniere Energy, Inc.
  • 700 Milam Street
  • Suite 1900
  • Houston
  • Texas
  • 77002
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
LNGAMEX (NYSE MKT LLC)YesCommon StockUSUSDJan 1975
CHQ1DB (Deutsche Boerse AG)YesCommon StockDEEURJan 1975
LNG *BMV (Bolsa Mexicana de Valores)YesCommon StockMXMXNJan 1975
0HWHLSE (London Stock Exchange)YesCommon StockGBUSDJan 1975

Biography

Cheniere Energy, Inc., an energy company, engages in the liquefied natural gas (LNG) related businesses in the United States. The company owns and operates Sabine Pass LNG terminal in Cameron Parish, Louisiana; and Corpus Christi LNG terminal near Corpus Christi, Texas. It also owns Creole Trail pipeline, a 94-mile pipeline interconnecting the Sabine Pass LNG terminal with various interstate pipelines; and operates Corpus Christi pipeline, a 23-mile natural gas supply pipeline that interconnects the Corpus Christi LNG terminal with various interstate and intrastate natural gas pipelines. In addition, the company is involved in the LNG and natural gas marketing business. Cheniere Energy, Inc. was founded in 1983 and is headquartered in Houston, Texas. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/07/11 23:54
End of Day Share Price2020/07/10 00:00
Earnings2020/03/31
Annual Earnings2019/12/31


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.