81.46 USD
-0.79 (-0.96%)
At close: Oct 1, 2024
81.46 USD
0 (0%)
After Hours: 10/1/2024, 8:00:00 PM
We assign a fundamental rating of 5 out of 10 to CHK. CHK was compared to 207 industry peers in the Oil, Gas & Consumable Fuels industry. While CHK has a great health rating, its profitability is only average at the moment. CHK is quite expensive at the moment. It does show a decent growth rate.
1. Profitability
1.1 Basic Checks
- In the past year CHK was profitable.
- In the past year CHK had a positive cash flow from operations.
- In multiple years CHK reported negative net income over the last 5 years.
- In the past 5 years CHK always reported a positive cash flow from operatings.
1.2 Ratios
- With a Return On Assets value of 3.22%, CHK is not doing good in the industry: 65.07% of the companies in the same industry are doing better.
- With a Return On Equity value of 4.22%, CHK is not doing good in the industry: 70.33% of the companies in the same industry are doing better.
- With a Return On Invested Capital value of 2.57%, CHK is not doing good in the industry: 75.60% of the companies in the same industry are doing better.
- Measured over the past 3 years, the Average Return On Invested Capital for CHK is significantly below the industry average of 21.94%.
- The last Return On Invested Capital (2.57%) for CHK is well below the 3 year average (13.76%), which needs to be investigated, but indicates that CHK had better years and this may not be a problem.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.22% | ||
| ROE | 4.22% | ||
| ROIC | 2.57% |
ROA(3y)35.26%
ROA(5y)-8.99%
ROE(3y)62.5%
ROE(5y)N/A
ROIC(3y)13.76%
ROIC(5y)9.96%
1.3 Margins
- The Profit Margin of CHK (8.94%) is comparable to the rest of the industry.
- In the last couple of years the Profit Margin of CHK has grown nicely.
- CHK has a Operating Margin of 8.56%. This is in the lower half of the industry: CHK underperforms 69.86% of its industry peers.
- CHK's Operating Margin has improved in the last couple of years.
- CHK has a better Gross Margin (78.39%) than 88.52% of its industry peers.
- CHK's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 8.56% | ||
| PM (TTM) | 8.94% | ||
| GM | 78.39% |
OM growth 3Y60.28%
OM growth 5Y26.63%
PM growth 3YN/A
PM growth 5Y88.94%
GM growth 3Y5.78%
GM growth 5Y0.58%
2. Health
2.1 Basic Checks
- CHK has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
- The number of shares outstanding for CHK has been reduced compared to 1 year ago.
- Compared to 1 year ago, CHK has an improved debt to assets ratio.
2.2 Solvency
- CHK has an Altman-Z score of 4.46. This indicates that CHK is financially healthy and has little risk of bankruptcy at the moment.
- CHK has a Altman-Z score of 4.46. This is amongst the best in the industry. CHK outperforms 85.17% of its industry peers.
- The Debt to FCF ratio of CHK is 9.53, which is on the high side as it means it would take CHK, 9.53 years of fcf income to pay off all of its debts.
- CHK's Debt to FCF ratio of 9.53 is in line compared to the rest of the industry. CHK outperforms 43.06% of its industry peers.
- CHK has a Debt/Equity ratio of 0.19. This is a healthy value indicating a solid balance between debt and equity.
- CHK's Debt to Equity ratio of 0.19 is fine compared to the rest of the industry. CHK outperforms 69.38% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.19 | ||
| Debt/FCF | 9.53 | ||
| Altman-Z | 4.46 |
ROIC/WACC0.33
WACC7.73%
2.3 Liquidity
- CHK has a Current Ratio of 2.16. This indicates that CHK is financially healthy and has no problem in meeting its short term obligations.
- The Current ratio of CHK (2.16) is better than 73.21% of its industry peers.
- A Quick Ratio of 2.16 indicates that CHK has no problem at all paying its short term obligations.
- The Quick ratio of CHK (2.16) is better than 75.12% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.16 | ||
| Quick Ratio | 2.16 |
3. Growth
3.1 Past
- CHK shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -74.81%.
- The Earnings Per Share has been decreasing by -8.65% on average over the past years.
- CHK shows a very negative growth in Revenue. In the last year, the Revenue has decreased by -58.30%.
- The Revenue has been decreasing by -5.46% on average over the past years.
EPS 1Y (TTM)-74.81%
EPS 3YN/A
EPS 5Y-8.65%
EPS Q2Q%-98.44%
Revenue 1Y (TTM)-58.3%
Revenue growth 3Y13.87%
Revenue growth 5Y-5.46%
Sales Q2Q%-73.29%
3.2 Future
- The Earnings Per Share is expected to grow by 27.56% on average over the next years. This is a very strong growth
- Based on estimates for the next years, CHK will show a quite strong growth in Revenue. The Revenue will grow by 19.77% on average per year.
EPS Next Y-74.18%
EPS Next 2Y2.06%
EPS Next 3Y18.26%
EPS Next 5Y27.56%
Revenue Next Year-42.93%
Revenue Next 2Y20.29%
Revenue Next 3Y19.77%
Revenue Next 5YN/A
3.3 Evolution
- The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
- When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
- A Price/Earnings ratio of 27.43 indicates a quite expensive valuation of CHK.
- Based on the Price/Earnings ratio, CHK is valued a bit more expensive than the industry average as 70.81% of the companies are valued more cheaply.
- CHK's Price/Earnings ratio indicates a similar valuation than the S&P500 average which is at 28.18.
- With a Price/Forward Earnings ratio of 15.93, CHK is valued correctly.
- Compared to the rest of the industry, the Price/Forward Earnings ratio of CHK is on the same level as its industry peers.
- CHK's Price/Forward Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 25.51.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 27.43 | ||
| Fwd PE | 15.93 |
4.2 Price Multiples
- CHK's Enterprise Value to EBITDA ratio is a bit more expensive when compared to the industry. CHK is more expensive than 63.16% of the companies in the same industry.
- Compared to the rest of the industry, the Price/Free Cash Flow ratio of CHK indicates a slightly more expensive valuation: CHK is more expensive than 64.59% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 87.19 | ||
| EV/EBITDA | 10.11 |
4.3 Compensation for Growth
- A more expensive valuation may be justified as CHK's earnings are expected to grow with 18.26% in the coming years.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y2.06%
EPS Next 3Y18.26%
5. Dividend
5.1 Amount
- CHK has a Yearly Dividend Yield of 2.82%. Purely for dividend investing, there may be better candidates out there.
- CHK's Dividend Yield is comparable with the industry average which is at 3.64.
- CHK's Dividend Yield is rather good when compared to the S&P500 average which is at 1.83.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.82% |
5.2 History
- The dividend of CHK decreases each year by -27.58%.
- CHK has been paying a dividend for over 5 years, so it has already some track record.
Dividend Growth(5Y)-27.58%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
- CHK pays out 74.89% of its income as dividend. This is not a sustainable payout ratio.
DP74.89%
EPS Next 2Y2.06%
EPS Next 3Y18.26%
81.46
-0.79 (-0.96%)
Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryOil, Gas & Consumable Fuels
Earnings (Last)07-29 2024-07-29/amc
Earnings (Next)10-29 2024-10-29/amc
Inst Owners69.55%
Inst Owner Change-0.5%
Ins Owners34.93%
Ins Owner Change0%
Market Cap18.48B
Revenue(TTM)4.90B
Net Income(TTM)438.00M
Analysts75.83
Price Target97.71 (19.95%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.82% |
Yearly Dividend3.66
Dividend Growth(5Y)-27.58%
DP74.89%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)228.74%
Min EPS beat(2)-6.54%
Max EPS beat(2)464.01%
EPS beat(4)3
Avg EPS beat(4)153.85%
Min EPS beat(4)-6.54%
Max EPS beat(4)464.01%
EPS beat(8)7
Avg EPS beat(8)90.83%
EPS beat(12)10
Avg EPS beat(12)68.05%
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)0
Avg Revenue beat(2)-20.53%
Min Revenue beat(2)-36.48%
Max Revenue beat(2)-4.59%
Revenue beat(4)2
Avg Revenue beat(4)7.45%
Min Revenue beat(4)-36.48%
Max Revenue beat(4)45.81%
Revenue beat(8)6
Avg Revenue beat(8)42.17%
Revenue beat(12)8
Avg Revenue beat(12)36.68%
Revenue beat(16)9
Avg Revenue beat(16)22.86%
PT rev (1m)-7.14%
PT rev (3m)-8.21%
EPS NQ rev (1m)-60.96%
EPS NQ rev (3m)-69.49%
EPS NY rev (1m)0%
EPS NY rev (3m)-18.9%
Revenue NQ rev (1m)-5.86%
Revenue NQ rev (3m)-17.02%
Revenue NY rev (1m)-2.47%
Revenue NY rev (3m)-6.44%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 27.43 | ||
| Fwd PE | 15.93 | ||
| P/S | 3.77 | ||
| P/FCF | 87.19 | ||
| P/OCF | 10.64 | ||
| P/B | 1.78 | ||
| P/tB | 1.78 | ||
| EV/EBITDA | 10.11 |
EPS(TTM)2.97
EY3.65%
EPS(NY)5.11
Fwd EY6.28%
FCF(TTM)0.93
FCFY1.15%
OCF(TTM)7.66
OCFY9.4%
SpS21.58
BVpS45.7
TBVpS45.7
PEG (NY)N/A
PEG (5Y)N/A
Graham NumberN/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.22% | ||
| ROE | 4.22% | ||
| ROCE | 3.31% | ||
| ROIC | 2.57% | ||
| ROICexc | 2.79% | ||
| ROICexgc | 2.79% | ||
| OM | 8.56% | ||
| PM (TTM) | 8.94% | ||
| GM | 78.39% | ||
| FCFM | 4.33% |
ROA(3y)35.26%
ROA(5y)-8.99%
ROE(3y)62.5%
ROE(5y)N/A
ROIC(3y)13.76%
ROIC(5y)9.96%
ROICexc(3y)14.49%
ROICexc(5y)10.54%
ROICexgc(3y)14.49%
ROICexgc(5y)10.54%
ROCE(3y)17.73%
ROCE(5y)12.84%
ROICexgc growth 3Y17.67%
ROICexgc growth 5Y15.1%
ROICexc growth 3Y17.67%
ROICexc growth 5Y15.1%
OM growth 3Y60.28%
OM growth 5Y26.63%
PM growth 3YN/A
PM growth 5Y88.94%
GM growth 3Y5.78%
GM growth 5Y0.58%
F-Score5
Asset Turnover0.36
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.19 | ||
| Debt/FCF | 9.53 | ||
| Debt/EBITDA | 1.05 | ||
| Cap/Depr | 101.13% | ||
| Cap/Sales | 31.14% | ||
| Interest Coverage | 4.46 | ||
| Cash Conversion | 90.14% | ||
| Profit Quality | 48.4% | ||
| Current Ratio | 2.16 | ||
| Quick Ratio | 2.16 | ||
| Altman-Z | 4.46 |
F-Score5
WACC7.73%
ROIC/WACC0.33
Cap/Depr(3y)99.31%
Cap/Depr(5y)100.4%
Cap/Sales(3y)17.38%
Cap/Sales(5y)20.06%
Profit Quality(3y)28.9%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-74.81%
EPS 3YN/A
EPS 5Y-8.65%
EPS Q2Q%-98.44%
EPS Next Y-74.18%
EPS Next 2Y2.06%
EPS Next 3Y18.26%
EPS Next 5Y27.56%
Revenue 1Y (TTM)-58.3%
Revenue growth 3Y13.87%
Revenue growth 5Y-5.46%
Sales Q2Q%-73.29%
Revenue Next Year-42.93%
Revenue Next 2Y20.29%
Revenue Next 3Y19.77%
Revenue Next 5YN/A
EBIT growth 1Y-91.23%
EBIT growth 3Y82.51%
EBIT growth 5Y19.71%
EBIT Next Year-4.53%
EBIT Next 3Y38.42%
EBIT Next 5Y39.9%
FCF growth 1Y-86.46%
FCF growth 3Y192.58%
FCF growth 5YN/A
OCF growth 1Y-37.25%
OCF growth 3Y26.92%
OCF growth 5Y6.59%
CHESAPEAKE ENERGY CORP / CHK FAQ
What is the ChartMill fundamental rating of CHESAPEAKE ENERGY CORP (CHK) stock?
ChartMill assigns a fundamental rating of 5 / 10 to CHK.
Can you provide the valuation status for CHESAPEAKE ENERGY CORP?
ChartMill assigns a valuation rating of 2 / 10 to CHESAPEAKE ENERGY CORP (CHK). This can be considered as Overvalued.
What is the profitability of CHK stock?
CHESAPEAKE ENERGY CORP (CHK) has a profitability rating of 4 / 10.
Can you provide the PE and PB ratios for CHK stock?
The Price/Earnings (PE) ratio for CHESAPEAKE ENERGY CORP (CHK) is 27.43 and the Price/Book (PB) ratio is 1.78.
What is the earnings growth outlook for CHESAPEAKE ENERGY CORP?
The Earnings per Share (EPS) of CHESAPEAKE ENERGY CORP (CHK) is expected to decline by -74.18% in the next year.