Cheniere Energy (NYSE:LNG) Downgraded by Zacks Research to Hold

Zacks Research cut shares of Cheniere Energy (NYSE:LNG) from a strong-buy rating to a hold rating in a research report report published on Wednesday morning,Zacks.com reports.

LNG has been the subject of a number of other research reports. Barclays upped their price objective on shares of Cheniere Energy from $259.00 to $271.00 and gave the company an “overweight” rating in a report on Friday, February 27th. UBS Group set a $290.00 price objective on shares of Cheniere Energy in a report on Wednesday, May 13th. JPMorgan Chase & Co. upped their price objective on shares of Cheniere Energy from $325.00 to $327.00 and gave the company an “overweight” rating in a report on Wednesday, June 3rd. Scotiabank reissued an “outperform” rating on shares of Cheniere Energy in a report on Wednesday, May 13th. Finally, Weiss Ratings lowered shares of Cheniere Energy from a “buy (b)” rating to a “hold (c)” rating in a report on Monday, May 11th. One analyst has rated the stock with a Strong Buy rating, sixteen have given a Buy rating and three have given a Hold rating to the company. Based on data from MarketBeat, Cheniere Energy currently has an average rating of “Moderate Buy” and an average target price of $298.63.

Cheniere Energy Price Performance

Shares of NYSE LNG opened at $239.78 on Wednesday. The firm has a 50-day simple moving average of $251.98 and a 200-day simple moving average of $231.14. The stock has a market capitalization of $50.25 billion and a price-to-earnings ratio of 39.44. The company has a quick ratio of 0.48, a current ratio of 0.57 and a debt-to-equity ratio of 2.55. Cheniere Energy has a 52 week low of $186.20 and a 52 week high of $300.89.

Cheniere Energy (NYSE:LNG) last announced its quarterly earnings data on Wednesday, May 6th. The energy company reported ($16.65) earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $4.25 by ($20.90). Cheniere Energy had a net margin of 7.23% and a return on equity of 38.95%. The firm had revenue of $5.87 billion during the quarter, compared to analysts’ expectations of $5.69 billion. During the same period in the prior year, the company posted $1.57 EPS. The company’s revenue for the quarter was up 7.8% compared to the same quarter last year. On average, equities analysts predict that Cheniere Energy will post 14.93 earnings per share for the current fiscal year.

Cheniere Energy Announces Dividend

The business also recently announced a quarterly dividend, which was paid on Tuesday, May 19th. Shareholders of record on Monday, May 11th were paid a dividend of $0.555 per share. This represents a $2.22 annualized dividend and a yield of 0.9%. The ex-dividend date of this dividend was Monday, May 11th. Cheniere Energy’s dividend payout ratio (DPR) is 36.51%.

Cheniere Energy declared that its Board of Directors has authorized a stock buyback program on Thursday, February 26th that authorizes the company to buyback $10.00 billion in shares. This buyback authorization authorizes the energy company to reacquire up to 21.1% of its shares through open market purchases. Shares buyback programs are usually an indication that the company’s board of directors believes its stock is undervalued.

Insider Activity

In other Cheniere Energy news, CFO Zach Davis sold 29,000 shares of the stock in a transaction dated Monday, March 30th. The shares were sold at an average price of $300.00, for a total transaction of $8,700,000.00. Following the completion of the transaction, the chief financial officer owned 87,146 shares of the company’s stock, valued at $26,143,800. This trade represents a 24.97% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is available through the SEC website. Also, EVP Sean N. Markowitz sold 22,246 shares of the stock in a transaction dated Thursday, March 26th. The stock was sold at an average price of $290.98, for a total transaction of $6,473,141.08. Following the transaction, the executive vice president directly owned 64,000 shares of the company’s stock, valued at approximately $18,622,720. This trade represents a 25.79% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Company insiders own 0.55% of the company’s stock.

Institutional Inflows and Outflows

Several hedge funds have recently bought and sold shares of LNG. Strive Financial Group LLC purchased a new position in Cheniere Energy during the fourth quarter worth about $25,000. Kohmann Bosshard Financial Services LLC purchased a new position in Cheniere Energy during the fourth quarter worth about $26,000. Financial Life Planners purchased a new position in Cheniere Energy during the first quarter worth about $26,000. Caitong International Asset Management Co. Ltd purchased a new position in Cheniere Energy during the third quarter worth about $27,000. Finally, Accordant Advisory Group Inc purchased a new position in shares of Cheniere Energy in the fourth quarter valued at approximately $29,000. Hedge funds and other institutional investors own 87.26% of the company’s stock.

Cheniere Energy Company Profile

Cheniere Energy, Inc is a U.S.-based energy company that develops, owns and operates liquefied natural gas (LNG) infrastructure and markets LNG to global customers. The company’s core activities include natural gas liquefaction, long‑term and short‑term LNG sales and marketing, and the associated midstream services required to move gas from production basins to international markets. Cheniere focuses on converting domestic natural gas into LNG for export, providing a bridge between North American supply and overseas demand.

Cheniere’s principal operating assets are large-scale LNG export terminals located on the U.S.