Reviewing Cheniere Energy (NYSE:LNG) & CNX Resources (NYSE:CNX)

Cheniere Energy (NYSE:LNG) and CNX Resources (NYSE:CNX) are both energy companies, but which is the better investment? We will contrast the two businesses based on the strength of their profitability, risk, earnings, valuation, analyst recommendations, dividends and institutional ownership.

Analyst Recommendations

This is a summary of current recommendations and price targets for Cheniere Energy and CNX Resources, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Cheniere Energy	0	3	16	1	2.90
CNX Resources	4	10	1	0	1.80

Cheniere Energy currently has a consensus target price of $268.47, suggesting a potential upside of 30.60%. CNX Resources has a consensus target price of $33.00, suggesting a potential downside of 19.35%. Given Cheniere Energy’s stronger consensus rating and higher possible upside, equities analysts plainly believe Cheniere Energy is more favorable than CNX Resources.

Profitability

This table compares Cheniere Energy and CNX Resources’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Cheniere Energy	21.12%	37.52%	9.05%
CNX Resources	16.56%	9.10%	4.13%

Insider and Institutional Ownership

87.3% of Cheniere Energy shares are held by institutional investors. Comparatively, 95.2% of CNX Resources shares are held by institutional investors. 0.3% of Cheniere Energy shares are held by company insiders. Comparatively, 3.1% of CNX Resources shares are held by company insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock is poised for long-term growth.

Earnings and Valuation

This table compares Cheniere Energy and CNX Resources”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Cheniere Energy	$15.70 billion	2.82	$3.25 billion	$17.95	11.45
CNX Resources	$1.27 billion	4.36	-$90.49 million	$1.43	28.62

Cheniere Energy has higher revenue and earnings than CNX Resources. Cheniere Energy is trading at a lower price-to-earnings ratio than CNX Resources, indicating that it is currently the more affordable of the two stocks.

Risk & Volatility

Cheniere Energy has a beta of 0.26, indicating that its stock price is 74% less volatile than the S&P 500. Comparatively, CNX Resources has a beta of 0.64, indicating that its stock price is 36% less volatile than the S&P 500.

Summary

Cheniere Energy beats CNX Resources on 10 of the 15 factors compared between the two stocks.

About Cheniere Energy

Cheniere Energy, Inc., an energy infrastructure company, primarily engages in the liquefied natural gas (LNG) related businesses in the United States. It owns and operates the Sabine Pass LNG terminal in Cameron Parish, Louisiana; and the Corpus Christi LNG terminal near Corpus Christi, Texas. The company also owns Creole Trail pipeline, a 94-mile natural gas supply pipeline that interconnects the Sabine Pass LNG Terminal with several interstate and intrastate pipelines; and operates Corpus Christi pipeline, a 21.5-mile natural gas supply pipeline that interconnects the Corpus Christi LNG terminal with various interstate and intrastate natural gas pipelines. It is also involved in the LNG and natural gas marketing business. The company was incorporated in 1983 and is headquartered in Houston, Texas.

About CNX Resources

CNX Resources Corporation, an independent natural gas and midstream company, engages in the acquisition, exploration, development, and production of natural gas properties in the Appalachian Basin. The company operates in two segments, Shale and Coalbed Methane (CBM). It produces and sells pipeline quality natural gas primarily for gas wholesalers. The company owns rights to extract natural gas from shale properties in Pennsylvania, West Virginia, and Ohio, as well as rights to extract natural gas from other shale and shallow oil and gas formations in Illinois, Indiana, New York, and Virginia. It also owns rights to extract CBM in Virginia, West Virginia, Pennsylvania, Ohio, Illinois, Indiana, and New Mexico. In addition, the company designs, builds, and operates natural gas gathering systems to move gas from the wellhead to interstate pipelines or other local sales points; owns and operates approximately 2,600 miles of natural gas gathering pipelines, as well as various natural gas processing facilities. It also offers turn-key solutions for water sourcing, delivery, and disposal for its natural gas operations and for third parties. The company was formerly known as CONSOL Energy Inc. and changed its name to CNX Resources Corporation in November 2017. CNX Resources Corporation was founded in 1860 and is headquartered in Canonsburg, Pennsylvania.