81.46 USD
-0.79 (-0.96%)
81.46 USD
0 (0%)
Taking everything into account, CHK scores 5 out of 10 in our fundamental rating. CHK was compared to 209 industry peers in the Oil, Gas & Consumable Fuels industry. CHK has an excellent financial health rating, but there are some minor concerns on its profitability. While showing a medium growth rate, CHK is valued expensive at the moment.
1. Profitability
1.1 Basic Checks
CHK had positive earnings in the past year.
CHK had a positive operating cash flow in the past year.
The reported net income has been mixed in the past 5 years: CHK reported negative net income in multiple years.
In the past 5 years CHK always reported a positive cash flow from operatings.
1.2 Ratios
CHK has a worse Return On Assets (3.22%) than 65.07% of its industry peers.
Looking at the Return On Equity, with a value of 4.22%, CHK is doing worse than 70.33% of the companies in the same industry.
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.
The Average Return On Invested Capital over the past 3 years for CHK is significantly below the industry average of 20.88%.
The 3 year average ROIC (13.76%) for CHK is well above the current ROIC(2.57%). The reason for the recent decline needs to be investigated.
| 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
With a Profit Margin value of 8.94%, CHK perfoms like the industry average, outperforming 40.67% of the companies in the same industry.
In the last couple of years the Profit Margin of CHK has grown nicely.
CHK's Operating Margin of 8.56% is on the low side compared to the rest of the industry. CHK is outperformed by 69.86% of its industry peers.
In the last couple of years the Operating Margin of CHK has grown nicely.
CHK has a Gross Margin of 78.39%. This is amongst the best in the industry. CHK outperforms 88.52% of its industry peers.
In the last couple of years the Gross Margin of CHK has remained more or less at the same level.
| 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.
CHK has less shares outstanding than it did 1 year ago.
Compared to 5 years ago, CHK has more shares outstanding
The debt/assets ratio for CHK has been reduced compared to a year ago.
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.
Looking at the Altman-Z score, with a value of 4.46, CHK belongs to the top of the industry, outperforming 85.17% of the companies in the same industry.
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 has a Debt to FCF ratio (9.53) which is in line with its industry peers.
A Debt/Equity ratio of 0.19 indicates that CHK is not too dependend on debt financing.
With a decent Debt to Equity ratio value of 0.19, CHK is doing good in the industry, outperforming 69.38% of the companies in the same industry.
| 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.
CHK has a better Current ratio (2.16) than 73.21% of its industry peers.
CHK has a Quick Ratio of 2.16. This indicates that CHK is financially healthy and has no problem in meeting its short term obligations.
With a decent Quick ratio value of 2.16, CHK is doing good in the industry, outperforming 75.12% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.16 | ||
| Quick Ratio | 2.16 |
3. Growth
3.1 Past
The earnings per share for CHK have decreased strongly by -74.81% in the last year.
CHK shows a decrease in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -8.65% yearly.
The Revenue for CHK has decreased by -58.30% in the past year. This is quite bad
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
Based on estimates for the next years, CHK will show a very strong growth in Earnings Per Share. The EPS will grow by 27.56% on average per year.
The Revenue is expected to grow by 19.77% on average over the next years. This is quite good.
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.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 27.43, which means the current valuation is very expensive for CHK.
CHK's Price/Earnings ratio is a bit more expensive when compared to the industry. CHK is more expensive than 70.81% of the companies in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 26.49, CHK is valued at the same level.
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.
When comparing the Price/Forward Earnings ratio of CHK to the average of the S&P500 Index (23.69), we can say CHK is valued slightly cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 27.43 | ||
| Fwd PE | 15.93 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of CHK indicates a slightly more expensive valuation: CHK is more expensive than 63.16% of the companies listed in the same industry.
Based on the Price/Free Cash Flow ratio, CHK is valued a bit more expensive than the industry average as 64.59% of the companies are valued more cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 87.19 | ||
| EV/EBITDA | 10.11 |
4.3 Compensation for Growth
CHK's earnings are expected to grow with 18.26% in the coming years. This may justify a more expensive valuation.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y2.06%
EPS Next 3Y18.26%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 2.82%, CHK has a reasonable but not impressive dividend return.
Compared to an average industry Dividend Yield of 5.71, CHK has a dividend in line with its industry peers.
CHK's Dividend Yield is a higher than the S&P500 average which is at 2.31.
| 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
74.89% of the earnings are spent on dividend by CHK. 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)
Earnings (Next)
Inst Owners69.55%
Inst Owner Change9.51%
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.
What is the valuation status for CHK stock?
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.
What is the financial health of CHESAPEAKE ENERGY CORP (CHK) stock?
The financial health rating of CHESAPEAKE ENERGY CORP (CHK) is 7 / 10.
Can you provide the dividend sustainability for CHK stock?
The dividend rating of CHESAPEAKE ENERGY CORP (CHK) is 3 / 10 and the dividend payout ratio is 74.89%.