Industry Overview - The U.S. Energy Department reported a smaller-than-expected decrease in natural gas supplies, with stockpiles falling by 2 billion cubic feet (Bcf) for the week ended Nov. 22, compared to analysts' expectations of a 3 Bcf depletion [3] - Total natural gas stocks are at 3,967 Bcf, which is 134 Bcf (3.5%) above the 2023 level and 267 Bcf (7.2%) higher than the five-year average [3] - The total supply of natural gas averaged 108.4 Bcf per day, an increase of 0.8 Bcf per day week-over-week, while daily consumption rose to 107.9 Bcf from 107.3 Bcf [4] Price Movement - Natural gas prices increased by 2.3% last week, closing at 3.363ontheNewYorkMercantileExchange,drivenbystrongdemandforecastsduetocoldertemperatures[5]−Despitethepriceincrease,thereisasupplysurplusanduncertainty,withcurrentinventoriesabovelastyear′slevelsandthefive−yearaverage[6]InvestmentOpportunities−InvestorsareadvisedtofocusonresilientstockssuchasCheniereEnergy,RangeResources,andShellplc,whichareexpectedtoprovidestabilityamidmarketvolatility[2][7]−CheniereEnergyhasacompetitiveadvantageasthefirstcompanytoreceiveregulatoryapprovaltoexportLNGfromitsSabinePassterminal,withsharesup27.850 billion, is positioned as a major LNG supplier, with shares down 0.8% in a year but consistently beating earnings estimates [12][13]
Cheniere(LNG) ZACKS·2024-12-03 14:25