Comparing Cheniere Energy Partners (CQP) and Its Peers

Cheniere Energy Partners (NYSE:CQP) is one of 1,050 publicly-traded companies in the “Oil, Gas & Consumable Fuels” industry, but how does it weigh in compared to its peers? We will compare Cheniere Energy Partners to related companies based on the strength of its profitability, earnings, analyst recommendations, risk, dividends, valuation and institutional ownership.

Risk & Volatility

Cheniere Energy Partners has a beta of 0.34, meaning that its share price is 66% less volatile than the S&P 500. Comparatively, Cheniere Energy Partners’ peers have a beta of -4.03, meaning that their average share price is 503% less volatile than the S&P 500.

Insider and Institutional Ownership

46.5% of Cheniere Energy Partners shares are owned by institutional investors. Comparatively, 30.7% of shares of all “Oil, Gas & Consumable Fuels” companies are owned by institutional investors. 15.3% of shares of all “Oil, Gas & Consumable Fuels” companies are owned by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company will outperform the market over the long term.

Earnings & Valuation

This table compares Cheniere Energy Partners and its peers top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Cheniere Energy Partners	$11.50 billion	$2.99 billion	12.06
Cheniere Energy Partners Competitors	$14.68 billion	$5.51 billion	0.94

Cheniere Energy Partners’ peers have higher revenue and earnings than Cheniere Energy Partners. Cheniere Energy Partners is trading at a higher price-to-earnings ratio than its peers, indicating that it is currently more expensive than other companies in its industry.

Profitability

This table compares Cheniere Energy Partners and its peers’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Cheniere Energy Partners	27.31%	1,121.60%	14.59%
Cheniere Energy Partners Competitors	-473.01%	20.47%	6.26%

Analyst Ratings

This is a summary of recent ratings for Cheniere Energy Partners and its peers, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Cheniere Energy Partners	5	3	1	0	1.56
Cheniere Energy Partners Competitors	5956	26920	40738	2396	2.52

Cheniere Energy Partners currently has a consensus price target of $61.57, indicating a potential downside of 7.32%. As a group, “Oil, Gas & Consumable Fuels” companies have a potential upside of 17.02%. Given Cheniere Energy Partners’ peers stronger consensus rating and higher probable upside, analysts clearly believe Cheniere Energy Partners has less favorable growth aspects than its peers.

Dividends

Cheniere Energy Partners pays an annual dividend of $3.10 per share and has a dividend yield of 4.7%. Cheniere Energy Partners pays out 56.3% of its earnings in the form of a dividend. As a group, “Oil, Gas & Consumable Fuels” companies pay a dividend yield of 8.4% and pay out -117.9% of their earnings in the form of a dividend. Cheniere Energy Partners lags its peers as a dividend stock, given its lower dividend yield and higher payout ratio.

Summary

Cheniere Energy Partners peers beat Cheniere Energy Partners on 9 of the 15 factors compared.

About Cheniere Energy Partners

Cheniere Energy Partners, L.P., through its subsidiaries, provides liquefied natural gas (LNG) to integrated energy companies, utilities, and energy trading companies worldwide. The company owns and operates natural gas liquefaction and export facility at the Sabine Pass LNG Terminal located in Cameron Parish, Louisiana. It also owns a natural gas supply pipeline that interconnects the Sabine Pass LNG terminal with various interstate pipelines. The company was founded in 2003 and is headquartered in Houston, Texas. Cheniere Energy Partners, L.P. is a subsidiary of Cheniere Energy, Inc.