TD Cowen Boosts Price Target for CNX Resources (CNX) | CNX Stock News

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Apr 25, 2025
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TD Cowen has increased its price target for CNX Resources (CNX, Financial) from $27 to $29, maintaining a Hold rating on the stock. This adjustment follows the company's first-quarter performance, where they maintained steady guidance despite prevailing economic uncertainties.

Management of CNX Resources has projected a slowdown in operations during the second and third quarters, with a potential uptick in activity anticipated in the fourth quarter. The company plans to carefully assess market conditions to determine if a resumption of increased production is feasible as the year progresses.

Wall Street Analysts Forecast

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Based on the one-year price targets offered by 12 analysts, the average target price for CNX Resources Corp (CNX, Financial) is $30.67 with a high estimate of $41.00 and a low estimate of $21.00. The average target implies an upside of 5.53% from the current price of $29.06. More detailed estimate data can be found on the CNX Resources Corp (CNX) Forecast page.

Based on the consensus recommendation from 14 brokerage firms, CNX Resources Corp's (CNX, Financial) average brokerage recommendation is currently 3.4, indicating "Hold" status. The rating scale ranges from 1 to 5, where 1 signifies Strong Buy, and 5 denotes Sell.

Based on GuruFocus estimates, the estimated GF Value for CNX Resources Corp (CNX, Financial) in one year is $22.38, suggesting a downside of 22.99% from the current price of $29.06. GF Value is GuruFocus' estimate of the fair value that the stock should be traded at. It is calculated based on the historical multiples the stock has traded at previously, as well as past business growth and the future estimates of the business' performance. More detailed data can be found on the CNX Resources Corp (CNX) Summary page.

CNX Key Business Developments

Release Date: January 30, 2025

For the complete transcript of the earnings call, please refer to the full earnings call transcript.

Positive Points

  • CNX Resources Corp (CNX, Financial) has successfully validated the premium nature of its coal mine methane (CMM) across multiple sectors, including manufacturing, power generation, and hydrogen production.
  • The company is positioned to maintain flat production levels through 2024, with flexibility to increase activity if market conditions are favorable.
  • CNX Resources Corp (CNX) has achieved significant capital efficiency, with a run rate spending goal of sub-$500 million, driven by efficiencies from Utica CPA development and a low decline PDP base.
  • The company reported robust free cash flow from its new technologies segment in the fourth quarter of 2024, driven by monetization of environmental attributes.
  • CNX Resources Corp (CNX) is actively exploring multiple pathways to generate credits from its CMM business, targeting sectors like power generation, manufacturing, and data centers.

Negative Points

  • There are uncertainties and restrictions in the 45V rules that may impact CNX Resources Corp (CNX)'s ability to fully capitalize on its CMM potential, requiring further clarity from the administration.
  • The company's new technologies segment is expected to see a decline in free cash flow in 2025 compared to the strong performance in the fourth quarter of 2024.
  • CNX Resources Corp (CNX) faces potential production declines in the second half of 2025 into 2026, contingent on market conditions and capital allocation decisions.
  • The company has not yet seen significant contributions from its oilfield service and CNG, LNG businesses, which are still in early commercialization phases.
  • There is a lack of clarity on the financial incentives and capital requirements associated with potential rule changes for coal mine methane, impacting future investment decisions.

Disclosures

I/We may personally own shares in some of the companies mentioned above. However, those positions are not material to either the company or to my/our portfolios.