Matthew McCall Golar LNG Ltd GLNG-Q COMMENT Jun 01, 2016

Hasn’t looked at this for a while. He’s just started doing some work on LNG, as there might be some opportunities. He is looking at Cheniere, which has a new liquids action terminal on the Texas Gulf Coast for exporting North American gas offshore. Golar’s primary business is tankers that take LNG across the oceans. A pretty volatile stock. Like a lot of the shipping businesses, there are really big capital assets in a ship, typically heavily debt levered, and the rates move like crazy depending on supply/demand. Shipping might be a little bit oversupplied, so he is not interested in that area. Longer-term, LNG is a growth business.

Long-term play on robust gas demand. In a great spot with access to US LNG market growth in next few years. LNG market is tight than usual right now, but it’s only going to get better in December, and you can hold for a number of years. Yield is 0.7%. (Analysts’ price target is $37.75.)