National Fuel Gas Company is a diversified energy company operating through three segments: Integrated Upstream and Gathering, Pipeline and Storage, and Utility. The Integrated Upstream and Gathering segment explores for, develops, and produces natural gas and oil, and builds, owns, and operates gathering facilities in the Appalachian region, including providing gathering services to Seneca. The Pipeline and Storage segment offers interstate natural gas transportation via an integrated pipeline system in Pennsylvania and New York, and storage services through underground natural gas storage fields, serving National Fuel Gas Distribution Corporation, utilities, industrial companies, and power producers in New York State. The Utility segment sells natural gas to retail customers and provides utility services in Buffalo, Niagara Falls, and Jamestown, New York, as well as Erie and Sharon, Pennsylvania. Incorporated in 1902, the company is headquartered in Williamsville, New York.
NFG weighs splitting into two companies as earnings guidance slips
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Seneca electric fracking deal Seneca signed a 3-year deal to use its own natural gas to power electric fracking, cutting fuel and logistics costs. Cheaper, more reliable operations support profits, a modest plus for NFG shares.
New operational efficiency driver that lowers costs and supports earnings.
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Guidance cut and higher capex NFG beat Q3 earnings but lowered full-year profit and production guidance and raised spending plans. Weaker output and higher costs weigh on earnings, a negative for the stock.
New guidance cut and capex increase directly pressure earnings expectations.
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Possible $5B upstream sale or spinoff NFG is exploring a sale, merger, or spinoff of its gas production unit, valued near $5B. A deal could unlock value and sharpen focus, lifting the stock on strategic upside.
New strategic review of the upstream unit is a major valuation catalyst.
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Board targets October 15 split decision The board aims to finish reviewing a split into a regulated utility and a separate upstream company by October 15. Clarity could help, but execution and valuation risks keep the outcome uncertain.
New timeline for the separation review adds both clarity and uncertainty.
Q3 2026
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NFG weighs splitting into two companies as earnings guidance slips
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Seneca electric fracking deal Seneca signed a 3-year deal to use its own natural gas to power electric fracking, cutting fuel and logistics costs. Cheaper, more reliable operations support profits, a modest plus for NFG shares.
New operational efficiency driver that lowers costs and supports earnings.
▼
Guidance cut and higher capex NFG beat Q3 earnings but lowered full-year profit and production guidance and raised spending plans. Weaker output and higher costs weigh on earnings, a negative for the stock.
New guidance cut and capex increase directly pressure earnings expectations.
▲
Possible $5B upstream sale or spinoff NFG is exploring a sale, merger, or spinoff of its gas production unit, valued near $5B. A deal could unlock value and sharpen focus, lifting the stock on strategic upside.
New strategic review of the upstream unit is a major valuation catalyst.
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Board targets October 15 split decision The board aims to finish reviewing a split into a regulated utility and a separate upstream company by October 15. Clarity could help, but execution and valuation risks keep the outcome uncertain.
New timeline for the separation review adds both clarity and uncertainty.
News & notes movingNFG
United States
Energy Transition & Power Demand▲2
National Fuel Completes $2.62B Purchase of CenterPoint's Ohio Gas Utility
National Fuel Gas Company has completed its previously announced acquisition of CenterPoint Energy's Ohio natural gas utility business for $2.62 billion. The deal adds roughly 335,000 customers, expanding National Fuel's utility customer base to nearly 1.1 million customers across New York, Pennsylvania and Ohio. Management expects the transaction to double the company's gas utility rate base to roughly $3.2 billion, increase regulated cash flows, and complement its existing New York and Pennsylvania utility businesses while maintaining its investment-grade balance sheet. The acquisition is expected to be immediately accretive to regulated earnings per share, neutral to consolidated adjusted results in fiscal 2028, and accretive thereafter. The article also noted recent consolidation in the U.S. oil and energy sector, including Williams' completed $5.5-billion acquisition of Momentum Midstream in September 2026 and ONEOK's agreement to acquire Brazos Midstream's Permian Midland Basin assets for $4.43 billion.
Energy Transition & Power Demand › Natural Gas Value Chain Capital
Energy Transition & Power Demand › Firm Power & Transition Fuels ▲Capital
NFG · Capital · Positive National Fuel completed the $2.62B acquisition of CenterPoint's Ohio gas utility, doubling its rate base and expected to be immediately accretive to regulated EPS.
CNP · Capital · Neutral CenterPoint completed the $2.62B sale of its Ohio gas utility to National Fuel, a divestiture that is a capital event but with mixed implications.
National Fuel Board Sets October 15 Deadline for Two-Way Split Review
National Fuel Gas Company said its board expects to complete by October 15 its review of a plan to separate the company into two publicly traded businesses, splitting its Integrated Upstream and Gathering operations from its regulated utility, pipeline and storage businesses. If pursued, shareholders would receive shares of the IUG business through a tax-free distribution, while National Fuel would become a fully regulated natural-gas company. The timing is notable because National Fuel is about to close its $2.62 billion acquisition of CenterPoint Energy's Ohio gas utility business, expected on October 1, a deal that would add roughly 335,000 customers and take its utility customer base to about 1.1 million across Ohio, Pennsylvania and New York. After the split, National Fuel would have nearly $5 billion of rate base, almost 5 Bcf per day of contracted pipeline transportation capacity and 77 Bcf of contracted storage capacity, while IUG holds about 5 Tcf of natural-gas reserves and more than 40 years of prospective Marcellus and Utica development inventory. The company said capital efficiency has improved about 25% since shifting development to its Eastern Development Area in 2023, and it generated $1.035 billion of operating cash flow in the first nine months of fiscal 2026 while expecting $1 billion to $1.5 billion of free cash flow over the next three years. The principal risk is that the separation could remove the benefits of National Fuel's integrated model, since IUG accounted for $388.0 million of segment GAAP earnings in the first nine months of fiscal 2026, up from $221.2 million a year earlier, and Reuters reported the upstream business represented about 69% of National Fuel's adjusted EBITDA. National Fuel issued $1.5 billion of debt in June to help fund the Ohio acquisition and refinance $300 million of notes, meaning the restructuring would follow a large utility acquisition and new financing, potentially creating transaction costs and operational complexity.
Energy Transition & Power Demand › Natural Gas Value Chain Capital
Energy Transition & Power Demand › Nuclear Generation & Utilities Regulation
NFG · Capital · Neutral National Fuel's board set an October 15 deadline for reviewing a tax-free split into upstream and regulated utility businesses, alongside its $2.62B CenterPoint Ohio acquisition.
CNP · Capital · Neutral CenterPoint is only mentioned as the seller of its Ohio gas utility business to National Fuel, a deal expected to close October 1.
National Fuel Declares $0.555 Quarterly Dividend, Extending 56-Year Increase Streak
National Fuel Gas Company has declared a quarterly dividend of $0.555 per share, payable October 15 to shareholders of record as of September 30, an annualized rate of $2.22 per share. The declaration extends the company's record to 124 consecutive years of dividend payments and a 56th straight year of annual increases, with the latest raise of 4% lifting the quarterly payout from $0.535. At around $80.92 per share, the annualized dividend yields roughly 2.7%, and the payout represents about 29% of the midpoint of fiscal 2026 adjusted EPS guidance of $7.40 to $7.60. National Fuel generated $1.035 billion in operating cash flow and $280 million in free cash flow through the first nine months of fiscal 2026, against an annual dividend commitment of about $211 million based on approximately 95 million shares outstanding. The company cut its fiscal 2026 adjusted EPS guidance to $7.40-$7.60 from $7.45-$7.75 after third-quarter GAAP earnings fell to $138.6 million, or $1.45 per share, from $149.8 million, or $1.64 per share, a year earlier, and it assumes a $3.00 per MMBtu NYMEX natural gas price for the rest of the fiscal year.
National Fuel Gas Board Targets October 15 to Finish Separation Review
National Fuel Gas said Thursday its board expects to complete a review of plans to split into two publicly-traded companies by October 15. The separation would create a 100% rate-regulated company holding natural gas utility and interstate pipeline and storage assets across Pennsylvania, Ohio, and New York, while the Integrated Upstream and Gathering business would become an independent public company focused solely on its Appalachian upstream and gathering natural gas business. CEO David Bauer said that with the expected closing of the Ohio gas utility acquisition next month, each business will be a scaled platform with distinct strategic priorities, organic growth opportunities, capital needs, and investment profiles. National Fuel Gas shareholders would own shares in both National Fuel and the Integrated Upstream and Gathering business. Earlier this week, Reuters reported the company is weighing strategic options for its integrated natural gas business in a deal that could value the unit at ~$5B.
Energy Transition & Power Demand › Natural Gas Value Chain Capital
NFG · Capital · Neutral Board targets October 15 to complete review of a separation into two publicly-traded companies, with the upstream unit potentially valued at ~$5B.
National Fuel Gas explores options for $5B natural gas production unit
National Fuel Gas is exploring strategic options for its integrated natural gas production business, with any deal set to value the unit at about $5B, according to a Reuters report. The company is reportedly working with advisors including Goldman Sachs to study a wide range of scenarios, including a full or partial sale, a merger with another publicly traded U.S. producer, or a spinoff into a separate publicly listed company. The business consists of Seneca Resources, which produces about 1.1 Bcf per day of natural gas from operations across the Marcellus and Utica shale formations in Appalachia, and pipeline operator National Fuel Gas Midstream, which supports Seneca by transporting gas from well sites to larger pipelines. Seneca and its associated infrastructure comprise a considerable amount of National Fuel Gas adjusted EBITDA, according to a July presentation, meaning any divestment would have to be weighed carefully to ensure it does not undermine the company's remaining business. National Fuel Gas provides natural gas utility services to 756K consumers in New York and Pennsylvania and is working to close a $2.6B purchase of CenterPoint Energy's Ohio natural gas utility business, which would add another 335K customers.
Energy Transition & Power Demand › Natural Gas Value Chain Capital
NFG · Capital · Positive National Fuel Gas is exploring a full/partial sale, merger, or spinoff of its production unit valued at about $5B, a strategic/valuation event for the company.
Seneca Resources Company, LLC · Capital · Neutral Seneca Resources is the production business being explored for sale, merger, or spinoff, but as a subsidiary its standalone impact is unclear.
National Fuel Gas Trades at 18.9% Discount to Fair Value After Earnings Beat and 2026 Guidance
National Fuel Gas shares trade at $82.31, an 18.9% discount to a widely followed fair value estimate of $101.50, following an earnings beat and the release of 2026 production guidance. The stock has returned 6.21% over the past month and 81.20% over five years. Favorable regulatory mechanisms and a strong balance sheet support reinvestment and capital returns, while hedging and firm sales portfolios help stabilize cash flow. However, a separate discounted cash flow model from Simply Wall St estimates fair value at $46.46, suggesting the stock may be overvalued. The divergence highlights uncertainty around long-term capital spending and decarbonization policy risks.
National Fuel Gas beats Q3 earnings estimates but lowers full-year outlook
National Fuel Gas Company reported third-quarter fiscal 2026 adjusted earnings of $1.54 per share, beating the Zacks Consensus Estimate of $1.47 by 4.8 percent, though earnings declined 6.1 percent from $1.64 a year ago. Total revenues rose 1.1 percent to $537.5 million, missing the consensus of $564 million, with utility revenues up 5.1 percent to $165.42 million, pipeline and storage up 2.3 percent to $69.56 million, and integrated upstream and gathering down 1.3 percent to $302.52 million. Operating income fell 9.3 percent to $208.9 million as total operating expenses increased 8.9 percent, and Seneca's natural gas production dropped 7 percent to 104.3 billion cubic feet. The company lowered its fiscal 2026 adjusted earnings guidance to a range of $7.40 to $7.60 per share from the prior $7.45 to $7.75, cut production guidance to 420 to 430 billion cubic feet, and raised capital expenditure guidance to $1 billion to $1.08 billion. National Fuel also completed financing for its $2.62 billion acquisition of CenterPoint Energy's Ohio natural gas utility, which is on track to close October 1, 2026, and increased its annual dividend by 4 percent to $2.22 per share.
NFG · Capital · Negative Lowered fiscal 2026 adjusted earnings guidance and production guidance, raised capex, despite beating Q3 earnings estimates
CNP · Capital · Positive National Fuel Gas is acquiring CenterPoint Energy's Ohio natural gas utility for $2.62 billion, providing CenterPoint with cash proceeds
Seneca Resources and Evolution Well Services Announce Three-Year Strategic Agreement
Seneca Resources, the exploration and production segment of National Fuel Gas Company, and Evolution Well Services have announced a three-year strategic agreement to deploy Evolution's electric fracturing technology across Seneca's Appalachian operations. The partnership combines Evolution's patent-protected electric fracturing technology, in-house power generation, and field gas conditioning services with Seneca's responsibly sourced natural gas. Seneca Resources President Justin Loweth stated that the company will use its produced and gathered field gas to power electric fracturing operations, lowering fuel and logistics costs, improving reliability and uptime, and reducing the overall cost of ownership. Evolution Well Services President and CEO Steven W. Anderson said merging the companies' technologies will simplify operations and prioritize safety, reliability, and efficiency, with plans to deliver high-performance natural gas completions across Appalachia.
Energy Transition & Power Demand › Natural Gas Value Chain ▲Technology
Evolution Well Services · Demand · Positive Evolution Well Services enters a three-year agreement to deploy its electric fracturing technology, securing long-term revenue and operational partnership.
Seneca Resources Company, LLC · Demand · Positive Seneca Resources Company, LLC is the direct beneficiary of the three-year strategic agreement to use its field gas for electric fracturing, lowering costs and improving efficiency.
NFG · Demand · Positive Seneca Resources, a segment of National Fuel Gas, secures a three-year strategic agreement to deploy electric fracturing technology, boosting demand for its natural gas services.
National Fuel Gas Company's Bullish Thesis Highlights Earnings Momentum and Ohio Utility Acquisition
A bullish thesis on National Fuel Gas Company emphasizes strong earnings momentum and the $2.62 billion acquisition of CenterPoint's Ohio utility as a key catalyst. The company reported fiscal Q1 2026 adjusted EPS of $2.06, beating expectations, with revenue of $651.5 million and adjusted EBITDA up 29% to $370.8 million. Fiscal 2026 guidance projects adjusted EPS of $7.60 to $8.10, up 14%, alongside $300 to $350 million in free cash flow. NFG supports a 2.39% dividend yield and has increased dividends for 56 consecutive years. The Ohio utility acquisition is expected to double the regulated rate base and enhance earnings stability.
John Dorfman Recommends Five Mid-Cap Stocks for Differentiated Returns
John Dorfman of Dorfman Value Investments recommends a quintet of mid-cap stocks, arguing they can help portfolios perform differently from large-cap-dominated indices. The five picks are Dillard's, Matson, Cullen/Frost Bankers, National Fuel Gas, and Oshkosh. Dillard's trades at 13 times earnings and has appreciated 833% over the past decade. Matson, a Hawaii-based ocean shipper, sells for 14 times earnings and has returned 478% over ten years. Cullen/Frost Bankers has been profitable every year since 1868. National Fuel Gas, active across natural-gas production, pipelines, and utilities, trades at about 10 times earnings. Oshkosh, a maker of fire engines and military trucks, sells at 13 times forward earnings estimates. Mid-caps are up 15.4% this year through June 19, outpacing the 10.2% gain for large-caps.
Seneca Resources and Evolution Well Services Announce 3-Year Strategic Agreement for Electric Fracturing in Appalachia
Seneca Resources Company, LLC and Evolution Well Services today announced a strategic alignment to deploy advanced electric fracturing technology across Seneca's Appalachian basin footprint. The three-year agreement combines Evolution's patent-protected electric fracturing technology, in-house power generation, and advanced field gas conditioning services with Seneca's responsibly sourced natural gas production to improve operational efficiency and reduce the environmental footprint of completions. The partnership leverages Seneca's field gas to power electric fracturing operations, aiming to reduce fuel and logistics costs, improve reliability and uptime, and lower overall cost of ownership. Justin Loweth, President of Seneca Resources, stated the initiative reflects Seneca's focus on disciplined capital allocation and operational execution, while Steven W. Anderson, President and CEO of Evolution Well Services, emphasized the collaboration sets a higher standard for sustainable, high-performance completions in Appalachia.
Energy Transition & Power Demand › Natural Gas Value Chain ▲Technology
Energy Transition & Power Demand › Behind-the-Meter & On-site Power ▲Technology
Evolution Well Services · Demand · Positive Evolution Well Services secures a 3-year agreement to deploy its electric fracturing technology, ensuring sustained demand for its services.
NFG · Demand · Positive Seneca Resources, a subsidiary of National Fuel Gas Company, enters a 3-year strategic agreement for electric fracturing, boosting demand for its natural gas to power operations.
Target, National Fuel Gas, and Caterpillar Declare Dividend Hikes
Target Corporation, National Fuel Gas Company, and Caterpillar Inc. each announced dividend increases in mid-June. Target declared a dividend of $1.16 per share payable September 1, with a yield of 3.42% and a payout ratio of 57% of earnings. National Fuel Gas set a dividend of $0.56 per share payable August 15, yielding 2.79% with a 28% payout ratio. Caterpillar announced a dividend of $1.63 per share payable September 19, yielding 0.65% with a 30% payout ratio. All three companies have raised their dividends six times over the past five years.
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