Last closing price
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N/AMethodology
EQT Corporation's natural gas production earnings fluctuate dramatically with natural gas prices, requiring normalized price assumptions for meaningful fair value calculations. The Appalachian Basin focus creates pure natural gas exposure without oil cushion. Fair value works best using mid-cycle natural gas prices ($3.50-4.50/MMBtu) rather than spot market conditions that swing wildly.
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N/AMethodology
EQT trades at very low PEG ratios (often below 0.5x) during strong natural gas markets, reflecting market skepticism about price sustainability and concerns about associated gas oversupply. Production growth comes from low-cost Marcellus/Utica development. PEG misleads for gas E&P because earnings volatility reflects commodity price swings rather than operational quality.
Methodology
EQT pays a base dividend plus variable returns tied to free cash flow generation, yielding 2-5% depending on natural gas prices, making PEGY more attractive than PEG. The company's return-focused framework prioritizes cash distributions during strong commodity environments. Total shareholder yield can reach 8-12% when natural gas prices strengthen, making yield-adjusted valuations more relevant.