Freedom analysts initiated coverage of EQT Corporation (EQT) shares with a “Buy” rating and a target price of $79 per share. EQT is the largest natural gas producer in the United States, with its core operations concentrated in the Marcellus shale formation in the Appalachian Basin.
Analysts’ positive view is driven by improving fundamentals in the natural gas market. U.S. liquefied natural gas (LNG) export growth is expected to support gas prices in the medium term, creating favorable conditions for producers in the Appalachian region. According to the U.S. Department of Energy’s forecast, U.S. LNG export volumes will increase by 13.8% in 2026 and by another 8.3% in 2027.
One of EQT’s key competitive advantages is its low production cost. The company employs a strategy of simultaneously developing multiple wells on adjacent acreage in the Marcellus, which helps improve capital productivity and reduce costs. In addition, EQT posts the highest adjusted EBITDA margin among comparable gas producers — 82.6%.
Analysts also view the acquisition of Olympus Energy as an additional long-term growth driver. The $1.8 billion deal, closed in July 2025, added about 90 thousand acres of contiguous acreage in southwestern Pennsylvania and expanded the potential for production growth in the coming years.
Key risks to the investment case remain high natural gas price volatility, as well as potential tightening of environmental and industry regulation in Pennsylvania, where a significant portion of the company’s assets is concentrated.
Not an individual investment recommendation.