LNG/CQP: Post Q1 Update—Raising 2026 Ests—Stay OW on LNG

Research evidence excerpt

LNG/CQP: Post Q1 Update—Raising 2026 Ests—Stay OW on LNG

Equity Research

Earnings Revised — May 11, 2026

Midstream Energy

LNG/CQP: Post Q1 Update—Raising 2026 Ests

—Stay OW on LNG

Our Call Michael Blum

Q1 beat and Cheniere raised 2026 EBITDA guidance. The increase was anticipated, given Equity Analyst | Wells Fargo Securities, LLC

Michael.J.Blum@wellsfargo.com | 212-214-5037

wider int'l spreads, but higher production was an incremental positive. We still expect

Praneeth Satishpositive momentum on LT contracting. Maintain OW on LNG and UW on CQP.

Equity Analyst | Wells Fargo Securities, LLC

Praneeth.Satish@wellsfargo.com | 212-214-8056

We Stay Bullish On Potential Expansions. We continue to expect global LNG buyers Ned Baramov, CFA

to increase exposure to US markets given security of supply considerations. This should Equity Analyst | Wells Fargo Securities, LLC

accelerate FIDs of new capacity for Cheniere and other developers. While contract activity Ned.Baramov@wellsfargo.com | 212-214-8021

has not yet increased, it is worth noting that buyer response following the Russia–Ukraine Eric Shiu

war lagged the spike in spot prices by 2-3 quarters. Associate Equity Analyst | Wells Fargo Securities, LLC

Eric.Shiu@wellsfargo.com | 212-214-5038

LNG Share Weakness Is A Buying Opportunity. Following a Q1 beat-and-raise, LNG Jack Farrell, CFA

shares are down 8.2%, underperforming AMNA (-0.4%) and the S&P 500 (+0.5%). Associate Equity Analyst | Wells Fargo Securities, LLC Jack.L.Farrell@wellsfargo.com | 212-214-8012

Underperformance may reflect investor concerns around: (1) a potential Middle East de-

escalation compressing margins and reducing the need for U.S. supply, (2) the viability of

future expansions given the number of competing projects, and (3) fading expectations