Cheniere Energy (NYSE:LNG) Shares Gap Down – Time to Sell?

Cheniere Energy, Inc. (NYSE:LNG) gapped down prior to trading on Wednesday . The stock had previously closed at $284.27, but opened at $261.00. Cheniere Energy shares last traded at $267.3540, with a volume of 1,372,475 shares changing hands.

Analyst Ratings Changes

LNG has been the subject of a number of research reports. Weiss Ratings upgraded Cheniere Energy from a “hold (c+)” rating to a “buy (b-)” rating in a research note on Wednesday, March 18th. TD Cowen raised their target price on shares of Cheniere Energy from $250.00 to $255.00 and gave the stock a “buy” rating in a research report on Friday, February 27th. The Goldman Sachs Group upped their price target on shares of Cheniere Energy from $276.00 to $312.00 and gave the company a “buy” rating in a research report on Tuesday, March 24th. Bank of America increased their price target on shares of Cheniere Energy from $296.00 to $322.00 and gave the stock a “buy” rating in a research note on Friday, March 20th. Finally, JPMorgan Chase & Co. raised their price objective on shares of Cheniere Energy from $279.00 to $338.00 and gave the stock an “overweight” rating in a research report on Friday, March 27th. One research analyst has rated the stock with a Strong Buy rating, seventeen have assigned a Buy rating and two have assigned a Hold rating to the company’s stock. Based on data from MarketBeat, Cheniere Energy currently has an average rating of “Moderate Buy” and an average target price of $291.88.

Cheniere Energy Stock Performance

The company has a debt-to-equity ratio of 1.74, a current ratio of 0.94 and a quick ratio of 0.81. The stock has a 50-day simple moving average of $248.32 and a 200 day simple moving average of $223.13. The company has a market capitalization of $55.67 billion, a PE ratio of 10.89 and a beta of 0.14.

Cheniere Energy (NYSE:LNG) last announced its earnings results on Wednesday, February 25th. The energy company reported $10.68 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $3.90 by $6.78. The company had revenue of $5.45 billion during the quarter, compared to analysts’ expectations of $5.48 billion. Cheniere Energy had a net margin of 26.68% and a return on equity of 32.04%. The firm’s quarterly revenue was up 22.9% compared to the same quarter last year. During the same quarter in the previous year, the business posted $4.33 earnings per share. Equities analysts anticipate that Cheniere Energy, Inc. will post 11.69 EPS for the current fiscal year.

Cheniere Energy Dividend Announcement

The business also recently disclosed a quarterly dividend, which was paid on Friday, February 27th. Investors of record on Friday, February 6th were given a dividend of $0.555 per share. This represents a $2.22 dividend on an annualized basis and a yield of 0.8%. The ex-dividend date was Friday, February 6th. Cheniere Energy’s dividend payout ratio (DPR) is currently 9.14%.

Cheniere Energy announced that its Board of Directors has approved a share repurchase program on Thursday, February 26th that permits the company to buyback $10.00 billion in shares. This buyback authorization permits the energy company to purchase up to 21.1% of its stock through open market purchases. Stock buyback programs are typically an indication that the company’s board of directors believes its stock is undervalued.

Insider Buying and Selling

In related news, CFO Zach Davis sold 29,000 shares of the firm’s stock in a transaction that occurred on 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 sale, the chief financial officer owned 87,146 shares in the company, valued at approximately $26,143,800. This trade represents a 24.97% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, EVP Sean N. Markowitz sold 22,246 shares of Cheniere Energy stock in a transaction that occurred on 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 completion of the sale, the executive vice president directly owned 64,000 shares of the company’s stock, valued at $18,622,720. The trade was a 25.79% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. 0.26% of the stock is currently owned by company insiders.

Hedge Funds Weigh In On Cheniere Energy

Several large investors have recently added to or reduced their stakes in LNG. Salomon & Ludwin LLC purchased a new stake in Cheniere Energy in the 3rd quarter valued at about $25,000. Strive Financial Group LLC acquired a new position in Cheniere Energy during the fourth quarter worth approximately $25,000. Kohmann Bosshard Financial Services LLC acquired a new position in Cheniere Energy during the fourth quarter worth approximately $26,000. Caitong International Asset Management Co. Ltd purchased a new position in Cheniere Energy during the third quarter worth approximately $27,000. Finally, Accordant Advisory Group Inc acquired a new position in shares of Cheniere Energy in the 4th quarter valued at $29,000. 87.26% of the stock is currently owned by hedge funds and other institutional investors.

About Cheniere Energy

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.