People have ignored energy stocks for too long, soon they will realize that tech has less intrinsic value than energy. Russias fuckery is the catalyst that already has given up their future dominance on Europe’s LNG
Approx 40% of European natural gas is from Russia. Even if nothing happens with Ukraine, this relationship has been irreparably damaged. There is no doubt that western european countries are looking for/ have realized that they can't be this reliant upon Russia for energy. My thinks: go long with shares and leap calls on good US and western European LNG stocks, especially ones that have not recovered from covid march 2020 dip
Competitors of Gazprom and other russian energy companies will increase in value as western europe moves away from russia dependence
There already sanctions announced and there is no doubt that Europe realizes that they can’t be this dependent on the poot for gas.
Already starting to happen:
U.S. LNG Exporters Set a New Record for Daily Volume, reported saturday after the calls were bought
“According to Bloomberg, U.S. LNG exporters set a new loading record on Saturday (2/12), when – for the first time ever – every one of the nation's seven operational terminals had an LNG carrier berthed alongside. Together, these plants took in a record-setting 13.3 billion cubic feet of natural gas on Saturday, roughly equivalent to 10 percent of the daily natural gas demand of the United States in winter”
They need magic boats to carry LNG so I’m trying to narrow down the best buys on that front- GLOG, GLNG, CVX….
I’m the most bullish on EQT, the largest natural gas producer in the U.S.
Positions: 40 shares of LNG @120
10 LNG call $165 6/17
200 EQT call $30 3/18 (I realize that this was maybe a little too ambitious)
Some whack EQNR fd’s Getting into a better EQNR position asap
It also seems like a lot of LNG and energy companies are reporting on 2/24… a bunch of good forward looks could spur a jump across LNG stocks
Please feel free to roast or share your insightful insights
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