Infrastructure Stocks Q4 In Review: Golar LNG (NASDAQ:GLNG) Vs Peers

Quarterly earnings results are a good time to check in on a company’s progress, especially compared to its peers in the same sector. Today we are looking at Golar LNG (NASDAQ:GLNG) and the best and worst performers in the infrastructure industry.

Quarterly earnings results are a good time to check in on a company's progress, especially compared to its peers in the same sector. Today we are looking at Golar LNG (NASDAQ:GLNG) and the best and worst performers in the infrastructure industry. Energy infrastructure companies build, own, and operate assets including pipelines, storage facilities, and processing plants that transport and handle oil, natural gas, and related products.

These businesses often generate fee-based revenues providing cash flow stability. Tailwinds include growing production volumes requiring expanded takeaway capacity and export infrastructure demand. Long-term contracts with creditworthy counterparties reduce commodity price exposure.

Headwinds include permitting and regulatory challenges delaying new projects, environmental opposition to pipeline construction, and potential long-term demand decline from energy transition. High capital intensity and interest rate sensitivity affecting financing costs present additional considerations. The 9 infrastructure stocks we track reported a strong Q4.

As a group, revenues beat analysts' consensus estimates by 13.4%. In light of this news, share prices of the companies have held steady. On average, they are relatively unchanged since the latest earnings results.

Weakest Q4: Golar LNG (NASDAQ:GLNG) Pioneering a way to monetize stranded gas reserves that would otherwise be uneconomical to develop, Golar LNG (NASDAQ:GLNG) converts ships into floating liquefied natural gas facilities that liquefy natural gas at offshore sites. Golar LNG reported revenues of $132.8 million, up 103% year on year. This print exceeded analysts' expectations by 1.2%.

Despite the top-line beat, it was still a slower quarter for the company with a significant miss of analysts' EPS and EBITDA estimates. Golar LNG achieved the fastest revenue growth but had the weakest performance against analyst estimates of the whole group. Unsurprisingly, the stock is up 16.7% since reporting and currently trades at $52.35.

Best Q4: Kinder Morgan (NYSE:KMI) Operating what amounts to the toll roads of the energy industry, Kinder Morgan (NYSE:KMI) transports natural gas, refined petroleum products, and crude oil through its pipeline network across North America. Kinder Morgan reported revenues of $4.83 billion, up 13.8% year on year, outperforming analysts' expectations by 3.3%.

The business had a stunning quarter with a beat of analysts' EPS estimates.