Cheniere Energy (LNG) Dips More Than Broader Markets: What You Should Know
In the latest trading session, Cheniere Energy (LNG) closed at $143.99, marking a -1.97% move from the previous day. This move lagged the S&P 500's daily loss of 1.1%. Meanwhile, the Dow lost 1.19%, and the Nasdaq, a tech-heavy index, lost 3.27%.
Coming into today, shares of the natural gas company had lost 1.29% in the past month. In that same time, the Oils-Energy sector lost 10.83%, while the S&P 500 lost 3.02%.
Investors will be hoping for strength from Cheniere Energy as it approaches its next earnings release. On that day, Cheniere Energy is projected to report earnings of $5.38 per share, which would represent a year-over-year decline of 26.8%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $6.52 billion, down 12.88% from the year-ago period.
LNG's full-year Zacks Consensus Estimates are calling for earnings of $16.22 per share and revenue of $23.11 billion. These results would represent year-over-year changes of +187.59% and -30.86%, respectively.
Investors might also notice recent changes to analyst estimates for Cheniere Energy. These recent revisions tend to reflect the evolving nature of short-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection has moved 8.69% higher. Cheniere Energy is holding a Zacks Rank of #3 (Hold) right now.
Investors should also note Cheniere Energy's current valuation metrics, including its Forward P/E ratio of 9.05. This valuation marks a premium compared to its industry's average Forward P/E of 5.44.
Meanwhile, LNG's PEG ratio is currently 0.85. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. Oil and Gas - Exploration and Production - United States stocks are, on average, holding a PEG ratio of 0.29 based on yesterday's closing prices.
The Oil and Gas - Exploration and Production - United States industry is part of the Oils-Energy sector. This group has a Zacks Industry Rank of 227, putting it in the bottom 10% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
To follow LNG in the coming trading sessions, be sure to utilize Zacks.com.
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Cheniere Energy, Inc. (LNG) : Free Stock Analysis Report
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