Energy Transfer LP (ET) is undervalued and Cheniere Energy Inc (LNG) is undervalued.
Against our estimates of intrinsic value, LNG trades at the wider discount: a margin of safety of +50%, against +40% for ET.
Values as of the 19 Oct 2026 close.
Discounting its cash flows at 7.6% (average of 3 methods) values the shares at $33.71; the price of $20.11 is 40% below that value, and 81% of that value comes from beyond year five.
Leak Score 49/100 on 10 of 12 signals
Discounting its cash flows at 10.1% (average of 3 methods) values the shares at $574.99; the price of $286.60 is 50% below that value, and 74% of that value comes from beyond year five.
Leak Score 73/100 on 11 of 12 signals
| Metric | ET | LNG |
|---|---|---|
| Verdict | Undervalued | Undervalued |
| Price | $20.11 | $286.60 |
| Intrinsic value | $33.71 | $574.99 |
| Margin of safety | +40% | +50% |
| Leak Score | 49/100 (10/12) | 73/100 (11/12) |
| Market cap | $69.2B | $59.2B |
| Revenue growth, 5 years | — | 15.9% |
| Operating margin | — | 30.2% |
| Net margin | — | 13.2% |
| Return on equity | — | 45.1% |
| Debt to equity | — | 4.29 |
| P/E | 13.8x | 21.3x |
| Forward P/E | 12.0x | 16.2x |
| P/B | 2.2x | 9.6x |
| Dividend yield | 6.8% | 0.8% |