Chesapeake Energy (CHK) Rating Lowered to Sell at Zacks Investment Research

Zacks Investment Research lowered shares of Chesapeake Energy (NYSE:CHK) from a hold rating to a sell rating in a research report sent to investors on Wednesday morning.

According to Zacks, “Chesapeake has underperformed the broader market indices over the last year. The company has declined by 37.8%, in comparison; the industry has decreased by 10.1%, during the aforesaid period. Though Chesapeake’s ongoing asset monetization initiatives are working well, the company’s balance sheet is still more leveraged than its peers. The company’s debt to capitalization ratio stands at 104.44%, significantly higher than the industry’s 46.7%. At the end of the fourth quarter, the debt balance was $9.9 billion compared with negligible cash balance of $5 million in the balance sheet. This also restricts its ability to gain capital from markets and also reduces its credibility for shareholders.”

How to Become a New Pot Stock Millionaire

Several other research firms have also recently issued reports on CHK. Mizuho cut shares of Chesapeake Energy from a neutral rating to an underperform rating and upped their target price for the company from $4.28 to $8.00 in a research note on Tuesday, January 16th. SunTrust Banks restated a buy rating and set a $6.00 target price on shares of Chesapeake Energy in a research note on Wednesday, January 3rd. Piper Jaffray Companies restated a hold rating and set a $5.00 target price on shares of Chesapeake Energy in a research note on Tuesday, January 9th. ValuEngine cut shares of Chesapeake Energy from a buy rating to a hold rating in a research note on Sunday, December 31st. Finally, Credit Suisse Group assumed coverage on shares of Chesapeake Energy in a research note on Monday, December 11th. They set an underperform rating and a $3.00 target price on the stock. Eight research analysts have rated the stock with a sell rating, twelve have assigned a hold rating, five have assigned a buy rating and one has issued a strong buy rating to the company. Chesapeake Energy presently has an average rating of Hold and a consensus price target of $4.90.

CHK stock opened at $3.07 on Wednesday. The company has a debt-to-equity ratio of -4.86, a quick ratio of 0.65 and a current ratio of 0.65. The stock has a market cap of $2,791.38, a PE ratio of 3.70 and a beta of 1.90. Chesapeake Energy has a one year low of $2.53 and a one year high of $6.59.

Chesapeake Energy (NYSE:CHK) last posted its earnings results on Thursday, February 22nd. The oil and gas exploration company reported $0.30 earnings per share (EPS) for the quarter, beating the Thomson Reuters’ consensus estimate of $0.25 by $0.05. The business had revenue of $2.52 billion for the quarter, compared to analysts’ expectations of $1.26 billion. Chesapeake Energy had a net margin of 9.73% and a negative return on equity of 32.26%. The business’s revenue for the quarter was up 24.6% compared to the same quarter last year. During the same quarter in the prior year, the business earned $0.07 EPS. equities research analysts forecast that Chesapeake Energy will post 0.74 earnings per share for the current fiscal year.

A number of institutional investors have recently added to or reduced their stakes in CHK. Schwab Charles Investment Management Inc. increased its holdings in Chesapeake Energy by 55.6% in the 3rd quarter. Schwab Charles Investment Management Inc. now owns 6,181,585 shares of the oil and gas exploration company’s stock worth $26,581,000 after acquiring an additional 2,208,035 shares in the last quarter. Guggenheim Capital LLC increased its holdings in Chesapeake Energy by 21.5% in the 4th quarter. Guggenheim Capital LLC now owns 11,511,578 shares of the oil and gas exploration company’s stock worth $45,586,000 after acquiring an additional 2,035,111 shares in the last quarter. Old West Investment Management LLC increased its holdings in Chesapeake Energy by 96.3% in the 3rd quarter. Old West Investment Management LLC now owns 2,157,554 shares of the oil and gas exploration company’s stock worth $9,277,000 after acquiring an additional 1,058,477 shares in the last quarter. Creative Planning increased its holdings in Chesapeake Energy by 58.0% in the 4th quarter. Creative Planning now owns 1,762,031 shares of the oil and gas exploration company’s stock worth $6,978,000 after acquiring an additional 646,642 shares in the last quarter. Finally, Bank of New York Mellon Corp increased its holdings in Chesapeake Energy by 6.3% in the 3rd quarter. Bank of New York Mellon Corp now owns 6,784,218 shares of the oil and gas exploration company’s stock worth $29,172,000 after acquiring an additional 402,974 shares in the last quarter. 61.89% of the stock is owned by institutional investors.

COPYRIGHT VIOLATION NOTICE: This article was first posted by Ticker Report and is the sole property of of Ticker Report. If you are viewing this article on another publication, it was stolen and reposted in violation of US and international copyright law. The original version of this article can be viewed at https://www.tickerreport.com/banking-finance/3298981/chesapeake-energy-chk-rating-lowered-to-sell-at-zacks-investment-research.html.

Chesapeake Energy Company Profile

Chesapeake Energy Corporation produces natural gas, oil and natural gas liquids (NGL) in the United States. It operates in two segments: Exploration and Production, and Marketing, Gathering and Compression. Exploration and production is engaged in finding and producing oil, natural gas and NGL. Marketing, gathering and compression is engaged in marketing, gathering and compression of oil, natural gas and NGL.

Get a free copy of the Zacks research report on Chesapeake Energy (CHK)

For more information about research offerings from Zacks Investment Research, visit Zacks.com

Analyst Recommendations for Chesapeake Energy (NYSE:CHK)

Receive News & Ratings for Chesapeake Energy Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Chesapeake Energy and related companies with MarketBeat.com's FREE daily email newsletter.

Latest News

Analysts Set Expectations for Williams Pipeline Partners LP’s Q1 2018 Earnings
Analysts Set Expectations for Williams Pipeline Partners LP’s Q1 2018 Earnings
C.H. Bailey plc  Insider Christopher Fielding Buys 2,150 Shares of Stock
C.H. Bailey plc Insider Christopher Fielding Buys 2,150 Shares of Stock
River and Mercantile Group PLC  Insider Chris Rutt Sells 5,544 Shares of Stock
River and Mercantile Group PLC Insider Chris Rutt Sells 5,544 Shares of Stock
The Vitec Group plc  Insider Purchases £62,274.40 in Stock
The Vitec Group plc Insider Purchases £62,274.40 in Stock
Royal Dutch Shell  Price Target Increased to GBX 2,750 by Analysts at Credit Suisse Group
Royal Dutch Shell Price Target Increased to GBX 2,750 by Analysts at Credit Suisse Group
Global Eagle Entertainment  Raised to “Hold” at Zacks Investment Research
Global Eagle Entertainment Raised to “Hold” at Zacks Investment Research


© 2006-2018 Ticker Report. Google+.