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Is Cheniere Energy, Inc. (LNG) overvalued or undervalued?

Updated Sep 3, 2026 · researched from SEC filings · educational, not advice

Fair value
$255.10
Market price
$295.86
Downside to fair value
13.8%
Verdict
14% above fair value

Test the assumptions — move the discount rate

The DCF value below is a real engine result at each WACC (not a re-estimate). Drag to see how sensitive LNG's DCF is to the discount rate.

Market price: $295.86

At a recent price of $295.86, Cheniere Energy, Inc. (LNG) trades 14% above TickerWorth's blended fair value of $255.10 per share — a discounted-cash-flow model cross-checked against peer multiples and asset value — meaning the market currently prices LNG overvalued vs our estimate of what the business is intrinsically worth. Our fair value sits below the market, an implied -13.8% move to close the gap if the business performs in line with our assumptions. This is an educational model, not a price target or a recommendation — the value moves with the inputs, which you can test yourself using the WACC slider below.

One of the lenses behind that blended figure is a discounted-cash-flow model, which on its own values LNG at about $516.07 per share. The rest of this page walks through that DCF — its assumptions, reverse-DCF and discount-rate sensitivity — because it is the auditable anchor of the blend.

The valuation discounts Cheniere Energy, Inc.'s projected free cash flows at a weighted-average cost of capital (WACC) of 8.2%, with a long-run terminal growth rate of 2.5%. About 76% of the enterprise value comes from the terminal value — the portion beyond the explicit forecast window — which is typical for a stable, cash-generative business and a reminder that small changes in the discount rate or terminal growth assumption swing the intrinsic value meaningfully.

Running the DCF in reverse — solving for the growth the current price already assumes — the market is implying roughly 1.7% annual revenue growth for LNG. Our base case instead assumes about 11.1% average growth over the forecast, so the market is pricing in slower growth than our base case. The reverse-DCF is a quick sanity check: it reframes 'is this stock cheap?' as 'do I believe the growth the price requires?' rather than arguing over a single point estimate of fair value.

Sensitivity matters more than any single number. Across a reasonable band of discount-rate assumptions, LNG's modeled DCF value ranges from about $344.16 to $953.42 per share. If that range still sits below today's price, the market is optimistic relative to the model across the whole band; if it brackets the price, the stock is roughly fairly valued on our assumptions. Use the interactive slider to see exactly where your own cost-of-capital view lands.

How to read this page: the DCF fair value is what Cheniere Energy, Inc. would be worth if its cash flows grow as modeled and are discounted at the stated WACC. The assumptions table shows every input and its source; the reverse-DCF shows what the market believes; the sensitivity band shows how fragile the answer is. None of this is investment advice — it is a transparent, auditable framework for forming your own view of LNG's intrinsic value. Figures update as new filings and prices come in.

The assumptions behind LNG's DCF

InputValueSource
Base-year revenue$19,464,000,000Cheniere Energy, Inc. FY2025 10-K (accession 0000003570-26-000005): us-gaap:RevenueFromContractWithCustomerExcludingAssessedTax, FY2025 full year.
Base EBIT margin46.8%Cheniere Energy, Inc. FY2025 10-K (accession 0000003570-26-000005): us-gaap:OperatingIncomeLoss 9,112,000,000 / revenue 19,464,000,000 = 46.81%, FY2025.
Forecast revenue growth18% → 15% → 11% → 8% → 4%Assumption — TickerWorth's 5-year explicit forecast
Risk-free rate4.8%Live feed — US 10-year Treasury yield (^TNX)
Beta1.00Live feed — yfinance, 5-year monthly beta vs the S&P 500 (clamped to 0.4–2.5)
Terminal growth2.5%Assumption — TickerWorth house default 2.5%, held below WACC
Diluted shares220MCheniere Energy, Inc. FY2025 10-K (accession 0000003570-26-000005): WeightedAverageNumberOfDilutedSharesOutstanding = 220,300,000 shares, FY2025.
Market price$295.86Delayed quote · as of 2026-09-03 08:07 UTC

Researched from filings: the base year comes from this company's latest SEC 10-K (XBRL); forward growth and terminal value remain algorithmic estimates, cached and refreshed periodically.

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Educational tool. Every output reflects the assumptions shown — not a prediction and not investment advice. TickerWorth is an educational DCF tool, not a licensed investment adviser. Figures are estimates derived from public filings and market data and can be wrong.