Jefferies analyst Sam Burwell has elevated the price target for Cheniere Energy (LNG, Financial) from $282 to $288, while maintaining a Buy rating on the stock. The increased target is attributed to the company's recent final investment decision regarding CCL3 Train 8-9 and updates on capital allocation strategies. Cheniere intends to pursue strategic growth opportunities, reduce debt, and boost shareholder returns concurrently. This balanced approach has been well-received by the market, according to the analyst's research note.
Wall Street Analysts Forecast
Based on the one-year price targets offered by 21 analysts, the average target price for Cheniere Energy Inc (LNG, Financial) is $259.77 with a high estimate of $282.00 and a low estimate of $231.11. The average target implies an upside of 9.92% from the current price of $236.32. More detailed estimate data can be found on the Cheniere Energy Inc (LNG) Forecast page.
Based on the consensus recommendation from 24 brokerage firms, Cheniere Energy Inc's (LNG, Financial) average brokerage recommendation is currently 1.8, indicating "Outperform" status. The rating scale ranges from 1 to 5, where 1 signifies Strong Buy, and 5 denotes Sell.
Based on GuruFocus estimates, the estimated GF Value for Cheniere Energy Inc (LNG, Financial) in one year is $167.60, suggesting a downside of 29.08% from the current price of $236.32. GF Value is GuruFocus' estimate of the fair value that the stock should be traded at. It is calculated based on the historical multiples the stock has traded at previously, as well as past business growth and the future estimates of the business' performance. More detailed data can be found on the Cheniere Energy Inc (LNG) Summary page.
LNG Key Business Developments
Release Date: May 08, 2025
- Consolidated Adjusted EBITDA: Approximately $1.9 billion for Q1 2025.
- Distributable Cash Flow: Approximately $1.3 billion for Q1 2025.
- Net Income: Approximately $350 million for Q1 2025.
- LNG Recognized in Income: 616 TBtu of physical LNG, including 609 TBtu from projects and 7 TBtu sourced from third parties.
- Share Repurchase: Approximately 1.6 million shares repurchased for approximately $350 million in Q1 2025.
- Dividend: $0.50 per common share declared for Q1 2025.
- Debt Repayment: $300 million of outstanding long-term indebtedness repaid in Q1 2025.
- CapEx on Stage 3: Approximately $325 million funded in Q1 2025, bringing total spend to over $4.8 billion.
- 2025 Guidance: Reconfirmed full-year guidance of $6.5 billion to $7 billion in consolidated adjusted EBITDA and $4.1 billion to $4.6 billion in distributable cash flow.
- Production Forecast: 47 million to 48 million tons of LNG in 2025.
For the complete transcript of the earnings call, please refer to the full earnings call transcript.
Positive Points
- Cheniere Energy Inc (LNG, Financial) achieved substantial completion on the first train of the Corpus Christi Stage 3 project ahead of schedule and within budget.
- The company generated consolidated adjusted EBITDA of approximately $1.9 billion and distributable cash flow of approximately $1.3 billion in the first quarter of 2025.
- Cheniere Energy Inc (LNG) received a FERC permit on mid-scale Trains 8 and 9, advancing towards an expected FID later this year.
- The company safely produced and exported its 4,000th cargo of LNG, becoming the fastest company to achieve this milestone.
- Cheniere Energy Inc (LNG) repurchased approximately 1.6 million shares for around $350 million, continuing its commitment to shareholder returns.
Negative Points
- The LNG market is characterized by heightened volatility and increasing uncertainty due to geopolitical risks and shifting global trade dynamics.
- Spot prices for LNG dropped sharply after reaching 15-month highs in early February, impacting market margins.
- European storage levels are at multi-year lows, creating vulnerability in the region's energy supply.
- The company faces potential impacts from evolving trade tariffs and policies, which could affect the LNG contracting environment.
- Cheniere Energy Inc (LNG) anticipates major maintenance on Trains 3 and 4 at Sabine Pass, which could affect production during the summer.
