ZACKS·2025-12-08 14:36Core Insights - U.S. natural gas futures have surpassed $5 per MMBtu for the first time since 2022, driven by severe winter conditions and increased export flows, with prices rising over 70% since mid-October [1][8] - The market is experiencing structural shifts due to record LNG exports and heightened domestic heating demand, leading to increased price volatility [4][5][6] Natural Gas Market Dynamics - Natural gas futures saw a 9% weekly increase, reaching $5.289 per MMBtu, supported by colder-than-normal temperatures across the U.S. [2] - The U.S. is experiencing its coldest December since 2010, resulting in a surge in heating needs and pushing natural gas futures to three-year highs [3] - Record LNG exports of 10.9 million metric tons in November are straining domestic supply, intensifying competition between export and domestic heating demands [4][8] Company Focus - Coterra Energy: An independent upstream operator with over 60% of its production from natural gas, expected earnings per share growth rate of 27.8% over three to five years [7][9] - Cheniere Energy: The first company to receive regulatory approval for LNG exports, with strong operations and a 26.3% increase in the earnings estimate for 2025 over the past 60 days [10][11] - The Williams Companies: Positioned to benefit from long-term U.S. natural gas demand growth, with a projected EPS growth rate of 17.6% over three to five years [12][13]