In this article, we discuss the 5 LNG shipping stocks to buy now. If you want to read about some LNG shipping stocks, go directly to 10 LNG Shipping Stocks to Buy Now.
5. Devon Energy Corporation (NYSE:DVN)
Number of Hedge Fund Holders: 51
Devon Energy Corporation (NYSE:DVN) is an independent energy company. It is based in Oklahoma and is involved in the exploration, production, and transportation of oil, natural gas, and natural gas liquids. The firm operates 5,134 gross wells. The company increased its free cash flows by 300% in the previous fiscal year, increasing dividends by 45%, and also expanding a share repurchase program by 60% as it profits from the rising energy prices due to global supply and demand problems.
On April 7, Piper Sandler analyst Mark Lear kept an Overweight rating on Devon Energy Corporation (NYSE:DVN) stock and raised the price target to $80 from $67, noting that the US was one of the few places that could deliver “long-term supply growth” given that Russian energy exports were off the market.
Among the hedge funds being tracked by Insider Monkey, Florida-based investment firm GQG Partners is a leading shareholder in Devon Energy Corporation (NYSE:DVN) with 14.5 million shares worth more than $638 million.
In its Q4 2020 investor letter, GoodHaven Capital Management, an asset management firm, highlighted a few stocks and Devon Energy Corporation (NYSE:DVN) was one of them. Here is what the fund said:
“After a rough start to the year our two biggest energy holdings – WPX Energy rebounded materially in the last six months though energy was still our biggest detractor for the year. I’ve previously written about deciding earlier this year to direct new capital towards better businesses versus adding more to the energy sector, but given the material optionality at WPX, we opted to maintain a material exposure. Recently WPX announced an all stock merger with a larger competitor – Devon Energy – which will leave the new company with plenty of cash flow at lower oil prices, less leverage, and material upside to higher commodity prices.”
4. Cheniere Energy, Inc. (NYSE:LNG)
Number of Hedge Fund Holders: 52
Cheniere Energy, Inc. (NYSE:LNG) operates as an energy infrastructure firm. The stock has benefited from a recent surge in gas prices as a cold weather forecast in the United States and threats of a complete halt to natural gas shipments from Russia to Europe take their toll on the markets. On March 28, Anatol Feygin, the chief commercial officer at the firm, told news platform Bloomberg that the firm was trying to bring new facilities online quickly to serve the energy needs of European nations.
On March 14, Barclays analyst Marc Solecitto kept an Overweight rating on Cheniere Energy, Inc. (NYSE:LNG) stock and raised the price target of $160 from $131, highlighting that the sentiment around the sector had improved given the “robust liquefied natural gas macro backdrop, growth outlook, and capital allocation”.
At the end of the fourth quarter of 2021, 52 hedge funds in the database of Insider Monkey held stakes worth $3.3 billion in Cheniere Energy, Inc. (NYSE:LNG), up from 49 in the previous quarter worth $3.1 billion.
In its Q3 2021 investor letter, ClearBridge Investments, an asset management firm, highlighted a few stocks and Cheniere Energy, Inc. (NYSE:LNG) was one of them. Here is what the fund said:
“Cheniere Energy is an energy infrastructure company that owns and operates U.S. liquefied natural gas (LNG) export facilities. Strong quarterly results and the disclosure of capital allocation policies were positively received by the markets. In addition, continued supply and demand tightness in the LNG market created a favorable commodity price environment.”
3. Chevron Corporation (NYSE:CVX)
Number of Hedge Fund Holders: 53
Chevron Corporation (NYSE:CVX) is an energy and chemicals firm. Reports suggest that the US is considering easing sanctions on Venezuela to let Chevron speak to the authorities and negotiate more control over joint-projects with state-run energy firm PDVSA. Chevron holds a large stake in the LNG project in Angola, one of the largest projects of its kind in Africa and the first one in Angola. The facility has the capacity to process around 1.1 billion cubic feet of natural gas per day.
On April 5, UBS analyst Luiz Carvalho kept a Buy rating on Chevron Corporation (NYSE:CVX) stock and raised the price target to $192 from $150, noting that the firm had “lower exposure to Russia compared to peers”.
At the end of the fourth quarter of 2021, 53 hedge funds in the database of Insider Monkey held stakes worth $6.5 billion in Chevron Corporation (NYSE:CVX), up from 51 in the preceding quarter worth $4.4 billion.
In its Q1 2021 investor letter, ClearBridge Investments highlighted a few stocks and Chevron Corporation (NYSE:CVX) was one of them. Here is what the fund said:
“While reducing in health care and consumer staples, we increased our exposure to high-quality names in economically sensitive areas of the market. We added to low-cost, high-quality energy names, (including) Chevron. We are positive on the company’s strong balance sheets, competitive positions and exposure to an economic recovery.”
2. ConocoPhillips (NYSE:COP)
Number of Hedge Fund Holders: 56
ConocoPhillips (NYSE:COP) produces and transports oil, natural gas and natural gas liquids. The firm owns stakes in several LNG projects. These include Australia Pacific LNG, Darwin LNG, and Qatargas 3, among others. The firm has more than five decades of experience in the LNG sector and is one of the top beneficiaries of the surge in LNG prices amid the Russian invasion of Ukraine. The stock also offers the added benefit of steady dividend payouts with the firm consistently paying a dividend to shareholders for the past 32 years.
On March 31, Mizuho analyst Vincent Lovaglio kept a Buy rating on ConocoPhillips (NYSE:COP) stock and raised the price target to $150 from $115. Other investment advisors like Barclays, Bank of America, and RBC Capital are also bullish on the stock.
Among the hedge funds being tracked by Insider Monkey, Washington-based investment firm Fisher Asset Management is a leading shareholder in ConocoPhillips (NYSE:COP) with 6 million shares worth more than $447 million.
In its Q4 2021 investor letter, ClearBridge Investments highlighted a few stocks and ConocoPhillips (NYSE:COP) was one of them. Here is what the fund said:
“Our energy and financials holdings kept pace in the 2021 rally. Within energy, ConocoPhillips (NYSE:COP) continues to leverage its strong balance sheet and cost-advantaged acreage position in the prolific Permian Basin by making an opportunistic acquisition of assets from Royal Dutch Shell, further solidifying its strong Permian footprint.”
1. Exxon Mobil Corporation (NYSE:XOM)
Number of Hedge Fund Holders: 71
Exxon Mobil Corporation (NYSE:XOM) is an integrated oil and gas firm. The firm has over 40 years of development and transportation experience in the LNG sector. The firm, through affiliates and joint ventures, produces 23 MTA of LNG globally and delivers to 30 countries. It has an LNG-related presence on five continents. The firm helped develop 12 of the 14 LNG facilities in Qatar. Qatar is one of the largest LNG producing countries in the world. Exxon spent $30 billion on helping Qatar develop these LNG facilities.
On March 9, Barclays analyst Jeanine Wai kept an Overweight rating on Exxon Mobil Corporation (NYSE: XOM) stock and raised the price target to $98 from $91, citing the gas price strip and updated capex assumptions as some of the reasons behind the upgrade.
At the end of the fourth quarter of 2021, 71 hedge funds in the database of Insider Monkey held stakes worth $5.3 billion in Exxon Mobil Corporation (NYSE:XOM), compared to 64 in the preceding quarter worth $4.6 billion.
In its Q4 2021 investor letter, Saturna Capital highlighted a few stocks and Exxon Mobil Corporation (NYSE:XOM) was one of them. Here is what the fund said:
“Few companies maintain their position at the top for more than a decade or two. One that did was Exxon Mobil Corporation (NYSE:XOM), which appeared decennially from 1980 through 2010. In 2019 it was ranked 10th, but as of writing has dropped to 39th place.”
You can also take a peek at 13 Best Hemp Stocks to Buy Now and Billionaire Dan Loeb’s Top 10 Stock Picks.
