Cheniere Energy’s Q3 GAAP EPS of -$1.49 misses by $7.21

Trending News 🌧️

Cheniere Energy ($NYSEAM:LNG) is a natural gas company based in Houston, Texas. The company operates a liquefied natural gas terminal in Sabine Pass, Louisiana, and is developing a second LNG terminal in Corpus Christi, Texas. Cheniere Energy also owns a fleet of LNG carriers. Revenue of $4.98 billion also missed estimates by $2.98 billion.

Adjusted EBITDA came in at $1.5 billion. Cheniere Energy reaffirmed its full-year guidance for 2022, expecting to pay a distribution of $4.00 to $4.25 per common unit.

Earnings

Cheniere Energy reported its earnings for the second quarter of fiscal year 2022 ended June 30. This is the third consecutive quarterly loss for Cheniere Energy. The company attributed the loss in the second quarter to higher operating expenses andlower realized prices for its liquefied natural gas products.

Looking forward, Cheniere Energy said it expects to continue to invest in its business and grow its production of LNG. It also said it is committed to reducing its debt and improving its financial position.

Market Price

Cheniere Energy‘s Q3 GAAP EPS of -$1.49 misses by $7.21. However, the company’s stock price has not been too affected by this news and has remained mostly positive. On Thursday, CHENIERE ENERGY stock opened at $172.5 and closed at $177.0, only down by 0.9% from prior closing price of 178.6. This indicates that investors are not too worried about the company’s EPS miss and are still confident in its future prospects.

VI Analysis

The company is involved in the liquefied natural gas business and is the largest LNG exporter in the United States. The company has a moderate health score with regard to its cashflows and debt and is classified as a “rhino” type of company. Rhino companies are those that have achieved moderate revenue or earnings growth. CHENIERE ENERGY is strong in asset, growth, and medium in dividend, profitability.

VI Peers

The competition between Cheniere Energy Inc and its competitors is fierce. Cheniere Energy Partners LP, Energy Transfer LP, and Anhui Province Natural Gas Development Co Ltd are all vying for a piece of the pie. Cheniere Energy Inc has the advantage of being the only company with access to liquefied natural gas (LNG) export facilities in the United States. However, its competitors are not far behind. Energy Transfer LP has proposed a $30 billion merger with Williams Companies Inc, which would give it access to LNG export facilities. Anhui Province Natural Gas Development Co Ltd has also been busy expanding its LNG business. In the end, it will be up to the market to decide who will be the winner.

– Cheniere Energy Partners LP ($NYSEAM:CQP)

Cheniere Energy Partners is a liquefied natural gas company that owns and operates the Sabine Pass LNG terminal in Louisiana. The company has a market cap of $27.27 billion and a return on equity of -56.98%. Cheniere Energy Partners is the largest provider of liquefied natural gas in the United States and one of the largest in the world. The company’s Sabine Pass LNG terminal is the largest in the world, with a capacity of 7.8 million metric tons per year.

– Energy Transfer LP ($NYSE:ET)

Energy Transfer LP is one of the largest energy companies in the United States. The company owns and operates a network of natural gas pipelines and storage facilities. Energy Transfer LP has a market cap of 36.67B as of 2022, a Return on Equity of 14.71%. The company is focused on the transportation, storage, and processing of natural gas and crude oil. Energy Transfer LP has a diversified portfolio of assets and is one of the largest energy companies in the United States.

– Anhui Province Natural Gas Development Co Ltd ($SHSE:603689)

Anhui Province Natural Gas Development Co Ltd is a Chinese state-owned enterprise engaged in the development, production, and marketing of natural gas. The company has a market cap of 3.53 billion as of 2022 and a return on equity of 7.42%. The company operates in the Anhui province of China and is one of the largest natural gas producers in the country.

Summary

Cheniere Energy is a leading player in the liquefied natural gas space and is one of the largest producers and exporters of LNG in the world. The company has a strong growth outlook, driven by its world-class asset base and growing demand for LNG globally. The company has a strong asset base, a growing demand for its product, and a sound growth outlook.