Retirement Stock Portfolio: 12 Energy Stocks To Consider

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

Cheniere Energy, Inc. (NYSE:LNG) is a Houston-based American liquefied natural gas company engaged in LNG-related businesses in the United States. It started paying dividends in 2021 and has been raising its dividends ever since. It is currently paying a quarterly dividend of $0.435 per share for a dividend yield of 0.96%, as of September 6.

In Q2 2024, revenue fell to $3.04 billion from $3.92 billion in the year-ago period, primarily due to lower natural gas prices. These natural gas prices have been down by an estimated 16% due to higher global inventories and lower demand forecasts. The company’s full-year profit forecast is below analyst expectations, but it maintains a constructive outlook for the rest of the year.

Back in June, Cheniere Energy, Inc. (NYSE:LNG) announced that its Board of Directors had approved an increase in its share repurchase authorization by an additional $4 billion through 2027, and also has plans to increase its quarterly dividend by approximately 15% to $2.00 per common share annualized from Quarter 3. These moves demonstrate the company’s robust cash flow generation as it continues to follow through on Cheniere’s ‘20/20 Vision’ capital allocation plan (the “Plan”). Zach Davis, Cheniere’s Executive Vice President and Chief Financial Officer, made the following comment about this:

“These increases reflect the continued follow through with our ‘20/20 Vision’ capital allocation plan, which is enabled by Cheniere’s outstanding financial performance, as well as our steadfast commitment to safety and operational excellence throughout our business. The new repurchase authorization will enable us to further reduce share count, and the increased dividend will enhance capital returns while retaining significant financial flexibility to fund accretive growth”.

At the end of June 2024, Cheniere Energy, Inc. (NYSE:LNG) was held by 65 hedge funds tracked by Insider Monkey with collective stakes worth $27.78 billion. Darlington Partners Capital is the largest shareholder of the company with stakes worth $264 million.