LNGLNG
US • —
$239.01
P/E
38.80
PEG
—
FCF Yield
—
Rev Growth YoY
+20.8% YoY
Gross Margin
31.8%
Health Score
4/10
D/E Ratio
3.00
Confidence
LOW
Business Snapshot
Cheniere Energy (LNG) is a leading player in the liquefied natural gas (LNG) sector, operating as a midstream company focused on LNG liquefaction and export. The company owns and operates one of the largest LNG liquefaction facilities in the United States, positioning it as a key exporter of natural gas to global markets. It operates in the highly capital-intensive energy infrastructure market, where its integrated liquefaction and export terminals create a significant competitive moat. The company is a large-cap entity, and its defining characteristic is its first-mover advantage in the US LNG export market, supported by long-term contracts that provide revenue visibility.
Financial Health
Gross margin stands at 31.8%, though a prior-year comparison is not available for trend analysis. Net margin is a thin 7.2%, highlighting the high operating costs and depreciation typical of the LNG infrastructure business...
Risk Assessment
- VALUATION — P/E of 38.8x is well above the sector average of 22x, implying a high bar for future earnings growth.
- EARNINGS QUALITY — Net income declined 55.0% year-over-year, a significant deterioration that overshadows a 20.8% revenue gain.
- DEBT / LIQUIDITY — Debt/Equity of 3.0x indicates a highly leveraged capital structure, and a Current Ratio of 0.94x signals a potential liquidity risk.
- TECHNICALS — RSI, MACD, and moving average data are unavailable for this period; momentum cannot be independently confirmed.
- FCF / CASH BURN — Free cash flow data is unavailable, preventing an assessment of cash generation or burn....
Gross margin stands at 31.8%, though a prior-year comparison is not available for trend analysis. Net margin is a thin 7.2%, highlighting the high operating costs and depreciation typical of the LNG infrastructure business. The balance sheet is stretched, as evidenced by a high Debt/Equity ratio of 3.0x and a Current Ratio of 0.94x, indicating that short-term liabilities exceed current assets and the company is highly leveraged. Free cash flow data is unavailable, preventing a cash generation assessment, but the elevated debt load suggests a significant portion of operating cash flow is consumed by interest payments. The combination of low net margins, high leverage, and negative net working capital points to a fragile financial profile that would limit dividend capacity and require careful management of refinancing risk.
- VALUATION — P/E of 38.8x is well above the sector average of 22x, implying a high bar for future earnings growth. - EARNINGS QUALITY — Net income declined 55.0% year-over-year, a significant deterioration that overshadows a 20.8% revenue gain. - DEBT / LIQUIDITY — Debt/Equity of 3.0x indicates a highly leveraged capital structure, and a Current Ratio of 0.94x signals a potential liquidity risk. - TECHNICALS — RSI, MACD, and moving average data are unavailable for this period; momentum cannot be independently confirmed. - FCF / CASH BURN — Free cash flow data is unavailable, preventing an assessment of cash generation or burn.
Unlock the full AI report
Full 8-section analysis includes:
Metric deep-dives