CNX Resources (NYSE:CNX) vs. Cheniere Energy (NYSE:LNG) Financial Analysis

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

Volatility & Risk

CNX Resources has a beta of 0.64, indicating that its share price is 36% less volatile than the S&P 500. Comparatively, Cheniere Energy has a beta of 0.36, indicating that its share price is 64% less volatile than the S&P 500.

Analyst Recommendations

This is a breakdown of recent recommendations and price targets for CNX Resources and Cheniere Energy, as provided by MarketBeat.

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

CNX Resources presently has a consensus target price of $33.00, suggesting a potential downside of 15.35%. Cheniere Energy has a consensus target price of $268.47, suggesting a potential upside of 28.25%. Given Cheniere Energy’s stronger consensus rating and higher possible upside, analysts clearly believe Cheniere Energy is more favorable than CNX Resources.

Profitability

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

	Net Margins	Return on Equity	Return on Assets
CNX Resources	16.56%	9.10%	4.13%
Cheniere Energy	21.05%	37.83%	8.79%

Insider & Institutional Ownership

95.2% of CNX Resources shares are held by institutional investors. Comparatively, 87.3% of Cheniere Energy shares are held by institutional investors. 4.6% of CNX Resources shares are held by insiders. Comparatively, 0.3% of Cheniere Energy shares are held by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company will outperform the market over the long term.

Valuation and Earnings

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

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
CNX Resources	$1.27 billion	4.15	-$90.49 million	$1.43	27.26
Cheniere Energy	$18.96 billion	2.38	$3.25 billion	$17.95	11.66

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.

Summary

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

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.

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.