Jim Cramer Says He is “Feeling Pretty Good About FLEX LNG”

FLEX LNG Ltd. (NYSE:FLNG) is one of the stocks that Jim Cramer shed light on. Praising the dividend payout, Cramer commented:

“… I was worried that it had a 3.4% dividend yield. And that seems big… Get this, I’m actually feeling pretty good about FLEX LNG. Looking at the numbers, the dividend feels safe to me, even if the company’s balance sheet is far from clean. Still, FLEX LNG’s dividend has remained constant at 75 cents per quarter since mid-2021… They consistently generate much more free cash flow than they need to pay the dividend…

So I think they’ll be fine, but I think the fact that it doesn’t have the money to cover right now is making people nervous. More important, FLEX LNG operates in an increasingly strong business. Almost all their natural gas transportation fleet is contracted out for several years into the future. So you know what? You’ve got my blessing. You can buy this one for the 13% yield, even if I don’t necessarily expect a higher share price given that profits have been steadily falling, not rising. Here’s the bottom line:… If you’re looking for a big dividend, you can do a lot worse than FLEX LNG.”

FLEX LNG (NYSE:FLNG) specializes in the marine transportation of liquefied natural gas to global markets.

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Disclosure: None. This article is originally published at Insider Monkey.