Here's Why Investors Should Hold on to EQT Stock Right Now

EQT Corporation EQT has gained 16% year to date, outpacing the 11.3% improvement of the composite stocks belonging to the industry.What's Favoring the EQT Stock?EQT, a leading natural gas producer in North America, carries a Zacks Rank #3 (Hold) and has established a strong presence in the highly productive Appalachian Basin. The company's production prospects are robust, with numerous prime drilling locations throughout this gas-rich region. As natural gas is a cleaner-burning fossil fuel, EQT is well-positioned to benefit from the growing demand for clean energy sources. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.  Moreover, the U.S. Energy Information Administration (“EIA”) forecasts that the price of natural gas will increase to an average of $2.80 per million British thermal units (MMBtu) in the first quarter of 2025 from $2.20 per MMBtu in October, driven by heightened demand for heating fuel. As a major gas producer, the company stands to benefit significantly from this anticipated rise in commodity prices.Notably, the company is at the forefront among its peers when it comes to establishing emissions reduction goals. EQT’s ambitious goal is to achieve net zero scope 1 and scope 2 greenhouse gas emissions by 2025 or sooner.Risks to EQT’s BusinessEQT Corporation has experienced a notable increase in its total debt, which rose to $13.8 billion as of Sept. 30, 2024, from $5.8 billion at the end of 2023. This substantial increase raises questions about the company's financial flexibility and its ability to pursue strategic objectives effectively.  Also, EQT's engagement in exploration and production activities leaves it vulnerable to significant fluctuations in oil and gas prices, resulting in a highly unpredictable business environment for this upstream energy company. Some other major exploration and production firms that are also exposed to commodity price volatility are ConocoPhillips COP, Diamondback Energy, Inc. FANG and EOG Resources EOG.ConocoPhillips has secured a solid production outlook thanks to its decades of drilling inventories across its low-cost and diversified upstream asset base. The resource base represents the company’s strong footprint in prolific acres in the United States, comprising Eagle Ford shale, the Permian Basin and Bakken shale.Diamondback Energy, a leading pure-play Permian operator, has reported ongoing enhancements in the average productivity per well in the Midland Basin. Thus, the exploration and production company will likely continue witnessing increased production volumes.In the United States, EOG Resources is one of the foremost explorers and producers of oil and gas, with its crude reserves spanning across the United States and Trinidad. The company possesses an extensive inventory of high-quality drilling wells in low-cost, premium resources, ensuring a strong business outlook.Zacks' Research Chief Names "Stock Most Likely to Double"Our team of experts has just released the 5 stocks with the greatest probability of gaining +100% or more in the coming months. Of those 5, Director of Research Sheraz Mian highlights the one stock set to climb highest.This top pick is among the most innovative financial firms. With a fast-growing customer base (already 50+ million) and a diverse set of cutting edge solutions, this stock is poised for big gains. Of course, all our elite picks aren’t winners but this one could far surpass earlier Zacks’ Stocks Set to Double like Nano-X Imaging which shot up +129.6% in little more than 9 months.Free: See Our Top Stock And 4 Runners UpWant the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report ConocoPhillips (COP): Free Stock Analysis Report EQT Corporation (EQT): Free Stock Analysis Report EOG Resources, Inc. (EOG): Free Stock Analysis Report Diamondback Energy, Inc. (FANG): Free Stock Analysis ReportTo read this article on Zacks.com click here.Zacks Investment ResearchWeiter zum vollständigen Artikel bei Zacks Weiter zum vollständigen Artikel bei Zacks