LNG shipping stocks: Up or down?
The UP World LNG Shipping Index, the world’s only stock index focused on LNG shipping companies, lost 0.67% last week. US stocks represented by the S&P 500 Index lost 2.2%, same as a week before.
Virtually all UP Index companies are at break-even or close to support or resistance levels. Thus, the significant uncertainty that began to control other stocks, commodities and currencies continues.
The only exception is the ever-growing Flex LNG (NYSE:FLNG), which is close to the ex-dividend date. Last week, the company’s shares rose 7.5%, which was the most.
In the downtrend are already the South Korean SM Korea Line Corporation (KRX:005880), which depreciated 4.6% last week, and the Russian PAO Sovcomflot (ME:FLOT) with a drop of 2.7%.
But there are many others on the scales to turn to: MISC Berhad (KLSE:3816; -4.2% last week), NYK Line (TSE:9101; + 1.2%), Mitsui O.S.K. Lines (TSE:9104; + 3.2%), “K” Line (TSE:9107; + 3%), bp (NYSE:BP; -1%), Exmar NV (BSE:EXM; -1.3%) ), New Fortress Energy (NYSE:NFE; -3.6%) or GasLog Partners (NYSE:GLOP; -1.8%).
On the positive side, for companies with sound financing, the current period with growing demand for LNG is almost a golden period.
The situation is well illustrated by the UP World LNG Shipping Index chart compared to the S&P 500 Index (NYSE:SPX).
UP World LNG Shipping Index is a rules-based stock index family designed to show and measure the performance of world publicly traded companies involved in maritime transport of liquefied natural gas (LNG). This world unique index covers 19 companies and partnerships from countries all over the world like the USA, Qatar, Japan, Norway, South Korea or Malaysia. The index covers more than 65% of the world LNG carrier fleet.