How Investors Are Reacting To Cheniere Energy (LNG) As Cramer Favors Higher-Yield LNG Peers

In recent commentary, Jim Cramer highlighted that Cheniere Energy’s stock had been sliding for nearly a year and said it is not his preferred energy investment compared with higher-yielding peers like ONEOK and Enterprise Product Partners. He also pointed investors toward Cheniere Energy Partners and its income-focused profile, underscoring how yield differences can shape preferences within the same LNG ecosystem. Now we’ll consider how Cramer’s preference for yield-rich alternatives and Cheniere Energy Partners could influence Cheniere Energy’s broader investment narrative.

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Cheniere Energy Investment Narrative Recap

To own Cheniere Energy, you need to believe in the long term role of U.S. LNG exports and the company’s ability to keep its facilities highly utilized despite growing global liquefaction capacity. Cramer’s preference for higher-yielding peers may influence short term sentiment, but it does not materially alter Cheniere’s core catalyst around existing contracts and expansion projects, or its key risk from potential LNG oversupply and pressure on pricing.

Against this backdrop, Cheniere’s recent decision to lift its quarterly dividend to US$0.555 per share, alongside ongoing buybacks that have retired nearly 20% of shares since 2019, directly intersects with Cramer’s yield-focused commentary. These shareholder returns may matter for investors weighing lower headline yield at Cheniere against income-rich alternatives, while still watching how future LNG supply additions could affect the company’s earnings power and capital allocation flexibility.

Yet investors should also be aware that if global LNG capacity grows faster than demand, Cheniere’s long term revenue visibility could…

Read the full narrative on Cheniere Energy (it’s free!)

Cheniere Energy’s narrative projects $24.1 billion revenue and $3.1 billion earnings by 2028. This requires 9.8% yearly revenue growth and a $0.7 billion earnings decrease from $3.8 billion today.

Uncover how Cheniere Energy’s forecasts yield a $270.67 fair value, a 40% upside to its current price.

Exploring Other PerspectivesLNG 1-Year Stock Price Chart

Five fair value estimates from the Simply Wall St Community span roughly US$271 to over US$6,500 per share, showing how far apart views can be. You can set those opinions against the risk that a surge in global LNG capacity could pressure pricing and test how durable you think Cheniere’s contracted cash flows and expansion plans really are.

Explore 5 other fair value estimates on Cheniere Energy – why the stock might be a potential multi-bagger!

Build Your Own Cheniere Energy Narrative

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This article by Simply Wall St is general in nature. We provide commentary based on historical data
and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your
financial situation. We aim to bring you long-term focused analysis driven by fundamental data.
Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material.
Simply Wall St has no position in any stocks mentioned.

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