LNG Forecast



Bearish<—>Bullish



80% Confidence




Bullish Case: Cheniere Energy benefits from increasing global LNG demand, strong long-term contracts, and favorable geopolitical positioning. Despite mean-reverting price behavior, its strategic expansions support growth.




Bearish Case: Cheniere's exposure to global LNG price volatility and geopolitical tensions could amplify downside risks. Environmental concerns and regulatory uncertainties may further challenge stability.




Potential Outcomes:
  • 70%: Rising global demand boosts LNG revenue.
  • 30%: Geopolitical tensions create supply disruptions.
  • 25%: Regulatory policies limit growth.




Trading Oracle: Consider long call debit spreads on LNG, given backwardation and bullish sentiment. Buy March 2025 $250 call, sell $260 call. Capitalizes on low volatility and potential price upswing, with limited risk exposure and favorable risk-reward.



February 06, 2025


Cheniere Energy Forecast

LNG        Cheniere Energy











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