Global Hunter Securities Starts Cheniere Energy (LNG) at Accumulate

Global Hunter Securities initiates coverage on Cheniere Energy (NYSE: LNG) with a Accumulate rating and a price target of $76.00.

Analyst Sunil Sibal commented, "We view Cheniere Energy (LNG) as one of the best ways to gain exposure to growth of US LNG exports, which are being driven by cheap US shale gas and arbitrage with international LNG prices. While this price arbitrage has come down from $12/MMbtu to close to $5-$6/MMbtu with the slide in crude oil prices, Cheniere's first mover advantage, largely contracted capacity and ability to take advantage of international LNG-US gas price arbitrage and sanction expansions at existing facilities provide significant upside potential, in our view. Its first domestically produced LNG shipment is expected to leave the US by the end of this year or early next year. We thus initiate coverage with an Accumulate rating and $76 price target. We estimate a further $25 per share in potential upside assuming the company finds success in locking up additional LNG deals with international buyers and also with advancing previously announced liquefaction additions."

For an analyst ratings summary and ratings history on Cheniere Energy click here. For more ratings news on Cheniere Energy click here.

Shares of Cheniere Energy closed at $68.01 yesterday.

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