Here's Why Investors Should Retain Golar LNG Stock Now

Core Viewpoint - Golar LNG Limited (GLNG) is actively expanding its services in the FLNG sector, notably through the acquisition of minority interests in the FLNG Hilli, although rising operating expenses are impacting profitability [1][3][8]. Group 1: Expansion and Market Position - Golar LNG is the leading provider of FLNG services, holding the top rank in FLNG capacity and is leveraging growth opportunities in Africa and North America [2]. - The company signed a $2.2 billion EPC agreement for its first 3.5mtpa MKII FLNG, with delivery expected in Q4 2027, and has an option for a second unit by 2028 [2]. - Golar LNG's acquisition of minority interests in the FLNG Hilli for$90.2 million enhances its position, with the contract expected to add $0.5 billion to its adjusted EBITDA backlog [3]. Group 2: Financial Performance and Shareholder Returns - In 2023, Golar LNG distributed over$168 million in dividends and share buybacks, with a recent dividend payout of $0.25 per share in Q3 2024 [4]. - The company has a strong liquidity position with approximately$732 million in cash and cash equivalents and a net debt of $646 million, resulting in a favorable current ratio of 1.55 [5]. - GLNG shares have increased by 80.8% over the past year, significantly outperforming the industry, which saw a decline of 17.6% [5]. Group 3: Operating Expenses and Challenges - Operating expenses rose by 18.5% in Q3 2024 compared to Q3 2023, primarily due to inflationary pressures, with vessel operating expenses increasing by 29% year over year [8].