Ricardo Pillai
3 min read
In This Article:
We came across a bullish thesis on Golar LNG Limited (GLNG) on unPopular Investing’s Substack. In this article, we will summarize the bulls’ thesis on GLNG. Golar LNG Limited (GLNG)'s share was trading at $41.72 as of 10th June. GLNG’s trailing and forward P/E were 1.39k and 29.41 respectively according to Yahoo Finance.
A large oil tanker container ship sailing against a sunset background.
Golar LNG (GLNG) stands out as a pure-play leader in the floating liquefied natural gas (FLNG) space, having transitioned from a traditional LNG shipping company to a pioneer in floating energy infrastructure. The company’s strategic exit from LNG shipping in early 2025 sharpened its focus on FLNG, where it operates the world’s first converted FLNG vessel, the Hilli Episeyo, and the newly launched Gimi.
Together, these assets underpin Golar’s $11 billion EBITDA backlog, with Gimi’s 20-year contract marking a long-term revenue inflection. Despite a current 55% utilization rate for Hilli until its 2027 redeployment in Argentina, its flawless 100% commercial uptime and 128 cargoes offloaded underscore its reliability.
Golar is deepening its ESG alignment through initiatives in blue and green ammonia and carbon reduction, enhancing its long-term relevance. Financially disciplined, the firm reported $68 million in Q4 2024 distributable EBITDA and took full ownership of Hilli, unlocking more cash flow.
The recent FID for its 3.5 mtpa MK II FLNG unit signals future growth, potentially backed by Shell. While Q4 revenues missed slightly, this was largely due to LNG price fluctuations—an inherent risk in the sector.
Nonetheless, the company offers an attractive investment setup, with analysts targeting a $48–$55 range and a proposed buy at $36, stop loss at $30, and upside to $67, an 86% return potential. Golar’s long-term contracts, reduced spot market exposure, and growing demand from Asia, Africa, and AI-related energy needs position it favorably in the global energy transition, offering a compelling 1:5 risk/reward for growth-oriented investors.
Previously, we covered a bullish thesis on Golar LNG (GLNG), emphasizing upside optionality from new contracts and commodity-linked tariffs. unPopular Investing’s thesis sharpens the focus on execution, highlighting Gimi’s 20-year revenue stream, ESG tailwinds, and a de-risked FLNG model—shifting the story from speculative upside to long-term cash flow stability and a defined growth pipeline.
Golar LNG Limited (GLNG) is not on our list of the 30 Most Popular Stocks Among Hedge Funds. As per our database, 12 hedge fund portfolios held GLNG at the end of the first quarter which was 12 in the previous quarter. While we acknowledge the risk and potential of GLNG as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an extremely cheap AI stock that is also a major beneficiary of Trump tariffs and onshoring, see our free report on the best short-term AI stock.
