Jim Cramer’s Latest Stock Picks

4. Cheniere Energy, Inc. (NYSE:LNG)

Number of Hedge Fund Holders: 65

During the lightning round, a caller asked Cramer if it was a good time to buy Cheniere Energy, Inc. (NYSE:LNG) stock. Cramer responded by saying:

“Yeah. Natural gas price is low, business high, I would buy LNG, absolutely….. Yeah, the stock is up a great deal. But yes, the answer is it’s the right time.”

Cheniere Energy (NYSE:LNG) is a key player in the liquefied natural gas infrastructure sector in the United States, with ownership and operation of both the Sabine Pass LNG terminal in Louisiana and the Corpus Christi LNG terminal in Texas. The company is also involved in marketing activities related to LNG and natural gas. In June, it announced significant updates to its long-term capital allocation plan, referred to as the ‘20/20 Vision.’

The updated plan included an increase in share repurchase authorization by an additional $4 billion through 2027. Alongside this, the company proposed a 15% increase in its quarterly dividend, raising it to approximately $2.00 per common share annually, effective from the third quarter of 2024.

During the first half of 2024, the company executed its capital allocation strategy by repurchasing around 10.7 million shares of common stock for approximately $1.7 billion. Additionally, it made strides in reducing its financial obligations by repaying $300 million of its consolidated debt during the same period.

Furthermore, Cheniere Energy (NYSE:LNG) revised its financial expectations for 2024, raising its guidance for consolidated adjusted EBITDA to a range of $5.7 billion to $6.1 billion, and for distributable cash flow to between $3.1 billion and $3.5 billion.