LNG equipment maker Chart's Q4 sales fall

Chart Industries reported a 2.5% decline in Q4 sales, falling short of analyst expectations, with orders down 23.8% due to a lack of large LNG orders. However, the company's backlog grew by 21.5% to $5.89 billion, driven by demand in carbon capture, data centers, and other markets. Analysts maintain a 'hold' rating on the stock, with a median 12-month price target of $210.00, reflecting a slight increase from its recent trading price of $207.43.

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Overview

Gas equipment maker’s Q4 sales decreased 2.5%, missing analyst expectations
Q4 orders declined 23.8% due to absence of large LNG orders
Company’s backlog increased 21.5% to $5.89 bln

Outlook

Chart Industries anticipates 44% of year-end backlog to ship over the next 12 months

Result Drivers

DATA CENTER DEMAND - Increased demand from data center customers, including small-scale LNG solutions, contributed to Q4 results
CARBON CAPTURE ORDERS - Specialty Products segment saw strong orders in carbon capture, nuclear, and marine markets, offsetting lower hydrogen orders
BACKLOG GROWTH - Backlog increased 21.5% to $5.89 bln, driven by carbon capture, data center, nuclear, marine, and industrial gases markets Company press release:

Key Details

Metric Beat/Mis Actual Consensu

s s

Estimate

Q4 Sales Miss $1.08 $1.20

bln bln (8

Analysts

)

Q4 EPS $1.01

Q4 $125.1

Operatin mln

g income

Analyst Coverage

The current average analyst rating on the shares is “hold” and the breakdown of recommendations is no “strong buy” or “buy”, 10 “hold” and no “sell” or “strong sell”
The average consensus recommendation for the industrial machinery & equipment peer group is “buy.”
Wall Street’s median 12-month price target for Chart Industries Inc is $210.00, about 1.2% above its February 26 closing price of $207.43
The stock recently traded at 16 times the next 12-month earnings vs. a P/E of 15 three months ago For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact . (This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)